By Porter Stansberry in the S&A Digest:

How could you fix the dollar? Simple, really. You have to do two things. First, you'd return the dollar to a defacto gold standard by using monetary policy to target money supply. You'd limit the supply of new dollars to real increases in productivity. Second, you'd begin to pay a market rate of interest on U.S. Treasury securities.

Without the power to print more money, the U.S. would be, at best, a junk credit. Therefore, you'd expect to see 12% coupons or better on long-dated U.S. Treasury securities. Ha, ha, ha... Right? It'll "never happen," right? Oh yes it will. Sooner than anyone expects, too.

Crux Note: The S&A Digest comes free with a subscription to Porter Stansberry's Investment Advisory. Porter says his latest issue is the most important he's ever written. If you don't act right now to protect yourself from the dollar, he thinks the odds are very high you'll be wiped out over the next 12 months. To learn more, click here.

More from Porter:

The bankruptcy of the United States is now certain

Warren Buffett: Government is creating a dollar crisis

Porter Stansberry produces best government rant you'll read in 2009