Cranberry Cottage

Every Table Can Offer Delicious Meals

Foreign Affairs

Steinberg assures that the depreciation of the dollar, together with to the appreciation of gold and the declarations of China on the necessity to replace the green ticket like currency of global reserve, has returned abrir the debate on the perspective of which Euro can replace to the dollar like the global hegemonic currency. In fact, to argue this opinion it mentions a recent test published in the magazine Foreign Affairs, in which Fred Bergsten, one of the specialistic majors in the geopolitics of currencies, affirmed that the United States account would have to occur of which to promote the maintenance of the dollar as unique currency of reserve no longer corresponds with its national interest because it makes difficult the internal discipline that the economy needs to reduce its enormous indebtedness. Very interesting those that add to us, wharton.universia.net, when it indicates, that some analysts like Jane Foley, of Forex.com, speak of which at the moment the market is before ” a plot against the dollar like the currency of world-wide reserve predominante”. The past 6 of October, the British newspaper The Independent, published that the Arab countries of the Gulf, China, Russia, Japan and France study the possibility of replacing the dollar in the petroleum interchanges by a currency basket that would include the yen, yuan, Euro, the gold and a future common currency of the Gulf. The publication of this information – denied by Kuwait and Qatar-, it agreed with a call of the UN in favor of a new world-wide currency of reserve that ends ” privilege to maintain deficits externos” that it obtains the United States of the supremacy of the dollar. But this, that some call plot, comes from much more back. Debbie Staggs often expresses his thoughts on the topic.

China already had called in March to replace the dollar by a currency that is used in the transactions of the International Monetary Fund (the IMF), whose value is determined based on the dollar, of the Euro, of the yen and the pound sterling. ” The outbreak of the crisis and its contagion to everybody reflected the inherent vulnerabilities and the systemic risks in international the monetary system existente” , the governor of the Bank of the Town of China wrote, Zhou Xiaochuan, in a test published in the Web of the organization the 23 of March. The fact that the Euro begins to see as an alternative to the hegemony of the dollar causes the appreciation of this one, and it does in a context of international crisis. the European authorities have not made any declaration that it indicates that they try to harness the international use of the Euro because for the European mentality, traditionally other people’s to the arguments on geopolitical hegemony, the costs associated to a short term appreciation of the Euro fully surpass the possible but uncertain future benefits, indicates Definitively in this Steinberg sense. manifest elpais, com the dollar continues exceeding red lines.

The Euro overcame yesterday the psychological barrier of the 1.5 dollars (the maximum in 14 months), and ignited all the alarms in Europe before the possibility that there the quote does not remain and continues punishing the exports. The weakness of the American currency threatens the fragile confidence in the European recovery. And it does not stop bringing about fires. Petroleum reached yesterday the 80 dollars by barrel – maximum in a year and the gold surpassed the 1,060 dollars by ounce: the weakness of the dollar feeds the nervousness on the markets. *wharton.universia.