The Winter of Our Financial Discontent

Editor's Note: This is the second installment of a five-part series authored by ETM Analytics, an economic and financial advisory firm with offices in the United States and South Africa. The analysis contained herein reflects the views of ETM and not of Stratfor. In fact, as you will see, it is different from our existing worldview in some significant ways. We are sharing this with our readers because it is good work, produced using rigorous analytic tools and methodology. As always, we look forward to receiving comments and feedback. At the end of the series, we will share what we hear from you along with Stratfor's thoughts on how our view differs from ETM's.

Cash is perhaps the most easily exchanged asset in the world, and the U.S. dollar, the de facto global reserve and trade currency, towers above all others. But its liquidity changes; sometimes it is more abundant and moves through the financial system more effortlessly than it does at other times. And the cycles by which this happens can be globally destabilizing events, for they impact every corner of the world.