Which Country Would Be The Most Insulated From A U.S. Default Or Dollar Crash?

drave said:
i said best, not good. you may be right. i'd be interested in your thoughts as a better substitute, we're all gonna need the answer to this question soon.
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I would argue that the difference between how countries are insulted is fairly small if it was a major, economically apocalyptic crash. Swap out your currency for items of value (spades, shoes, gay porn magazines) and run for the hills. More specifically find a country that has lots of fresh water, good renewable power sources, a low population (to avoid mass hysteria) and is fairly self reliant (imports not needed).

I imagine investing in precious metals, commodities (wheat etc), Isolated-country debt (Norway perhaps? Don't know tbh). In reality hedging is an extremely complicated process, especially against the dollar.

Hell, better start buying those credit default swaps if you're worried right?

A quote from the economist:
America's only known instance of outright default (other than refusing to repay debts in gold in 1933) occurred in 1979 when the Treasury failed to redeem $122m of Treasury bills on time. It blamed unprecedentedly high interest from small investors, a delay in raising the debt ceiling and a word-processing-equipment failure. Although it repaid the money and a penalty to boot, a later study by Terry Zivney, now of Ball State University, and Richard Marcus of the University of Wisconsin-Milwaukee found it caused a 60-basis-point interest-rate premium on some federal debt. Today that would cost $86 billion a year or 0.6% of GDP, a hefty penalty for something so avoidable.
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No one really knows what will happen.
 


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charlesmartel said:
If I moved to Uruguay to avoid recession, I'd probably die of depression. The only place there with a pulse is Punta del Este and that's only during the South American summer. At least the Brazilians will still be partying as their ship sinks. See you in Florianopolis :)

The Single Dude's Guide to Montevideo, Uruguay « The Single Dude's Guide to Life & Travel
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No disagreements - I lived in Brazil for a year (Florianopolis is great!) and spent some time visiting Uruguay - but insulating and living aren't necessarily the same.

Could probably add countries similar to Wallis and Futuna (though technically a territory and not a country) to the list - those in which the majority of the people live off of subsistence agriculture.
 
It's sad to see that so few of you read soveriegn man. :((((

Chile bros, Chile.

(Although he did give big props recently to Brazil too.)

They've started their own Galt's Gulch (kinda) there after declaring Chile the country in the best position to BENEFIT from the crash of western civilization.

I'd like to check it out, but I'm sure right now it's still a little too much uncivilized for my posh ass to live there. I'll keep watching it though, sounds like a great start.
 
lukep said:
It's sad to see that so few of you read soveriegn man. :((((

Chile bros, Chile.

(Although he did give big props recently to Brazil too.)

They've started their own Galt's Gulch (kinda) there after declaring Chile the country in the best position to BENEFIT from the crash of western civilization.

I'd like to check it out, but I'm sure right now it's still a little too much uncivilized for my posh ass to live there. I'll keep watching it though, sounds like a great start.
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I like Chile. I visited the country back in 1995. They're the only country that really has its shit together over there. They owe a lot to Pinochet. When he took over and saved the country from the commies, he invited a bunch of University of Chicago professors to get a good economic structure going. It would have been better if they invited Austrians but Chicago school guys are better than Keynesians. The only downside for me, at least, was that their population was insufficiently European. However, they do have some small German towns.

Back then while on a flight on LAN Chile, I was sitting next to a Chilean army guy. I asked him if he liked Pinochet. He said 100%. I noted that there still seemed to be a bunch of socialists around from the graffiti I had seen. He said, "Yes, they are very hard to get rid of." Perhaps a Pinochet relative can take the helm. :)
 
Germany will be heavy effected but they are not much scared.

There is not much fear in the public there about it - you will fnd more
fear related to the climate change (no joke).

They will simply adjust the economy and there is a high trust in the authorities
and to the other germans when it comes to bad times. In that times everyone will work together.

Germany would be strong effected but recover pretty fast. And with a high chance
it will be stronger after it as before.

The country which will then really fucked up is not mentioned here:
Great Britain. They chained their whole economy to the (US) financial system.
They are suffering even today.
 
charlesmartel said:
I like Chile. I visited the country back in 1995. They're the only country that really has its shit together over there. They owe a lot to Pinochet. When he took over and saved the country from the commies, he invited a bunch of University of Chicago professors to get a good economic structure going. It would have been better if they invited Austrians but Chicago school guys are better than Keynesians. The only downside for me, at least, was that their population was insufficiently European. However, they do have some small German towns.

Back then while on a flight on LAN Chile, I was sitting next to a Chilean army guy. I asked him if he liked Pinochet. He said 100%. I noted that there still seemed to be a bunch of socialists around from the graffiti I had seen. He said, "Yes, they are very hard to get rid of." Perhaps a Pinochet relative can take the helm. :)
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For an anarchist? you sure seem to like advocating the initiation of force.
 
mattseh said:
For an anarchist? you sure seem to like advocating the initiation of force.
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Allende nationalized businesses and created hyperinflation. He also invited Cuban troops, etc. I don't see any difference between socialists and thieves. The primary difference is that socialists don't have the balls to personally rob their victims at gunpoint. They do it by proxy, e.g voting or using gov't agents in their stead.
 
charlesmartel said:
Allende nationalized businesses and created hyperinflation. He also invited Cuban troops, etc. I don't see any difference between socialists and thieves. The primary difference is that socialists don't have the balls to personally rob their victims at gunpoint. They do it by proxy.
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You were advocating a return of something similar to the Pinochet regime, which murdered and tortured.
 
hellblazer said:
That's why the question says "most insulated", not "completely insulated".
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SE Asia might be a decent bet then. The economy is almost all SE Asia countries is booming right now, but again, that's not really going to matter. If the US goes down the shitter, so does China, which means so does SE Asia.

New Zealand would probably be a decent bet. Loads of fresh water, lots of excellent farmland, in general people are very peaceful and overall great, etc.

I'd just make sure you're in the middle of agriculture, and can get all of your milk, produce, meat, eggs, and so on within a 50km radius. If shit goes down, you're not going to want to be relying on a 1200km supply route for your food.
 
Cuba. No trade whatsoever with any country, poor people will stay poor, but as nothing comes in and nothing comes out, they will be the most benefited.
 
markbush said:
Germany will be heavy effected but they are not much scared.

There is not much fear in the public there about it - you will fnd more
fear related to the climate change (no joke).

They will simply adjust the economy and there is a high trust in the authorities
and to the other germans when it comes to bad times. In that times everyone will work together.

Germany would be strong effected but recover pretty fast. And with a high chance
it will be stronger after it as before.

The country which will then really fucked up is not mentioned here:
Great Britain. They chained their whole economy to the (US) financial system.
They are suffering even today.
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GB would be fucked up no less than much of the rest of the world.

If the US falls almost the entire trading world falls, it'd be like dominos.

To be immune you'd have to have your own currency without link to the dollar and do no imports or exports.
 
charlesmartel said:
I like Chile. I visited the country back in 1995. They're the only country that really has its shit together over there. They owe a lot to Pinochet. When he took over and saved the country from the commies, he invited a bunch of University of Chicago professors to get a good economic structure going. It would have been better if they invited Austrians but Chicago school guys are better than Keynesians. The only downside for me, at least, was that their population was insufficiently European. However, they do have some small German towns.

Back then while on a flight on LAN Chile, I was sitting next to a Chilean army guy. I asked him if he liked Pinochet. He said 100%. I noted that there still seemed to be a bunch of socialists around from the graffiti I had seen. He said, "Yes, they are very hard to get rid of." Perhaps a Pinochet relative can take the helm. :)
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Pinochet also rounded up large groups of people, wrangled them into a football stadium, and shot them. Can't imagine why people wanted him out...
 
charlesmartel said:
They're the only country that really has its shit together over there. They owe a lot to Pinochet. When he took over and saved the country from the commies
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[ame="http://www.youtube.com/watch?v=00kQorWVIsw"]War on Democracy - US backed 1973 coup in Chile - YouTube[/ame]

[ame="http://www.youtube.com/watch?v=Z4qXmgsU61k"]The Crimes of Pinochet - Chile - YouTube[/ame]
 
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