I am not for one single global reserve currency.
lol. The creation of Gold and USD as a "Standardized" currency is exactly to avoid the need to having multiple reserve currency store in Foreign Exchange reserve. Unless you want to go back to 1920's level Financial System, it's honestly quite stupid to have multiple currency store in your Federal Reserve.
Beside, it does not actually matter, as there are no direct linkage to most other currency to any other currency. Say your India wanted to Store Yuan in their foreign reserve. You can only get Yuan via indirect trade, meaning you need to get from Rupee to USD then USD to Yuan as there are no direct exchange rate between Rupee to Yuan. That means you are still indirectly storing USD or involve with USD. Which it does nothing.
Having basket of 10-15+ currencies is good enough. If China (and other countries) starts dumping USD then it local currency value would rise.
Wrong, China only hold 2 Trillions of USD, it will not even dent the USD market. Do you even know how much USD in float at the moment?
On the other hand, Dumbing USD would put a lot of stress with Yuan itself, as they cannot be directly complete with USD, which means for each successive sell order, Yuan will depreciate further. That is the reason why real economist don't say something that stupid like you just said.
China can sell their USD bond all they want, only China would suffer. In fact, you know what US is going to do when China start selling USD? They would just print more money to buy them, lol.
Disagree no need to have 197 currencies. Having a handful(10+) of them which have greater trade volume is good enough. During Soviet era India always did a rupee trade, If china agrees we can do the same only issue will be value of the currency. It was the same thing with Iran too until now.
Dude, this paragraph show you have no knowledge on how finance work. You don't determine a fixed exchange rate just by talking, it have to be related to value, storage level, usage level and also the circulation of the note. I don't know about India , as they are not even worth mentioning in this case, Chinese don't have enough RMB in circulation to propose a fix rate with anybody at this stage.
Multilateralism will certainly lead to multi polar world , we need more equitable world trade not overlordism of dollar. Dollar was made reserve currency by the victors and enforced by bretton woods institutions. The world is a changed place now .
This passage shown you sucks at Politics too, Multilateralism always leads to Globalism, and no, USD was not "enforced" by victor by Bretton Wood System, again, if you know how and why Bretton Wood system use in place of Gold Standard, you will know why, suggesting you to go read about Bretton Wood system before comment on the issue
Thanks but not thanks. You have your set views based, where you cannot think beyond set ideas based on western thinking.
These aren't my view, those are cold hard fact. Your post, on the other hand, is completely your own view, and you still have not tell me how you can replace a dominant currency without sacrificing any value of any other currency. The world have been trying to de-dominate US influence before you started to walk, Euro (A super Currency), Yen, GBP, Marc tried, and the big 4 ended up killing each other in the competition, what make you think other coalition will not suffer the same fate?
Plus, again, USD was put in place as dominate reserve is exactly to counter the need to store multiple currency in Forex. That system failed in 1950s, again, how would you think this would succeed this time around?
Dollar was not the reserve currency before 1970 and I dont see any reason why we need to follow it unless it beneficial to the country. If the system crashes and burns let it be so. It will certainly lead to new equitable order from the chaos that follows.
Wrong USD was a "Defacto" reserve during the Bretton Wood system start in 1944. And you do know what you are saying right? The destruction of world financial system means a total collapse of civilization. You want to start another civilization? Well, tell me after you have survived all these Anarchist and Post-Apocalypse world
You do know world wide economic collapse is an Apocalyptic Event, right?
Dont get emotional about dollar.
I am not the one getting emotional about dollar.
I am all for stronger local currency, stronger Rupee? Yeah, fine, good on you. But Wanting a stronger local currency is not the same as wishing USD collapse. That is the same as wanting the world to end. That's irresponsibile no matter how you see it.
Hey , same with me too. I dont want some stupid currency devaluing my product (my hard work). Dollar is only good for americans and their holders (like your self). Where they just print dollar and live luxurious life. Its time world realizes and recognizes the new order.
Again, your passage shown how lacking of economic knowledge you are.
US printing Currency does not impact World finance that much, as 1 USD is always going to be 1 USD for people like you, Indian, or Chinese. For US citizen, that would be a different story.
USD will not devalue your own currency, of course, unless your own Country turning up crap GDP, Do tell me how US printing 85 billions US dollar impact on Indian currency?
On the other hand, US currency have to be float in to deal with financial crisis world wide. Which mean, my hard earn dollar is going to help people like you, that's actually one of the reason why we need to have the QE in the first place.
