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I recall looking into plans from the 1970s to peg all central bank currencies into a 'basket of currencies' to avoid things like currency collapse. It would re
by photochemsyn 4y ago
I recall looking into plans from the 1970s to peg all central bank currencies into a 'basket of currencies' to avoid things like currency collapse. It would require international goodwill and cooperation, and would eliminate a lot of currency speculation games, so it was kiboshed. Basically it was a mechanism to eliminate volatility and to stabilize the global monetary system. Maybe someone else knows more about it.
- Sargos 4y agoThis was called Bancor and was proposed by John Maynard Keynes at Breton Woods. It was the major idea competing against the US pushing the dollar as the core of the monetary system and the US had all of the power at the time so that's why we're stuck with the USD now. It's actually a pretty interesting story and Planet Money covered it. https://wikipedia.org/wiki/Bancor https://wikipedia.org/wiki/Bancor https://www.npr.org/transcripts/526051566 https://www.npr.org/transcripts/526051566