the dollar may no longer be the global currency

[manu1959]

U.N. panel says world should ditch dollar | U.S. | Reuters

please let this happen.....

then ....

boot the un off american soil....tear the thing down and sell it to a developer.....

cut off all foreign funding.....and invest in america.....after all it is our tax dollars they are passing out.....

close all our military bases.....no need to be the worlds police force anymore.....ploice america and it's borders....after all it is our tax dollars that is paying for the military.....

lets become the new switzerland.....

 

[Toro]

It is and will remain the global reserve currency.

Japan's economy is too stagnant and the euro is nowhere near as stable. Plus, America has the deepest, most liquid and most dynamic major economy in the world.

 

[manu1959]

It is and will remain the global reserve currency.

Japan's economy is too stagnant and the euro is nowhere near as stable. Plus, America has the deepest, most liquid and most dynamic major economy in the world.

i was hoping this would catch your eye.......what is your opinion of russia wanting their currency to be the global currency......

 

[Truthmatters]

Europe is in big trouble financialy.

China is buying up the world.

 

[Annie]

Once again, TM hits nail on head. China is the economy to watch.

 

[Toro]

It is and will remain the global reserve currency.

Japan's economy is too stagnant and the euro is nowhere near as stable. Plus, America has the deepest, most liquid and most dynamic major economy in the world.

i was hoping this would catch your eye.......what is your opinion of russia wanting their currency to be the global currency......

I had no idea that they did.

I know that Russia has been diversifying away from dollars, but the ruble has gotten just crushed as oil prices have collapsed and there has been a giant margin call on the oligarchs.

The euro was up 5 cents today, an astounding move. I hope it rises a lot more because I want to short it. I called the euro decline last year but didn't pull the trigger. I'm not missing it this time.

BTW, nobody really cares what the UN thinks about this.

 

[Chris]

U.N. panel says world should ditch dollar | U.S. | Reuters

please let this happen.....

then ....

boot the un off american soil....tear the thing down and sell it to a developer.....

cut off all foreign funding.....and invest in america.....after all it is our tax dollars they are passing out.....

close all our military bases.....no need to be the worlds police force anymore.....ploice america and it's borders....after all it is our tax dollars that is paying for the military.....

lets become the new switzerland.....

I just gained a new respect for you.

Don't tear down the UN though.

Just charge them rent.

 

[auditor0007]

U.N. panel says world should ditch dollar | U.S. | Reuters

please let this happen.....

then ....

boot the un off american soil....tear the thing down and sell it to a developer.....

cut off all foreign funding.....and invest in america.....after all it is our tax dollars they are passing out.....

close all our military bases.....no need to be the worlds police force anymore.....ploice america and it's borders....after all it is our tax dollars that is paying for the military.....

lets become the new switzerland.....

Do you realize how many countries would be shitting bricks realizing that they would have to pay for their own defense? We subsidize half the damn world by offering them free protection and it's the American taxpayer paying for it.

 

[auditor0007]

It is and will remain the global reserve currency.

Japan's economy is too stagnant and the euro is nowhere near as stable. Plus, America has the deepest, most liquid and most dynamic major economy in the world.

Spot on. As bad as things are for the dollar, the Euro may be in much worse shape, especially long term.

 

[manu1959]

U.N. panel says world should ditch dollar | U.S. | Reuters

please let this happen.....

then ....

boot the un off american soil....tear the thing down and sell it to a developer.....

cut off all foreign funding.....and invest in america.....after all it is our tax dollars they are passing out.....

close all our military bases.....no need to be the worlds police force anymore.....ploice america and it's borders....after all it is our tax dollars that is paying for the military.....

lets become the new switzerland.....

I just gained a new respect for you.

Don't tear down the UN though.

Just charge them rent.

the building is falling apart and full of haz mats......demo it....it is going to cost billions to fix it.....

 

[auditor0007]

Once again, TM hits nail on head. China is the economy to watch.

If the Chinese allow capitalism to thrive, their economy will eventually become bigger than the US, but they must grow it from within. They must grow their middle class. They will not become the largest economy in the world by exporting all of their goods. This is why we should be looking at China as a future ally, for the long term. We don't need to be best buddies with them, especially considering their Communist system. However, that system is on its way out. Two or three more generations, and it will be gone. We just need to keep them close to the vest. We will want them as an ally when the time comes.

 

[Mad Scientist]

If the Chinese allow capitalism to thrive, their economy will eventually become bigger than the US, but they must grow it from within. They must grow their middle class. They will not become the largest economy in the world by exporting all of their goods. This is why we should be looking at China as a future ally, for the long term. We don't need to be best buddies with them, especially considering their Communist system. However, that system is on its way out. Two or three more generations, and it will be gone. We just need to keep them close to the vest. We will want them as an ally when the time comes.

True. If the world want's to turn from the dollar where would they go? Even the ChiComms know that the dollar is the most stable currency out there.

But I seem to recall we were afraid of Japan buying up the US about twenty years ago too. How'd that work out?

 

[KGB]

U.N. panel says world should ditch dollar | U.S. | Reuters

please let this happen.....

then ....

boot the un off american soil....tear the thing down and sell it to a developer.....

cut off all foreign funding.....and invest in america.....after all it is our tax dollars they are passing out.....

close all our military bases.....no need to be the worlds police force anymore.....ploice america and it's borders....after all it is our tax dollars that is paying for the military.....

lets become the new switzerland.....

I just gained a new respect for you.

Don't tear down the UN though.

Just charge them rent.

boot them out....

 

[52ndStreet]

There is no other currency that people all over the world would trust other than the U.S. Dollar!?.
They don't trust the Euro, or the Yen, or the Russian Ruble. The U.S. Dollar is the currency of Global
Business. This talk of ditching the Dollar is nothing but sheer economic insanity. The Dollar is the Worlds
most wanted and respected currency. Many African countries, and countries in many emerging markets
demand that goods and services be paid in American Dollars,not Euros or Yen or Punds, But good old American Dollars!!$$$. So this talk about ditching the Dollar is all nonsense!!$$. It will never happen!!$$$

And after thousands were slaughtered in Rawanda, and now in Darfur Sudan, who the hell is the UN, to give advice. They have a terrible global track record. Their advice on global issues has led to
disaster and, genocide. They should keep out of Global economic issues. To many UN managers, and higher ups, have been making disasterous decisions for to many years now.!

 

[Valerie]

There's always the gold standard.

A Very Brief History of the Gold Standard
If you would like to learn about the history of money in detail, there is an excellent site called A Comparative Chronology of Money which details the important places and dates in monetary history. During most of the 1800s the United States was had a bimetallic system of money, however it was essentially on a gold standard as very little silver was traded. A true gold standard came to fruition in 1900 with the passage of the Gold Standard Act. The gold standard effectively came to an end in 1933 when President Franklin D. Roosevelt outlawed private gold ownership (except for the purposes of jewelery). The Bretton Woods System, enacted in 1946 created a system of fixed exchange rates that allowed governments to sell their gold to the United States treasury at the price of $35/ounce. "The Bretton Woods system ended on August 15, 1971, when President Richard Nixon ended trading of gold at the fixed price of $35/ounce. At that point for the first time in history, formal links between the major world currencies and real commodities were severed". The gold standard has not been used in any major economy since that time.

What Do We Use Today?
Almost every country, including the United States, is on a system of fiat money, which the glossary defines as "money that is intrinsically useless; is used only as a medium of exchange". We saw in the article "Why Does Money Have Value" that the value of money is set by the supply and demand for money and the supply and demand for other goods and services in the economy. Economics, Neoclassical Macroeconomics - Articles prices for those goods and services, including gold and silver, are allowed to fluctuate based on market forces. Next we'll look at how the monetary system used can change other variables in the economy.

The Benefits and Costs of a Gold Standard
The main benefit of a gold standard is that it insures a relatively low level of inflation. In articles such as "What is the Demand for Money?" we've seen that inflation is caused by a combination of four factors:

1. The supply of money goes up.
2. The supply of goods goes down.
3. Demand for money goes down.
4. Demand for goods goes up.

So long as the supply of gold does not change too quickly, then the supply of money will stay relatively stable. The gold standard prevents a country from printing too much money. If the supply of money rises too fast, then people will exchange money (which has become less scarce) for gold (which has not). If this goes on too long, then the treasury will eventually run out of gold. A gold standard restricts the Federal Reserve from enacting policies which significantly alter the growth of the money supply which in turn limits the inflation rate of a country. The gold standard also changes the face of the foreign exchange market. If Canada is on the gold standard and has set the price of gold at $100 an ounce, and Mexico is also on the gold standard and set the price of gold at 5000 pesos an ounce, then 1 Canadian Dollar must be worth 50 pesos. The extensive use of gold standards implies a system of fixed exchange rates. If all countries are on a gold standard, there is then only one real currency, gold, from which all others derive their value. The stability the gold standard cause in the foreign exchange market is often cited as one of the benefits of the system.

The stability caused by the gold standard is also the biggest drawback in having one. Exchange rates are not allowed to respond to changing circumstances in countries. A gold standard severely limits the stabilization policies the Federal Reserve can use. Because of these factors, countries with gold standards tend to have severe economic shocks.

What Was The Gold Standard?

 

[justin_o_guy]

Plus, America has the deepest, most liquid and most dynamic major economy in the world.

The world is in pretty bad shape then.
************************************************************************
the building is falling apart and full of haz mats......demo it....it is going to cost billions to fix it.....
__________________

Simple solution? Hit that sucker with a jumbo jet & it'll fall straight down into itself..


I guess if the world has no real solid front runner to use as their fiat "money" of choice we will need a new global currency? I'm sure the banksters will be happy to give us one, so they can inflate it & deflate it & create bubbles & pop them & consolidate the wealth some more.

You know, sometimes I meet people who treat me like I have some kind of "attitude problem"..can You IMagine the shock I feel?

 

[morpheus]

Given both the US Dollar's recent volatility, and the [quite massively] unfair advantage that the United States has enjoyed in recent decades as a result of the US Dollar being a global currency, it only makes sense to re-visit the concept of creating a neutral global currency, something that goes back to the late 1960s but failed to become the dominant global standard.

So, let's quit the UN-bashing and world-bashing. This thread has become another opportunity for a pseudo-intellectual analysis of the global financial system, and/or an opportunity to bash the world and the United Nations for "taking advantage of America".

As I already said in the UN to make defamation of islam illegal thread, the US has absolutely no interest in withdrawing from the UN, and it's a tad bit naive, uninformed, and aburd to believe that the UN is the world's sole most powerful multinational entity, or that the United Nations is more of a burden on the United States than a benefit:

There are several UN resolutions that the United States couldn't care any less for. We only seem to enforce international law when its to our advantage in doing so. The truth is that several of these global organizations help to enforce the international policies that folks in Washington and Wall Street push for and depend on, such as the UN, WTO, and NAFTA. American politicians on both sides of the aisle occasionally use populist rhetoric against these international bodies, but they wouldn't ever dream of pulling out. The United States never does anything it doesn't want to do. We didn't sign Kyoto, nor are we a party of the ICC (International Criminal Court), and we have become notorious for not joining either of these two international agreements. There's also several UN resolutions that the United States adamantly opposes, one example that might shock some Americans is the UN resolution on cultural diversity of which Washington is the biggest opponent (because of the big studios in Hollywood who would lose a lot of business.) The United States doesn't do anything it doesn't want to do, and the only reason we're in NAFTA, UN, WTO, and so on, is because they greatly increases American political power around the globe. Otherwise, we'd pull out.

 

[thinking]

The creation of a neutral global currency is a nice idea, but it’s just not realistic. I don’t believe the UN currently has the clout to control a global currency. So it looks to me like the dollar will remain the global currency… Unless China decides to change it, once she has all the dollars.

 

[InrXeyelArkvst]

...the euro is nowhere near as stable...

Averaging $1.30 for the past half decade isn't stable? After steady growth from Y2K it's stayed level in the long run.

Whereas....

In 2000, $1.00 from 2008 is worth:
$0.80 using the Consumer Price Index $0.82 using the GDP deflator using the value of consumer bundle $0.79 using the unskilled wage $0.74 using the nominal GDP per capita $0.69 using the relative share of GDP

...Citation
Samuel H. Williamson, "Six Ways to Compute the Relative Value of a U.S. Dollar Amount, 1790 to Present," MeasuringWorth, 2008. URL <A href="http://www.measuringworth.com/uscompare/">http://www.measuringworth.com/uscompare/

$0.80 using the Consumer Price Index $0.82 using the GDP deflator using the value of consumer bundle $0.79 using the unskilled wage $0.74 using the nominal GDP per capita $0.69 using the relative share of GDP
$0.80 using the Consumer Price Index

$0.80 using the Consumer Price Index
Such is not lost on those that hold our markers. Especially the ones that make back their losses on our widening trade gap.

$0.80 using the Consumer Price Index $0.82 using the GDP deflator using the value of consumer bundle $0.79 using the unskilled wage $0.74 using the nominal GDP per capita $0.69 using the relative share of GDP
$0.80 using the Consumer Price Index $0.82 using the GDP deflator using the value of consumer bundle $0.79 using the unskilled wage $0.74 using the nominal GDP per capita $0.69 using the relative share of GDP

​

 

[jillian]

why can't any of the aol people post in normal font.

i can't be bothered reading it.