This is with reference to the two-part article on the dollar ( Business Line, April 22 and 23) and its dominance in the world economy.
Pre-Bretton Woods, the US being the surplus exporter in trillions was able to put the dollar sans the gold cover as a global reserve currency.
Though the US has a large trade deficit, it redefined the economic market theories and the dollar once again became the front runner over the other currencies.
At different cross-roads, the dollar has been a study currency for trade.
The Euro-nations and China have tried their best to counter it, but it has been a daunting task.
Thus, there has to be rethinking and finding a new currency that is acceptable to all. There should be an unbiased universal monitory body to check the currency trade.
Pre-Bretton Woods, the US being the surplus exporter in trillions was able to put the dollar sans the gold cover as a global reserve currency.
Though the US has a large trade deficit, it redefined the economic market theories and the dollar once again became the front runner over the other currencies.
At different cross-roads, the dollar has been a study currency for trade.
The Euro-nations and China have tried their best to counter it, but it has been a daunting task.
Thus, there has to be rethinking and finding a new currency that is acceptable to all. There should be an unbiased universal monitory body to check the currency trade.
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