In order for the United States to retain the world value and position of the dollar it must consider an across the board devaluation of private and public real estate investments and properties. The devaluation must happen there or it will happen to the dollar itself and impact it in a manner which will be irreversible to its global value.
The financial market crash or extreme recession, as most would like to consider it, was primarily caused by bank investments in poor sub prime loans and the acceptance of inflated property values as part of their bottom line value and profits reported to share holders. As we know now, these were not fringe investments, to the contrary, banks were all in. The definition of “all in” being that bad real estate investments and inflated property appraisals attracted stock purchases, portfolio managers that controlled pension assets, Union investments, Insurance Company investments, small mom and pop investors and of course, the Bernie Madoffs of the world. Even the federal government began using numbers based on the inflated real estate market when making their own economic forecasts. It is the very reason former President George W. Bush triumphantly declared the U.S. economy was “economically sound”, only to see the country and the world financially shaken to its knees in a matter of months following his statement.
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To truly understand our current financial crisis, one must go back to the year 1971 during the Nixon Administration, the year the United States moved from the gold standard to what can be called, in short, the credit/debt standard (Fiat Dollar Reserve System). Simply put, before 1971 each dollar was backed by gold. In fact, on each dollar it stated that it was redeemable for that amount in gold. So what happened? Well there was a financial crisis and in order to address it the United States needed more money to pay its bills. However, one of the problems with every dollar being backed by gold is that eventually, there is not enough gold. Practically speaking, only a certain amount of gold can be mined a year and the United States was spending more dollars than the amount of gold that could be dug up. 
