If Texas were to secede, how would they transfer their wealth to a new currency?

[Warrior_of_Freedom]

Topic

[pochy1776]

SEIZE the gold from the fed bank.

[Nate-ForLiberty]

In fact, Texas would not have secession until they stop using Federal Reserve Notes and were not tied to any international monetary unit. They could declare independence all they want, but if they are still using FRN then they are still a slave to the U.S. government.

Most likely U.S. currency would get replaced by Texas's own fiat currency. Since most of it is electronic, it wouldn't be as big a deal.

[Origanalist]

In fact, Texas would not have secession until they stop using Federal Reserve Notes and were not tied to any international monetary unit. They could declare independence all they want, but if they are still using FRN then they are still a slave to the U.S. government.

Most likely U.S. currency would get replaced by Texas's own fiat currency. Since most of it is electronic, it wouldn't be as big a deal.

True, and they would in the process declare any of their part of the national debt null and void.

[cindy25]

the currency and political independence are separate issues

in the 80s the USA granted independence to three colonies (Micronesia, Palau, Marshall Islands); all still use FRN as does Panama and East Timor,as well as British Colonies Turks and Caicos and BVI

if Puerto Rico or Texas ever become independent they can establish their own currencies, or continue to use FRN

[libertariantexas]

Topic

Governor Perry, I'm sure someone has explained to you by now that Texas does NOT have any special right to secede.

Plus, other than a few radicals and oddballs, the people of Texas have never indicated that they support secession. Polls have shown that only a small minority would support secession even if it were possible.

Texas, does, however, have the right to split into 5 states- now that might actually make sense.

[american.swan]

The issue of currency and banking would likely be the main issue to Texas leaving the Union. Imagine Texas leaving with a new currency. Do you think the Federal Reserve handlers would like that? What about leaving and using dollars under then new Texas central bank?

If Texas is still under the control of the Federal Reserve than a "partial" separation would be a tad more "peaceful" than if central banking was abolished. I could see a situation where the bankers order the President to bomb Texas because they don't follow "globalist" banking practices.

[Tod]

Ecuador uses FRN's too...

[matt0611]

Depends what they try to move to, there's no real reason they couldn't still use federal reserve notes if they seceded.

[tod evans]

Texas wouldn't have to transfer squat if they cut the federal government out of their life.

By creating their own tex-dollar based on anything tangible the working citizens would immediately notice an increased standard of living.

[The Goat]

Why wouldn't they just have 2 currencies. What ever Texas decides and the FRN too.

[Matthew5]

Plus, other than a few radicals and oddballs...

:rolleyes: Way to alienate people in the movement.

[matt0611]

Governor Perry, I'm sure someone has explained to you by now that Texas does NOT have any special right to secede.



True, Texas does not have a special right. Every state has the same right.

[Aeroneous]

Why wouldn't they just have 2 currencies. What ever Texas decides and the FRN too.

They do this in the ABC islands (Aruba, Bonaire, Curacao). Probably the easiest way to transition.

[69360]

They would continue to use the USD. Several central/south american countries do the same.

[Matthew5]

True, Texas does not have a special right. Every state has the same right.

I'm not sure why people feel like they need some historical or legal cop-out in order to secede. Just declare it and move on.

[Matthew5]

I'm sure FRNs would still be valuable to have if it hasn't collapsed yet. Most in the former state of Texas would have their savings and such in FRNs and the U.S. would still need to trade with Texas. Just don't demand gold for oil or you'll end up like Libya.

[angelatc]

Topic

I was in Germany when they made the move to the Euro. The PTB had a long, drawn out plan that included mandates that both the old and new currencies be made available for an extended period of time at retailers.

The day they Euro went live, the Mark disappeared. The retailers sent you to the bank if you tried to give them a Mark.

It was, as they say, a non-event.

[Matthew5]

I was in Germany when they made the move to the Euro. The PTB had a long, drawn out plan that included mandates that both the old and new currencies be made available for an extended period of time at retailers.

The day they Euro went live, the Mark disappeared. The retailers sent you to the bank if you tried to give them a Mark.

It was, as they say, a non-event.

So what did they do with all the marks? Convert them to euros and destroy them?

[angelatc]

So what did they do with all the marks? Convert them to euros and destroy them?

Yes, I'm sure they did. I was not "into" all the economic stuff then. IIRC, the people had 2 years to turn in their old currency. But that could be wrong. I changed all my marks to Euros the first time I got sent to the bank. :)

The bigger department stores might have accommodated dual currencies, I don't know, but the small retailers didn't. They all had signs in their windows that said, roughly, Euros only.

[Demigod]

So what did they do with all the marks? Convert them to euros and destroy them?

They destroyed all that were in use,but some central banks kept some if there was any need in the future,this were mostly newly printed that never went into circulation .

You had something like a year to go to a bank and change your marks to Euros.There was a fixed exchange of 2:1 for marks,for other currencies there were different exchanges but the mark was generally the main reserve currency in which everyone kept their savings,the swiss franc being the second.

In my country the problem came when the market changed the prices at an almost 1:1.So if an apartment used to cost 60K marks the price changed to 50K euros instead of 30K euros.And it was the same for everything that was imported ( and thus had a price calculated in marks ).That cut the buying power of the population by almost a half.10 years later and prices have yet fully decreased to a normal level.

Many other countries not just mine had very similar problems.


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[donnay]

SEIZE the gold from the fed bank.

What gold?

[libertariantexas]

:rolleyes: Way to alienate people in the movement.

Yes, some people here might support secession. Some of the folks here believe a lot of outlandish things, that have nothing to do with the movement itself.

However, most do NOT support secession. Most Texans do not. Even most Texas Republicans/Libertarians do not. Only a tiny number of Texans actually support secession, and have been howling about it for years. They are the fringe, the extremists, the radicals.

Most Texans are actually pretty damned proud to be Americans, even when they feel the nation is moving in the wrong direction, and have no desire to secede.

[heavenlyboy34]

Yes, some people here might support secession. Some of the folks here believe a lot of outlandish things, that have nothing to do with the movement itself.

However, most do NOT support secession. Most Texans do not. Even most Texas Republicans/Libertarians do not. Only a tiny number of Texans actually support secession, and have been howling about it for years. They are the fringe, the extremists, the radicals.

Most Texans are actually pretty damned proud to be Americans, even when they feel the nation is moving in the wrong direction, and have no desire to secede.
You say that like it's a bad thing. :P ;) /fringe extremist radical

[idiom]

Using any external currency prevents the government from inflating. FRNs would be as good as Euros in that regard.

[Confederate]

the currency and political independence are separate issues

in the 80s the USA granted independence to three colonies (Micronesia, Palau, Marshall Islands); all still use FRN as does Panama and East Timor,as well as British Colonies Turks and Caicos and BVI

if Puerto Rico or Texas ever become independent they can establish their own currencies, or continue to use FRN

El Salvador unilaterally adopted the US dollar as their official currency a few years ago. Same with Ecuador.