dave@cylixd.UUCP (Dave Kirby) (09/04/85)
I have received some query into my mention of the coming currency recall in my response to a colleague's question on gold investing. The information I have on it is sketchy, but here goes: The coming currency recall is, according to one of my doom-sayer sources, is a plan created by the Treasury Department and the Federal Reserve, in conjunction with finance ministers of several other Western countries, to replace our current U.S. paper currency with a new currency that will be impossible to counterfeit. This new currency is called "rainbow money" because it is reported to be already printed and uses a different color for each demonimation. It also has a thread running through it to make it impossible to counterfeit. The plan was for Japan to lead the way with a new currency of their own, and the U. S. would follow soon after. Last year, Japan announced their new currency, so it follows that a currency exchange is imminent in this country. The doom-sayers have "uncovered" this "highly secret plan" to replace the dollar suddenly, without warning. This is to catch the drug smugglers in their own game, making their cash profits of no use unless they go to a bank and exchange it for the new money. This will force the underground money to come above ground. That, say the doom-sayers, is the reason given by the government. But the "real" reason, according to them and their unimpeachable sources, is much more sinister. It is a way of debauching the currency without announcing an official devaluation; from what I can gather, the exchange rate will not be 1-for-1. This will, of course, throw us into another depression, and the banks will rack up a bunch of dough like they did in the last depression. (SMILEY FACE GOES HERE) I am getting facetious now; I really don't know what the actual "sinister" reason is behind all this. You see, my sources are the junk mailings I get from countless doom-sayer magazines which present these facts to tease me into subscribing to their magazines to find out more. None of the junk mailings has told me what the actual sinister reason is, and I'm not about to subscribe to find out. All I know is that more than one doom-sayer is predicting this. I believe I have also read an obscure reference to it in Barron's. If someone else out there has a more reliable source, please feel free (and urged) to post what you know. I must depend only on my junk mail for my information about the currency recall. (I don't know what kind of mailing list I have gotten on, but it's a lot of fun. /Dave Kirby
canopus@amdahl.UUCP (Alpha Carinae) (09/09/85)
References: <245@cylixd.UUCP> > I have received some query into my mention of the coming currency > recall in my response to a colleague's question on gold investing. > The information I have on it is sketchy, but here goes: > (explanation of recall here) I have heard this too, but my suspicions are aroused by two major facts: 1. It is only the precious metal dealers who allude to it (It has been used on me as a "scare" tactic to get me to buy silver - which I haven't). A. This has been going on for at least five years that I know about... It is always "next year" for the recall. B. My Broker sort of chuckles when I mention it to him. 2. What President in his right (or otherwise) mind would want to go down in history as having brought on another Depression? However else anyone may feel about Reagan, I don't think he would resort to such drastic steps just to get at some drug money. (I realize this is more personal opinion than fact). 3. Congress (the opposite of Progress) can't even put together a budget, work on tax reform, much less organize a currency recall. Hell, they couldn't even manage the gas crisis in 1973-74. I guess what I'm saying is that it just sounds like a selling gimmick used by the precious metal hawkers and fellow travelers. -- Frank Dibbell (408-746-6493) ...!{ihnp4,cbosgd,sun}!amdahl!canopus Amdahl Corporation, Sunnyvale CA [This is the obligatory disclaimer..] - - - - - - - - - - - - - - - - - - - - - - - "This is the biggest fool thing we have ever done. The bomb will never go off, and I speak as an expert in explosives." [Adm Bill Leahy to President Truman in 1945 about the Manhattan Project]
suhre@trwrba.UUCP (Maurice E. Suhre) (09/11/85)
In article <2003@amdahl.UUCP> canopus@amdahl.UUCP (Alpha Carinae) writes: >References: <245@cylixd.UUCP> > > 2. What President in his right (or otherwise) mind would want > to go down in history as having brought on another Depression? > However else anyone may feel about Reagan, I don't think he > would resort to such drastic steps just to get at some drug > money. (I realize this is more personal opinion than fact). The way I understand currency recall, we will exchange our "green" money for "blue" money. Only the people with unreported income or some other such troubles will be screwed. Presumably this would get at the drug money. I certainly don't see how nailing the drug or other "illegal" money would bring on a Depression. Maurice {decvax,sdcrdcf,hplabs,ucbvax}!trwrb!suhre
rew@cbosgd.UUCP (Bob Warren) (09/11/85)
In article <245@cylixd.UUCP>, dave@cylixd.UUCP (Dave Kirby) writes: > > The coming currency recall is, according to one of my doom-sayer > sources, is a plan created by the Treasury Department and the > Federal Reserve, in conjunction with finance ministers of several other > Western countries, to replace our current U.S. paper currency with > a new currency that will be impossible to counterfeit. This new currency > is called "rainbow money" because it is reported to be already printed > and uses a different color for each demonimation While one could speculate on the 'real (I mean REAL)' reason the goverement does anything, this business of currency replacement is nothing special. The New York Times has had articles over the last decade or so that have addressed the increasing problem of currency counterfeiting. Basically, reproduction technology has caught up with the Treasury's current printing methods. There are supposed to be color copiers in the pipeline that will reproduce exceptionnally good versions of US paper currency. Once these are generally available, the authorities expect a huge increase in phony money. To combat this, the Treasury (really the Bureau of Engraving and Printing) has experimented with a variety of new forms of currency. These experiments have included actual printing runs of currency samples. Many countries already print different denominations in different colors (makes a good deal of sense if you choose the colors right), but if the color copiers are as good as rumored, this alone won't help. Special paper and watermarks have been proposed and tested. It's unclear whether the Treasury will actually go through with the substitution--they are probably afraid of another $2 bill/$1 coin fiasco. BTW, I doubt that drug runners are trembling in their boots about having to deal with the banks. News reports indicate that banks have managed to overlook the $10K transaction reporting requirements when it served their interests (not just small banks, either--Chase and First Boston come to mind). Bob Warren cbosgd!rew
root@bu-cs.UUCP (Barry Shein) (09/13/85)
Re: Photocopying technology making counterfeiting too easy What always struck me as strange was that small denominations are struck in metal and large on paper. Reversing that would make counterfeiting a lot harder (or at least unprofitable) and would make more sense (to me anyhow, being as the coins I assume are more expensive to produce.) Do some countries do this? Or am I missing something? -Barry Shein, Boston University I before E except after C and when sounded like A as in neighbor and weigh ..and counterfeit?
wmartin@brl-tgr.ARPA (Will Martin ) (09/13/85)
In article <638@bu-cs.UUCP> root@bu-cs.UUCP (Barry Shein) writes: >What always struck me as strange was that small denominations are struck >in metal and large on paper. Reversing that would make counterfeiting a >lot harder (or at least unprofitable) and would make more sense (to me >anyhow, being as the coins I assume are more expensive to produce.) Do >some countries do this? Or am I missing something? > -Barry Shein, Boston University The problem comes when you have to carry the money about. Let's say you get ready to go out for an expensive night on the town, dress up in your tight-fitting fancy Italian suit, and slip a $500 goldpiece in your pocket for spending money. All fine so far. At the first stop of the night, you spend $75 and pay with your single goldpiece. You are given 4 $100 goldpieces and 5 $5 bronzepieces change. And so on through 3 other stops, by which time you have baggy pockets full of various metal chunks, and you clink loudly as you stagger about... Paper money is just more convenient and easier stashed (also thereby safer -- try hiding a few goldpieces in your shoe the way you can a few bills). That's why men now carry inside wallets instead of purses on their belts, the way they used to in the olden days (and why pickpockets had to evolve from "cutpurses"). Of course, there are counter arguments: 1) the credit card -- no cash needed. We then get into the whold EFT and privacy issue, plus those who can't qualify or have objections to credit (or debit) cards. It does reduce the capabilities of the underground economy, which some would like and others dislike... 2) change fashion -- no more inside-pockets wallets, all people carry purses or belt pouches (as we once all did, you know), and thus can haul coins. I don't know -- I find paper money convenient, and, so far, never have encountered counterfeit money (that I know of :-). I would accept non-paper substitutes (maybe that tough plasticized paperoid stuff they make those reusable mailing envelopes from?) in all sorts of odd colors, though, just as well. The foldability and thinness is the important factor. It will be hard to overcome the present trend and go to coins. Will