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Ron Paul: 'Help!' Looking at the entrance to the little, spartan headquarters of my Institute for Peace and Prosperity here in Clute, Texas, I wonder how long it will be here. Not long, I am afraid, without your help.



20 November 2014read on...

Biden in Ukraine, War Surely to Follow
US Vice President Joe Biden's plane has touched down in the Ukrainian capitol to meet with US-backed president, Petro Poroshenko, and prime minister, Arseniy Yatsenyuk. If the past is prologue, we should expect a full-fledged assault by Kiev on the breakaway eastern part of the country to begin at anytime.

20 November 2014read on...

The United States Lost the Cold War
As the world celebrates the 25th anniversary of fall of the Berlin Wall, Americans remain more convinced than ever that the United States won the Cold War.

20 November 2014read on...

Still Letting the Neocons Lead
In a rational political system, the American neocons would be the most discredited group in modern U.S. history. If not in the dock for complicity in war crimes – from Central America in the 1980s to Iraq last decade – they would surely not be well-regarded scholars at prominent think tanks and welcomed as op-ed columnists at major publications.

19 November 2014read on...

Russia invades Ukraine. Again. And Again. And Yet Again!

"Russia reinforced what Western and Ukrainian officials described as a stealth invasion on Wednesday [August 27], sending armored troops across the border as it expanded the conflict to a new section of Ukrainian territory. The latest incursion, which Ukraine’s military said included five armored personnel carriers, was at least the third movement of troops and weapons from Russia across the southeast part of the border this week."



19 November 2014read on...

Voiceprints: Time to be Afraid Again
The end of privacy in the United States was brought about as much by technology as intention. Those who claim there is little new here — the government read the mail of and wiretapped the calls and conversations of Americans under COINTELPRO from 1956 to at least 1971, for example — do not fully understand the impact of technology.

18 November 2014read on...

Are ‘We the People’ Useful Idiots in the Digital Age?
“Who needs direct repression,” asked philosopher Slavoj Zizek, “when one can convince the chicken to walk freely into the slaughterhouse?”

17 November 2014read on...

Do Wars Really Defend America's Freedom?
US politicians and pundits are fond of saying that America’s wars have defended America’s freedom. But the historical record doesn’t bear out this contention. In fact, over the past century, US wars have triggered major encroachments upon civil liberties.

17 November 2014read on...

Internet Gambling Ban: A Winner for Sheldon Adelson, A Losing Bet for the Rest of Us
Most Americans, regardless of ideology, oppose “crony capitalism” or “cronyism.” Cronyism is where politicians write laws aimed at helping their favored business beneficiaries. Despite public opposition to cronyism, politicians still seek to use the legislative process to help special interests.

16 November 2014read on...

No Good War; No Bad Peace
A full century after World War I we still cannot understand how generals sent so many soldiers to be slaughtered. Ten million soldiers died on all sides; millions more were left maimed or shell shocked. Seven million civilians died. 20 million horses died.

15 November 2014read on...

Featured Articles

US Sanctions on Russia May Sink the Dollar


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The US government's decision to apply more sanctions on Russia is a grave mistake and will only escalate an already tense situation, ultimately harming the US economy itself. While the effect of sanctions on the dollar may not be appreciated in the short term, in the long run these sanctions are just another step toward the dollar's eventual demise as the world's reserve currency.
 
Not only is the US sanctioning Russian banks and companies, but it also is trying to strong-arm European banks into enacting harsh sanctions against Russia as well. Given the amount of business that European banks do with Russia, European sanctions could hurt Europe at least as much as Russia. At the same time the US expects cooperation from European banks, it is also prosecuting those same banks and fining them billions of dollars for violating existing US sanctions. It is not difficult to imagine that European banks will increasingly become fed up with having to act as the US government's unpaid policemen, while having to pay billions of dollars in fines every time they engage in business that Washington doesn't like.
 
European banks are already cutting ties with American citizens and businesses due to the stringent compliance required by recently-passed laws such as FATCA (Foreign Account Tax Compliance Act). In the IRS's quest to suck in as much tax dollars as possible from around the world, the agency has made Americans into the pariahs of the international financial system. As the burdens the US government places on European banks grow heavier, it should be expected that more and more European banks will reduce their exposure to the United States and to the dollar, eventually leaving the US isolated. Attempting to isolate Russia, the US actually isolates itself.
 
Another effect of sanctions is that Russia will grow closer to its BRICS (Brazil/Russia/India/China/South Africa) allies. These countries count over 40 percent of the world's population, have a combined economic output almost equal to the US and EU, and have significant natural resources at their disposal. Russia is one of the world's largest oil producers and supplies Europe with a large percent of its natural gas. Brazil has the second-largest industrial sector in the Americas and is the world's largest exporter of ethanol. China is rich in mineral resources and is the world's largest food producer. Already Russia and China are signing agreements to conduct their bilateral trade with their own national currencies rather than with the dollar, a trend which, if it spreads, will continue to erode the dollar's position in international trade. Perhaps more importantly, China, Russia, and South Africa together produce nearly 40 percent of the world's gold, which could play a role if the BRICS countries decide to establish a gold-backed currency to challenge the dollar.
 
US policymakers fail to realize that the United States is not the global hegemon it was after World War II. They fail to understand that their overbearing actions toward other countries, even those considered friends, have severely eroded any good will that might previously have existed. And they fail to appreciate that more than 70 years of devaluing the dollar has put the rest of the world on edge. There is a reason the euro was created, a reason that China is moving to internationalize its currency, and a reason that other countries around the world seek to negotiate monetary and trade compacts. The rest of the world is tired of subsidizing the United States government's enormous debts, and tired of producing and exporting trillions of dollars of goods to the US, only to receive increasingly worthless dollars in return.
 
The US government has always relied on the cooperation of other countries to maintain the dollar's preeminent position. But international patience is wearing thin, especially as the carrot-and-stick approach of recent decades has become all stick and no carrot. If President Obama and his successors continue with their heavy-handed approach of levying sanctions against every country that does something US policymakers don’t like, it will only lead to more countries shunning the dollar and accelerating the dollar's slide into irrelevance.
Copyright © 2014 by RonPaul Institute. Permission to reprint in whole or in part is gladly granted, provided full credit and a live link are given.
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