UN Wants New Global Currency to Replace Dollar
September 8th, 2009Around 70.79, two doors emerge: Behind Door #1: The dollar will stage a massive rally/dead cat bounce/short squeeze from Hell. (Don’t ask me how this would happen.) Behind Door #2: A wildcard event; a system transformation. System transformation is lingo from International Relations. It means paradigm change; a break from past normative assumptions about the system and the actors within it. New rules.
There’s nothing but air under 70.79 and I doubt that the Them will just let the rocket sled of doom hit the wall at a thousand miles per hour. They’ll try some kind of nonsense, a New and Improved Global Confetti Currency, or maybe fewer national confetti currencies. The Amero, perhaps. Something of this nature.
—Gold Is Probably About to Put on a Show
Via: Telegraph:
The dollar should be replaced with a global currency, the United Nations has said, proposing the biggest overhaul of the world’s monetary system since the Second World War.
In a radical report, the UN Conference on Trade and Development (UNCTAD) has said the system of currencies and capital rules which binds the world economy is not working properly, and was largely responsible for the financial and economic crises.
It added that the present system, under which the dollar acts as the world’s reserve currency , should be subject to a wholesale reconsideration.
Although a number of countries, including China and Russia, have suggested replacing the dollar as the world’s reserve currency, the UNCTAD report is the first time a major multinational institution has posited such a suggestion.
In essence, the report calls for a new Bretton Woods-style system of managed international exchange rates, meaning central banks would be forced to intervene and either support or push down their currencies depending on how the rest of the world economy is behaving.
The proposals would also imply that surplus nations such as China and Germany should stimulate their economies further in order to cut their own imbalances, rather than, as in the present system, deficit nations such as the UK and US having to take the main burden of readjustment.
“Replacing the dollar with an artificial currency would solve some of the problems related to the potential of countries running large deficits and would help stability,” said Detlef Kotte, one of the report’s authors. “But you will also need a system of managed exchange rates. Countries should keep real exchange rates [adjusted for inflation] stable. Central banks would have to intervene and if not they would have to be told to do so by a multilateral institution such as the International Monetary Fund.”
The proposals, included in UNCTAD’s annual Trade and Development Report , amount to the most radical suggestions for redesigning the global monetary system.
Although many economists have pointed out that the economic crisis owed more to the malfunctioning of the post-Bretton Woods system, until now no major institution, including the G20 , has come up with an alternative.
That last paragraph bears repeating (& kudos to the Telegraph for even acknowleding it):
“Although many economists have pointed out that the economic crisis owed more to the malfunctioning of the post-Bretton Woods system, until now no major institution, including the G20 , has come up with an alternative.”
I think we should call the new currency the “Worldo”. 😀
How about the Globbo?
I suspect the first officially unofficial nickname it will earn among the Alex Jones set and their next-door neighbors is the “Obamo”.
It’s just too easy. Just a quick vowel movement is all it will take. Some overpaid contractor from Rendon is probably already staying up late, billing double for working nights on the project…
…and what incredible irony that our poor, coffee-addled contractor could find the very answer they seek right here, posted at a place like Cryptogon.
No? =)
If they do find it and the “Obamo” nickname does appear, don’t forget: these guys aren’t as smart as they’d like you to think they are. They’re just pervasive, persistent and better funded than those of us who know the work but couldn’t/can’t bring ourselves to embrace the Dark Side…
The UN Conference WANTS something?
The UN is about as useful as tits on a bull.
Notice how much attention has been paid to their “wants” re climate change despite their excellent research into the topic.
http://www.voanews.com/english/archive/2009-02/2009-02-26-voa5.cfm?CFID=283771409&CFTOKEN=10480250&jsessionid=8830cfbc75f880af8e0c3f742838685c2132
And now another committee from the UN wants a new world currency?
Well, I always play and want to win the lottery. The first Bretton Woods was in 1944.
And now you want to name this new currency after Obama?
@Miraculix I don’t get your joke – or don’t want to.
Meant to include this quote from the article:
“Replacing the dollar with an artificial currency would solve some of the problems related to the potential of countries running large deficits and would help stability,” said Detlef Kotte, one of the report’s authors. “But you will also need a system of managed exchange rates. Countries should keep real exchange rates [adjusted for inflation] stable. Central banks would have to intervene and if not they would have to be told to do so by a multilateral institution such as the International Monetary Fund.”
Isn’t the DOLLAR already an ARTIFICIAL CURRENCY?
I’ve lots of cash in dollars riding against the dollar, so I don’t get what they are suggesting.
Managed exchange rates?
Sounds like the carry trade to me.
But what do I know.
@Miraculix I don’t get your joke – or don’t want to.
That’s too bad Eileen. It’s pretty funny on at least a couple different levels, but only for those who “get” it. Or want to. How’s the change coming where you hang your hat?
And now for something completely different…
@Miraculix
Change is coming fast and furious where I hang my hat but not in the places I thought it would EVER occur. Family stuff. Ughh.
I don’t know where you live in this wide world but that’s really not the issue. I really do “get” your titling the “new currency the “obamo.”
Just don’t think it fits into my worldview.
No, I don’t buy the hope and change package that convinced consumers to “buy” Obama through their votes. And yes, I do see that the package of Obama is, as the Talking Heads sing, “same as it ever was.”
But whatever my mightily cynical intellect might tell me, I am not convinced that Obama is “same as it ever was.”
There is something inside me that cannot write the man off as a tool.
I think I am looking at the man from a karmic perspective – just like any other human being – but he is not. A person has some mighty karma to become the POTUS.
Despite the jokes or whatever, I have since day one, have something within me that says to take a “wait and see” approach to Obama. He is just a man after all (I tell myself), with a karma that he must fulfill just like you and me.
Who am I to judge?
So with all that I thought your joke of naming the new currency Obamo was undeservably punitive.
I did get it.
Think it would be more appopros if we named the new currency the cheneyo or the bushco.