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yawarakaijin
Joined: 08 Aug 2006
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Posted: Wed Apr 04, 2007 1:51 am Post subject: Something I've always been curious about. |
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HARARE, Zimbabwe (AP) -- Trucks of riot police drove through Zimbabwe's capital and military helicopters flew overhead Tuesday on the first day of a national strike to protest deepening economic hardships blamed on the government of President Robert Mugabe.
Soldiers armed with automatic rifles stood at intersections in Harare's main industrial district where some factory gates were closed, along with several banks, shops and fast-food stands. Most downtown shops were open, and commuter buses were full of passengers.
Zimbabwe's main trade unions called the two-day strike to protest an economic crisis that has brought 80 percent unemployment, the world's highest inflation rate -- 1,700 percent -- and acute shortages of food, hard currency and gasoline.
So a 10$ purchase now costs you 175$ How in the world do people cope? Are people starving to death in the streets? Are businesses really able to increase their employees wages to match? Damn, if suddenly everything merely doubled in price I have no idea how I would cope. |
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kermo

Joined: 01 Sep 2004 Location: Eating eggs, with a comb, out of a shoe.
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Posted: Wed Apr 04, 2007 2:18 am Post subject: |
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At this point, the barter system could be very very useful. |
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Novernae
Joined: 02 Mar 2005
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Posted: Wed Apr 04, 2007 7:10 am Post subject: |
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kermo wrote: |
At this point, the barter system could be very very useful. |
True. That and alternative markets and currencies. Argentina developed some of its own local currencies during some of it's worst inflation, which reached 3000% (annually, 200% monthly in 1989). At some point the provinces printed some of their own money to pay salaries, and many of the neighborhoods had their own currencies as well. Basically most things go back to bartering, as Kermo said. |
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beast
Joined: 28 Jan 2003
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Posted: Thu Apr 05, 2007 7:21 am Post subject: |
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as soon as he kicked out all the whites, his country went down down down. |
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Juregen
Joined: 30 May 2006
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Posted: Thu Apr 05, 2007 7:32 am Post subject: |
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Ze Germans burned the money the governement printed o\in their stoves, because it wasn't worth the value it was printed on.
It has happend before and will happen again.
The reason inflation is high is due to the fact that someone is printing them .... that noney fins its way in the economy and due tyo the sheer volume pushes up inflation.
The only guy benefiting from this is the guy who printed them (the governement), economic history has enough examples all over the world. |
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plokiju

Joined: 15 Mar 2005
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Posted: Thu Apr 05, 2007 7:45 am Post subject: |
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I think they probably take all the Zimbabwean money they get and convert it right away into a more stable currency. At least that's what I've heard in other cases of high inflation. Not that any of them have any money to convert in the first place.
Down with Mugabe! |
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soviet_man

Joined: 23 Apr 2005 Location: Seoul
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Posted: Thu Apr 05, 2007 2:12 pm Post subject: |
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The "Mugabe haters" on this board fail in three ways:
1. Zimbabwe is rich in minerals and natural resources. However in the face of virulent sanctions, threats, interference and aggression from the capitalist west - the prospect of the Zimbabwean leadership actually converting those natural resources into useful funds has become almost impossible. The prospect of further exposure to an even more severe free-market policy, would further undermine the ability to use this wealth to improve material living conditions.
2. The west eagerly advocates a clandestine policy of confiscation of land *back* from previously landless black peasants, to re-embower the small white colonist ruling class. Not only is this fundamentally racist, but it would lead to greater homelessness, poverty and economic crisis.
3. The economic price paid for 90 years of "British democracy" in Zimbabwe resulted in severe oppression, shortages, failure and stolen land at gunpoint. There is no evidence to support a case that a repeat would be any different from the past.
I'm not outright a supporter of Mugabe - however the capitalist alternative of a western-backed stooge government is both more appalling economically, more racist socially and more incapable politically, than any indigenous political solution. |
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Woland
Joined: 10 May 2006 Location: Seoul
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Posted: Thu Apr 05, 2007 3:33 pm Post subject: |
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plokiju wrote: |
I think they probably take all the Zimbabwean money they get and convert it right away into a more stable currency. At least that's what I've heard in other cases of high inflation. Not that any of them have any money to convert in the first place.
Down with Mugabe! |
When I lived in Turkey in the days of only 90% inflation, on pay day, everyone would go to the bank (long lines - economically wasteful), pull all their money out, and take it to a currency exchange to turn into dollars. Currrency exchanges had better rates than the banks. You would turn dollars back into lira as needed, with the daily rise in the exchange rate as the lira weakened being your interest.
In Zimbabwe, though, inflation has reached a point where even that is no longer an effective strategy, and really, you might as well burn the cash. Incredibly sad. Mugabe really has to go. |
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lastat06513
Joined: 18 Mar 2003 Location: Sensus amo Caesar , etiamnunc victus amo uni plebian
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Posted: Thu Apr 05, 2007 6:41 pm Post subject: |
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But is there a better alternative to Mugabe?
I am very surprised he didn't turn to China for help....they would be willing to give him billions for the resources he has. |
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dutchy pink
Joined: 06 Feb 2007 Location: Incheon
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Posted: Fri Apr 06, 2007 7:47 am Post subject: |
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I lived in Mozambique for about 8 months and met quite a few people from Zimbabwe. As another poster said, "mugabe haters should consider...." He's right. Although by no means perfect, or even good, Mugabe shouldn't be judged only be the dismal state of Zimbabwe today. He was left with a corrupt, wrecked country. Mozambique was the same way. He is allowed to saty in powere because he is the "father of Independence." Whatever terrible things he does, it is still better than being enslaved. People remeber that for a long time. |
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plokiju

Joined: 15 Mar 2005
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Posted: Fri Apr 06, 2007 7:57 am Post subject: |
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Yeah, I guess I'm not really that educated on the whole thing but seems to me Zimbabwe could do better with someone else had the helm. Printing out a ton of money isn't going to help anyone. I suppose he's no worse than a lot of the other corrupt heads of African states but the west seems to make a bigger deal out of him than others. |
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Travelous Maximus

Joined: 15 Jan 2007 Location: Nueva Anglia
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Posted: Fri Apr 06, 2007 8:02 am Post subject: |
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It's easy. All you need is a good scanner, computer, printer, and this:
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