Here's a good counterargument against reserve currency status as a positive thing and listing the negative effects. http://blog.mpettis.com/2016/05/the-titillat

Here's a good counterargument against reserve currency status as a positive thing and listing the negative effects. http://blog.mpettis.com/2016/05/the-titillating-and-terrifying-collapse-of-the-dollar-again/ http://blog.mpettis.com/2016/05/the-titillating-and-terrifyi.... It's a long article, start from 'The effects of reserve currency status' The positive effects like seignorage are outweighed by other effects. Japan discouraged an attempt by China to hold the yen. Similarly Europe and China have opposed purchase by foreign central banks. > It turns out that foreign investment is only good for an economy if it brings needed technological or managerial innovation, or if the recipient country has productive investment needs that cannot otherwise be funded. If neither of these two conditions hold, foreign investment must always lead either to a higher debt burden or to higher unemployment. Put differently, foreign investment must result in some combination of only three things: higher productive investment, a higher debt burden, or higher unemployment, and if it does not cause a rise in productive investment, it must cause one of the other two.