4 ms·

I used to think this would be a great idea but as I've matured and learned more about global markets and national economies I think it's completely ludicrous.

by eitally 12y ago

I used to think this would be a great idea but as I've matured and learned more about global markets and national economies I think it's completely ludicrous. If a country is free to make their own laws and manipulate their own domestic markets -- which is how it mostly works now -- then they also have the power to determine how they are viewed and participate in the global market. If you look at the Euro as a microcosmic example of a global currency, not many countries are 100% happy with participating and several are actively pissed off. With a global currency, there would have to be a central, global arbiter, and that would just not work. Gaming would be attempted, many countries would suffer and a few would thrive, and we'd be far worse off than we are with [mostly] national banks & currencies.

gonvaled 12y ago
Even the greeks want to stay in the euro (http://greece.greekreporter.com/2015/04/30/poll-shows-75-of-greeks-want-to-stay-in-euro-zone http://greece.greekreporter.com/2015/04/30/poll-shows-75-of-...) The current system benefits the monopolist of the global currency (dollar): basically, the system is rigged so that the US is leeching from most of the economic transactions taking place in the world (be it purchase of oil, international settlements, credit card processing, etc) The US has aggresively defended the status-quo (speculation about US terrorism to disturb the functioning of the Iranian Oil Bourse http://en.wikipedia.org/wiki/Iranian_oil_bourse http://en.wikipedia.org/wiki/Iranian_oil_bourse). A big chunk of the US GDP is used to maintain this rigged system in place (military, intelligence services, marketing, and political lobbying expenses). According to the article, China is not trying to push the RMB to substitute the dollar, but suggesting that the IMF should issue a global currency: > To better insulate countries from the ills of one country or one currency, Zhou said the IMF should create a “reserve currency” based on shares in the body held by its 185 member nations, known as special drawing rights, or SDRs. Which seems fair. Not that the US will be cooperative on this, of course. The US will only accept any kind of international agreement whenever it has no other option. It will try to keep controlling international markets, trade agreements, intellectual property rights, copyrights, and generally bullying its way around the world, until the rest of the world does not play along anymore. Then they will accept international agreements, and say with a straight face that this is their effort to expand prosperity around the world. EDIT: grammar.
crdoconnor 12y ago
This isn't about creating a new global currency that you would use to buy a cup of coffee with. It's more about creating something that isn't the dollar that can be used for settling payments between two countries that aren't America. When Nigeria buys farming equipment from Australia, say. >With a global currency, there would have to be a central, global arbiter, and that would just not work. We have that already. It's called the Federal Reserve and the dollar.

by eitally 12y ago

gonvaled 12y ago

Even the greeks want to stay in the euro (http://greece.greekreporter.com/2015/04/30/poll-shows-75-of-greeks-want-to-stay-in-euro-zone http://greece.greekreporter.com/2015/04/30/poll-shows-75-of-...) The current system benefits the monopolist of the global currency (dollar): basically, the system is rigged so that the US is leeching from most of the economic transactions taking place in the world (be it purchase of oil, international settlements, credit card processing, etc) The US has aggresively defended the status-quo (speculation about US terrorism to disturb the functioning of the Iranian Oil Bourse http://en.wikipedia.org/wiki/Iranian_oil_bourse http://en.wikipedia.org/wiki/Iranian_oil_bourse). A big chunk of the US GDP is used to maintain this rigged system in place (military, intelligence services, marketing, and political lobbying expenses). According to the article, China is not trying to push the RMB to substitute the dollar, but suggesting that the IMF should issue a global currency: > To better insulate countries from the ills of one country or one currency, Zhou said the IMF should create a “reserve currency” based on shares in the body held by its 185 member nations, known as special drawing rights, or SDRs. Which seems fair. Not that the US will be cooperative on this, of course. The US will only accept any kind of international agreement whenever it has no other option. It will try to keep controlling international markets, trade agreements, intellectual property rights, copyrights, and generally bullying its way around the world, until the rest of the world does not play along anymore. Then they will accept international agreements, and say with a straight face that this is their effort to expand prosperity around the world. EDIT: grammar.

crdoconnor 12y ago

This isn't about creating a new global currency that you would use to buy a cup of coffee with. It's more about creating something that isn't the dollar that can be used for settling payments between two countries that aren't America. When Nigeria buys farming equipment from Australia, say. >With a global currency, there would have to be a central, global arbiter, and that would just not work. We have that already. It's called the Federal Reserve and the dollar.