Tuesday, August 3, 2010

John Powers

I was riding my bike last evening and passed the Chuckanut Ridge Wine Company, where the many friends of John Powers paid homage to him with flowers and candles. Although I only met him a handful of times, it's sad to see a vibrant member of the community pass early from this world. I had a camera with me so I stopped to take this picture that moved me.

"A Celebration of John's Life" will be held Saturday, August 7, 2010 at 1PM at The Leopold, 1224 Cornwall Avenue

On another somber note, another interesting read on the precarious Chinese holdings of the U.S. Dollar. The huge trade imbalance has basically created China holding a trillion dollars in U.S. debt and basically at any moment being able to trigger collapse of the dollar be selling off its debt. But for better or worse, China would be committing fiscal suicide by liquidating this debt, and cannot overtly change its policy by shifting from U.S. Dollars to more sustainable currencies.

By any measurement, the continued trade deficit (and budget deficit, but to a lesser degree) will lead to the continued decline and eventual collapse of the dollar. Fun times ahead. I wonder what these two governments really have planned to avoid this catastrophe?

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