Opinion: America?s Superpower Remains Unfazed
With the dollar reaching historic levels against a multitude of currencies like the Japanese Yen, the Pound Sterling and others from emerging countries, it is useful to look back at history to understand its effects.
The post Opinion: America’s Superpower Remains Unfazed appeared first on LUXUO.
The Dollar is becoming scarce because the whole world wants and lacks it. This problem ? recurring since the 1960s ? of scarcity in the American currency constitutes an incredible headache for countries indebted to the appreciating dollar because servicing the debts have become more expensive.
With the dollar reaching historic levels against a multitude of currencies like the Japanese Yen, the Pound Sterling and others from emerging countries, it is useful to look back at history to understand its effect on interest rates, public debt, loans to private individuals, which transacts using the dollar.
In this respect, the abrogation of the Bretton Woods system that was set up in 1944 was an eventual outcome as non-Americans were not agreeable to financing the lifestyle of American citizens. The abandonment thus paved the way for an aberrant asymmetry of how the financial system of the past worked. It costs barely a few cents for the US administration to print a US$100 note while all other countries had to “earn” their keep through means like exports and work.
READ MORE: 16 September 1992: The Black Wednesday That Changed Britain?s Fate
In retrospect, Ch...
The post Opinion: America’s Superpower Remains Unfazed appeared first on LUXUO.
The Dollar is becoming scarce because the whole world wants and lacks it. This problem ? recurring since the 1960s ? of scarcity in the American currency constitutes an incredible headache for countries indebted to the appreciating dollar because servicing the debts have become more expensive.
With the dollar reaching historic levels against a multitude of currencies like the Japanese Yen, the Pound Sterling and others from emerging countries, it is useful to look back at history to understand its effect on interest rates, public debt, loans to private individuals, which transacts using the dollar.
In this respect, the abrogation of the Bretton Woods system that was set up in 1944 was an eventual outcome as non-Americans were not agreeable to financing the lifestyle of American citizens. The abandonment thus paved the way for an aberrant asymmetry of how the financial system of the past worked. It costs barely a few cents for the US administration to print a US$100 note while all other countries had to “earn” their keep through means like exports and work.
READ MORE: 16 September 1992: The Black Wednesday That Changed Britain?s Fate
In retrospect, Ch...
-------------------------------- |
|
Ferruccio Rossi Appointed CEO of Sanlorenzo Monaco Group
18-05-2024 04:04 - (
luxury )