Max Keiser: US Dollar is Warren Buffett toilet paper

Independent financial analyst and former stock broker Max Keiser sat down with Russia Today on Friday to discuss the current economic situation between China and the United States.

In Singapore last week at the Asia-Pacific Economic Summit, Chinese President Hu Jintao called for “free trade and investment liberalization” during his address to investors, according to Reuters. In his 20-minute speech, Jintao iterated, “We must continue to promote trade and investment liberalization and facilitation and oppose protectionism in all its manifestations, particularly the unreasonable trade and investment restrictions imposed on developing countries.” Jintao concluded with a four point plan to revive the global economy. Max Keiser, founder of Karma-Banque and inventor of the Hollywood Stock Exchange, was interviewed by Russia Today on Friday to discuss President Jintao’s remarks, their economy and America’s $1 trillion debt to China. Keiser’s opening statement is something that has been debated upon economists and financial analysts and that is China’s position in the US economy, “China would love to reduce its dependency on the US and dependency is a good word. The US dollar has become the opium of international trade and China is an addict.” Keiser further iterated China’s financial position is buying and protecting themselves with gold bullion just like “the government of India.” “America has absolutely no intention whatsoever of repaying China one trillion dollars [the US owes]. That is why China cannot get enough of buying gold bullion. This [showing US dollar banknotes] is Warren Buffett toilet paper, which is going to zero.” Keiser added that China is in a quandary because their entire economy is based upon US consumers buying Chinese products, “financed by the US moving tremendous amounts of money through the system, which is becoming worthless.” For years, Keiser has been an outspoken figure in the current global economic downturn by blaming the Bush and Obama administrations, the Federal Reserve System and their Chairmen and Treasury Secretaries like Larry Summers, Henry Paulson and Timothy Geithner by labelling them as financial terrorists, along with Goldman Sachs. He concluded that China should start a program called “Americans Anonymous,” which would help the Chinese get over their “addiction and dependency to American dollars and the American economy.”