|Re: World's "reserve currency" has changed throughout history -- RichAndPretty|
|Posted by CPMariner , Tue, Dec 26, 2017, 11:50:01||Post Reply||Top of Thread||Reviews by CPMariner||First Amendment Message Board||Main BigDoggie.net site|
I think what's really changed is the international banking system. The "Old Lady of Threadneedle Street" (Bank of England) was very nearly a unitary guarantee of monetary stability, but fiat money shook the foundations of that old building.
Now we rely on the coincidental (common objectives) of major U.S. banks and the Federal Reserve to keep the train on the tracks.
Which is something to squirm uncomfortably about, considering the financial events leading to the recent Great Recession. Personally, I don't see "anything coming" along those lines, but... who am I? ("Chopped liver" would do nicely ;-)
PS: For those unfamiliar with such things, a "weakening" dollar favors the debtor, not the creditor, as some (not you) seem to misunderstand. I recall reading a short story involving plummeting currency values (runaway inflation) where the author wrote: "Creditors were hunted down and ruthlessly paid off". Too funny :- )
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