Global Currency. Thoughts?

[Darin]

The Basics
Are you ready for a global currency?

Worldwide money may be on the horizon as a way of simplifying the planet's 190 currencies -- the Esperanto of money.

By David R. Francis, Christian Science Monitor

Goodbye, dollar. So long, euro and yen. Hello, dey!

Dey? It's a proposed combination of the three currencies, which could eventually form the basis of a global currency.

A worldwide money won't emerge any day soon. Still, it's a longtime dream of some economists, who point out several advantages to simplifying the jumble of nearly 190 currencies.

For starters, the world trades about $1.2 trillion worth of currencies a day. If that market disappeared, it would save companies and individuals hundreds of billions of dollars a year in foreign-exchange and hedging costs.

Another benefit: no more national currency crises, which have riled Argentina, Mexico, Thailand and Russia in recent years. No country would have a balance-of-payments problem or need to maintain reserves of foreign assets, such as currency or bonds, to counter dramatic fluctuations in the market.
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The end of currency fluctuations would also stabilize international business. Manufacturers on both sides of the Atlantic, for example, would no longer have to adjust to huge changes, such as the slide in the value of the euro from $1.17 initially in 1999 to 83 cents two years ago then back up to about $1.22. The value of stocks and other assets in countries now subject to high currency risks and inflation would also soar hugely as investors became more reassured of values.

Former Federal Reserve Chairman Paul Volcker has said a truly globalized world economy needs a global currency.

The pitfalls of global currency
But world money has drawbacks too. No single nation could adjust its domestic monetary policy to remedy a specific economic situation. So the Fed could no longer lower interest rates to counteract an economic slump.

Also, central banks would not be in competition to maintain low-inflation rates for their money. Then there's the question of management. The Federal Reserve is independent of the White House, but is a creature of Congress and thereby not fully independent of the political process. So it "must always look over its shoulder to see how Congress is responding to its policies," says Richard Cooper, a Harvard economist who proposes a common currency for the major industrial democracies.

If finding a good governance system for a nation's central bank is hard, finding one for the industrial democracies, or the world, could prove even more difficult, he concedes.

Then there are the human ties. Losing a national currency is "a very emotional thing," says John Marthinsen, an economist at Babson College in Wellesley, Mass. "It's like losing your flag."

Currency consolidation around the world
Still, there are moves to consolidate currencies -- of which the euro is only the most obvious example. Eight former French colonies in Africa have long shared a common currency. Since 1981, the Eastern Caribbean Central Bank has provided the EC dollar to about a dozen island nations, including Antigua, Barbuda, Dominica, Montserrat and St. Lucia.

Next year, the Gulf Cooperation Council plans to launch a common currency for Saudi Arabia, Kuwait, Bahrain, Oman, Qatar and the United Arab Emirates. Also in 2005, the West African Monetary Zone plans to introduce the eco to Ghana, Gambia, Sierra Leone, Guinea and Nigeria.

Proponents are pushing for more. Last month, Robert Mundell, a Columbia University economist and Nobel laureate, and a small group of economists and officials considered plans for a world currency at his personal conference center in Siena, Italy. It is Mr. Mundell, famed for his supply-side economic theories, who talks of the "dey."

Also last month, the Single Global Currency Association held a conference on a world currency. It attracted only eight speakers and three attendees, says Morrison Bonpasse, who sold his temp agency last year to form the group. His timetable for a world currency: 2024.

From: http://moneycentral.msn.com/content/Banking/P91828.asp

[elcid]

Terrible idea that can only lead to bad things.

[callen3615]

we need to go to the gold standard.

[Darin]

Originally Posted by callen3615

we need to go to the gold standard.

Or even the Jem standard! I just bought this LP Goldtop. I'm trying to do the math. If the dollar goes down, more and more, did I buy at the right time, or should I have waited? I believe the good thing about this is. My $1800 mortgage payment will seem like chump change after a couple years of inflation when people are buying houses and making $3000 payments.

[CosmicDebris]

Originally Posted by elcid

Terrible idea that can only lead to bad things.

The subject of this poll or Darin posting questions to the forum memebers?

[andy7jem]

If we refused to accept the Euro....this will be even less popular

[mike570]

The only chance in hell it has of working is if the justice system was also universal, not to mention political systems. I don't think Chinese factory workers have the power to collectively bargain (for example), nor do they have the same environmental protection and occupational safety laws other civilized countries have. This, IMO, is the huge glaring flaw with rampant globalization. While I love competitive forces and believe they bring out the best in competitors, having grossly unequal systems go at it is like fighting a heavyweight bout with one arm.
And, like the problems with the EU, the wealthier nations may not be excited about carrying those less fortunate; and sometimes outright irresponsible!
Maybe in 100 years or so if we're still around (God willing) and society maybe bears more of a resembalance to Trek... then...maybe!

[TMatt142]

There is this other, rather bad, thing involved with a one world currency, mainly, one entity controlling markets throughout the entire world. With one entity controlling it, that can only mean that they can also manipulate it in whatever way they deem fit to. Think about it......Nope....I'm not for it at all. It's not Democrats or Republicans that will destroy the United States....it's globalization that will kill it, and it's happening as we speak....

[Jaden]

the monetary system is fundamentally flawed.
watch the first 40 mins of this http://video.google.com/videoplay?do...05277695921912

[Out Of This Swirled]

The rothchild family own the banks, go check their quotes, they print money out of thin air with no oversite. If I did that it would be counterfitting. they control boom and bust, and then buy when they pull the money out of the system and everyone goes bankrupt, the system is rigged. I urge anyone with a brain to watch the above link posted by Jaden, if you dont then theres no helping ya.

This is just a consolidation of power thats is all. The North American Union (mexico/USA/Canada) already signed by all 3 presidents. They already have your new currency ready for when they collapse the dollar its called the Amero (I have said all this stuff b4 but knowone even responded to me) You say you dont want the amerio or the north american union but when they collapse the dollar, you will ask for them to "do something!" and then they will say "there is this amero" You heard them mentioning it on the news latley?? look out for it. Whistleblowers in the goverment have been going public with this crap for the last 2-3 years.

Engineer a crisis- Offer the solution

before you call me a nut, check out
the amero
the north american union
the trans texas corridor
and most importantly re the money crisis the link posted by jaden, its so clear its SCARY.

[Lordiesel]

I saw the Zeitgeist doco. Don't know what to make of it. My gut tells me it's just a conspiracy theory with very little credibility. My old man keeps harping on about it especially now with the financial crisis. . .

It's over the top dramatic and very vague in explaining the operations and snickers at the responsibilities of the central banks. I think it's a load. Christian fundamentalists would have you believe this is all the doing of Satan and the anti-christ because of a bible reference to the use of barcode microchips.

My thoughts.... the central banks are there to maintain stability in the economy. Not a family that is profiteering at the expense of the world.

[elcid]

Originally Posted by Lordiesel

I saw the Zeitgeist doco. Don't know what to make of it. My gut tells me it's just a conspiracy theory with very little credibility.

It's over the top dramatic and very vague in explaining the operations and snickers at the responsibilities of the central banks. I think it's a load. Christian fundamentalists would have you believe this is all the doing of Satan and the anti-christ because of a bible reference to the use of barcode microchips.

That's pretty much the same thing I took from it. Everytime I looked for infor about the NAU all I could find was conspiracy theories and vague explainations, nothing solid one way or the other.

[Out Of This Swirled]

Hey elcid did you not see the lou dobbs story on it? Mainstream news?

Re the fed being a privately runs bank printing money without oversite its fact.

If you were to pass a bill to create the federal reserve and it was for the common good of the people, then why pass it on christmas eve when only 3 congressmen were pressent according to the record? one congressman to propose it, the other to second it and then a vote all done when everyone else was at home with there families?

Neither of you guys would play anyone at monoploy when they were your oposition had total control of the bank and could print money whenever they wanted (yeah I know neither of you would play monopoly full stop/neither would I!) you try your hardest but it wouldnt matter the game is rigged. but this is only a game

SADLY the big game is played like this and were are all on the loosing side. Its a rigged game and its Reality, we're all playing it and have been playing it for years. There are countless documentaries covering this issue.

Would either of you guy like me to post some links? I would gladly find them for you if you would watch them?

Its not zeitgeist either, it zeitgeist additions that spell out the banking fraud, its only been out about 10 days I think.

[Lordiesel]

"The Federal Reserve lends out money at interest...WHERE DOES THIS INTEREST GO?"
*insert clip of money being printed to add dramatic effect*

So lame... I think I laughed out loud at this point. It was like watching some tacky News media show that only presents one extremely biased point of view and manipulates the truth. In Australia we have 'A Current Affair' for that type of bull****.

Mentioning that Fed Bank alters the money supply makes it seem legit to those that have little to no knowledge about these actions. The money supply is used to keep supply and demand in balance, so that the economy doesn't experience high inflation and we run at full employment - not used to raise the interest rate so that we can PAY MORE INTEREST to the Rothschilds and the Rockefellers.

[Out Of This Swirled]

Okay my last post in this thread honest.

Heres Outspoken 2008 presidential runner Texas Congressman Ron Paul on the subject of the Fed and the current problem and how the fed works. Not gullible me.

http://uk.youtube.com/watch?v=ji_G0MqAqq8