“I smell a rat,” says Robert Wenzel, editor and publisher of EconomicPolicyJournal.com.
The rodent whose odor Wenzel detects is the International Monetary Fund (IMF), which just issued a pair of reports assessing the U.S. economy and its financial sector. The Washington Post lists the major recommendations of the reports: “Cut Social Security. Ditch the deduction for interest on home mortgages. Tax gasoline.”
Since the introduction of the European single currency, 23 different regional currencies have started circulating in Germany as people aim to revitalize local economies, lessen dependence on the euro, and challenge the established global monetary system. At least 40 more are in development.
After strong criticism of the U.S. dollar in recent weeks from world leaders, the United Nations added more pressure with yet another scathing report calling for a new international reserve currency issued by the International Monetary Fund.
As credit and economic activity continue to contract, analysts are warning of big problems and unprecedented fiat-money creation by the Federal Reserve System in the near future.