The head of the International Monetary Fund (IMF) says there is a need for a new global reserve currency that does not depend on the U.S. dollar, and the policies, practices, conditions and leadership of a dominant country – in this case, that would be the United States.
There is no doubt that the continued murmurs about dropping the USD, is a growing grumble, and is intended to ready for a new day, and a new world order. This from a professor at the New York University’s Stern business school:
Known as “Dr Doom” for his negative stance, Prof Roubini argues that
China is better placed than the US to provide a reserve currency for
21st century because it has a large current account surplus, focused
government and few of the economic worries the US faces.
Wall Street Journal February 3, 2010:
Prof. Joseph Stiglitz of Columbia University and a former World Bank
chief economist, wants to see an “orderly transition” from a
dollar-based global economy. “It is peculiar that we still have the
dollar system when we are so globalized,” he says. “[There is a] need
for a new global reserve system to replace the dollar-based system.”…
Not only has the value of the dollar fallen, but with official interest
rates close to zero and yields on bonds at record lows, the dollar has
started looking like an unappealing asset to hold….
Figures from the International Monetary Fund show that the share of
foreign-exchange reserves held in dollars by central banks resumed a
downward trend in the third quarter of last year. The dollar’s share has
declined to 61.6% from 71.6% in the first quarter of 2002, when the
currency hit its peak….
Always lusting for a one world order, the United Nations says the dollar should be replaced with a global currency, proposing the biggest overhaul of the world’s monetary system since WWII.
Others talking about the demise of the dollar:
Left Coast Rebel
Related and Background:
Foreign Bank Bailout: War Funding Bill Funds IMF
Oil for Basket of Currency: Falling Dollar Road to One World Currency?
Congress Rebukes Obama -Wants Report on IMF Activities: Presidential Signings Rebuked
Gulf Arab States: Oil Producers Deny Dollar Dump