Supremacy | Predatory Capital | Capitalism | Colonialism | Cartelisation |
US Economy Grows , Dollar Appreciates
US Economy does Bad, Inflation is high, Dollar Appreciates as supply reduces, flight of capital
World Currency is USD
World Payment and Confirmation System is SWIFT / Fast Forex
18 Trillion Economy
25% Geological Reserves
60% World assets in USD
1944
World War II and Nuclear Bombs by US
1958
Bretton Woods System
Dollar as Trade Currency Backed by Gold per ounce 35USD
1971
Nixon Ending the Convertibility.
By then Dollar was a Trade and Settlement Currency.
Geological, Technological and Economic Power. US had 60% of world gold reserves
Euro
1999
Reason to bring Euro and create European Union was to Strengthen Europe in Geo Political and Economic Power. Have competition Currency and hence EURO-USD has been a benchmark.
It has taken years for China and other Countries to try to push their currencies but failed. China, Russia etc
Fact
Something which is not backed by any reserves and is backed by a promise not backed notional comfort and has become a systematic risk cannot be replaced unless
Solution - Food for Thought
Regional Currencies are created like Euro. This can reduce Dollar Hegemony and also give a better price discovery of Conversion Rates.
Bretton woods can also be thought of linking to safeguard national and regional interests.
The issue is the Growth, Capability enhancement and Awareness of Countries and their urge to be at par and not be treated like colonies.
Hence, in the changed scenario, it is imminent and may this present unrest is a beginning of the same or like companies, even countries will start mergers and acquisitions as China, Europe, US and other bigwigs have been doing so. Africa, Latin America and now Asia are glaring examples of colonies.
If Dollar can become world currency, why not Coins ? Analyse ?
Today, Central Banks who were not allowing Coins are themselves forced to issue Coins?
Happy Investing !
Dinesh Kr Goel
https://dkgoelenkash.blogspot.com
No comments:
Post a Comment