The value of the dollar is based on the market exchange in comparison to other currencies. Its value is not tied to anything else but that since it is no longer tied to any precious metals. Also people may worry about the printing of money, the FED has ended their quantitative easing program one to two months ago. The value of the dollar is also in competition with other currencies and which one most people want to own. So far, Japan and EU have engaged in quantitative easing as well so as they say, the dollar remains the strongest amongst in comparison to other currencies.
As much as people want to whine about it and ponder when the dollar will crash, its value is controlled by market forces (ie giant banks). Just as the gold/silver prices have fallen, as much as people who bought into the Ron Paul gold/silver hype, average Joe's have ZERO influence over this since they do not trade over the futures markets. Not only are average Joe's put off to even buying stocks since the recession (since this current stock market rally is the most unloved since average citizens did not participate), they will be even less willing to trade futures for currencies, pm's, or commodities.
The situation with the national debt is another issue and is troublesome due to interest rates compounding itself. It's at a point where it's not able to be paid off by even high taxing everyone. There is only one way out, that is to print money. I don't mean quantitative easing either. Printing by the Federal Reserve is not the same as print by the U.S. government. Keep in mind that the FED reserve is a collection of private banks that act as one that is led by a government appointed chairman. They loan the government money to operate for an interest. The banks actually have been benefiting from this for a long time. The only way out is for the U.S. government to just print money to pay off parts of the debt directly and pay it to the FED reserve. People then will worry that this may cause inflation but it will not as long as the money supply is controlled. This has happened before in this country's past as well as other nations. Printing money yet limiting the way it gets out to the public will not cause inflation. This is the only way I see as an out from the debt. The FED reserve bank being a collection of private banks who profit from the situation has really increased the debt due to interest rates on all money borrowed for gov. spending. Kind of like a middleman sucking out money just like for profit insurance companies that make health care actually more expense.
