posted on June 12, 2001 10:40:47 PM new
Would you be willing to give up the dollar in order to have the ease of one single Americas-wide currency? Such a suggestion is on the table right now in Washington and is meant to compete with the Euro issued by the European Union and the soon to be had Far-East Economic Union. But would you accept seeing the dollar and our coins go away and in place see a single, world-wide monetary system. Or do you oppose such an idea as being unworkable?
I mean, if you want to discuss something that may be of interest to you.
posted on June 12, 2001 10:45:21 PM new
I don't really think that's workable. That's my first instinct, anyway.
In principle it makes no difference to me what the currency looks like so long as it gets the job done. But -- me being ignorant about such things -- isn't there a whole lot of economic mumbo jumbo that goes behind what a monetary unit is worth? With widely varying economies all over the world how exactly could such a thing be accomplished?
[ edited by jamesoblivion on Jun 12, 2001 10:46 PM ]
posted on June 12, 2001 10:57:24 PM new
Well, I'm not Allan Grenspan and can't give you a for-sure answer to that question, but it groks to me that the solution is rather simple in idea. At any given moment, holding up the American Dollar, say, and comparing it against all oher currencies on earth, we get a value for each one. For instance, a British Pound may be right now worth $1.46 compared to a single American Dollar (last night's quote). So, if the American Dollar was to replace all other currencies, for anyone turning in 10 British Pounds, they would receive $14.60 American in exchange. Figure then that a single world-wide curency must work about the same way: once a value is fixed, then replacements can begin in exchanges.
Of course, nothing is ever that simple. That's just a basic idea of how it could be done.
posted on June 12, 2001 11:47:28 PM new
For all practical purposes the dollar is a world currancy.
The basis of the dollar's value is the "full faith and credit of the United States government"
That credit is based on their ability to tax YOU.
If we have a multinational currency it value will be diluted by the composite credit worthyness of all the user nations.
When before the Yen would fall or the Mark would fall and the Japanese or the Germans suffer now all would suffer.
If you want toilet paper money then link them all together because guess who is going to carry the ball for everyone else?
The same thing will happen as did in Nazi Germany .
The government will be telling you how it is patriotic to keep all your savings in the national currency and everyone else who refuses will be an enemy.
I spoke with an older German lady who confirmed to me that that was a big part of why they hated the Jews. Because they would not hold the toilet paper Marks and had the sense to unload them before they devaluated to zilch. That was considered very unpatriotic not to go down the tubes with everyone else.
posted on June 13, 2001 07:59:19 AM new
Very true. If you link the generally reliable and very strong dollar to the canadian dollars and pesos, etc from the Americas, the US dollar, or more properly, whatever this new unit would be called - The Americos, or some such BS, would then become devalued, and since none of these countries economies are as stable as the US, it would cause the US to have to carry a bigger load than it already does. This is precisely the reason that the Great Britains refused to be a part of the EU, and to trade in Euros. It would be a very unwise move economically for the US, but would create a windfall of benefits for the other countries linked to the US Dollar. This is the desire for those interested. Those powers that be that have significant monies invested in the South and Central American governments and businesses. The US needs to follow the example of the British, and stay the hell away from this new world order. Not isolate itself, but we can't afford to wait on these propped up economies, and unstable governments of some of the Central and South American countries to collapse and bring the US down with it.
posted on June 13, 2001 09:34:21 AM new
>For all practical purposes the dollar is a world currancy
I couldn't agree more. I've walked into shops and stores all over Europe, and spent Yankee Greenbacks with out a problem, and with VERY small exchange fees.
Try spending German Marks, French Francs, or English Pounds at the corner store.
posted on June 13, 2001 09:53:14 PM new"This is precisely the reason that the Great Britains refused to be a part of the EU, and to trade in Euros."
True. That is why only the poorest of countries were/are to start out with this program. Then, as the appropriate laws and governmental reforms act and the economy of each member stabilizes, it then becomes more and more appealing to better developed countries. When the EU gets enough members together and is stable enough, Great Britian and Sweden intend on joining in, but not before, just for those very objections.
Now, given that this is the way the whole game has been played out so far, and it would work the same for us -- we being the last ones to sign on, are there any other objections? Realize that a North & South Americas One Currency was proposed when Bush took office and I haven't heard a squeek about it since his trip to Mexico.
edited for sp.
[ edited by Borillar on Jun 13, 2001 09:54 PM ]
posted on June 15, 2001 03:51:41 AM new
I look forward to the roll-out of the euro.
I get so tired of changing currency every time I go from country to country.
I usually spend a good part of my first day any country trying to make sure I am getting a good conversion rate, and while many stores will take USD the conversion rate they come up with can be way out of the ball park.
A lot of the items available now in european countries are already marked with the euro currency price in addition to the local currency price.
A global currency would certaintly help with the auction end process.
But it won't happen in my lifetime.
