Will the U.S. Dollar Remain the Global Reserve Currency?

Marek Dabrowski

No 12, CASE Network E-briefs from CASE-Center for Social and Economic Research

Abstract: The U.S. economy’s rapidly growing trade and current account deficits and systematic weakening of the dollar against the Euro and other currencies raised several concerns about its future as the global reserve currency. Skeptics of the U.S.’s enduring economic and political power proposed a new global reserve currency. Although changes in the global reserve currency system are possible they will not happen rapidly and will be driven by market rather than by political choices. Even if they do take place, they will be driven by market rather than political choices.

Keywords: global reserve currency; US economy (search for similar items in EconPapers)
Pages: 3 Pages
Date: 2010-10
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:sec:ebrief:1012

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