The fate of the world's currencies in the wake of the demise of the dollar. - page 97
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I'll shut up now, in the presence of such a guru of economics one can only be silent and listen. I have no desire or time to compete with you in graphomania. Gone. To the factory.
No offence, it's just that your theses are unsubstantiated and you don't even seem to be trying to defend them.
What would happen if the dollar was worth 1 ruble?
the ratio of commodity prices is supposed to be the true exchange rate
In theory, the ratio of commodity prices is the true exchange rate
In a perfect world and taking into account transport and transaction costs and the fact that for some goods the elasticity of demand / ability to pay of the local population is much more influential.
In a perfect world, and taking into account transport and transaction costs and the fact that for some products the elasticity of demand / ability to pay of the local population is much more influential.
yes, prices are different
otherwise there would be no trade between countries
Sometimes it is more profitable to buy from a cheaper buyer and you can eat their fill ;)
I'll shut up now, in the presence of such a guru of economics one can only keep silent and listen. I have no desire or time to compete with you in graphomania. Gone. To the factory.
There's no need to be silent. You and other participants of a branch I urge to ignore the drifter who is not capable to conduct a constructive dialogue and without belittling the knowledge and personality of opponents. on moderators long ago there is no hope, unfortunately.
There is no need to be silent. You and other participants of a branch I urge to ignore Drimmer who is not capable to conduct a constructive dialogue and without belittling the knowledge and personality of opponents. on moderators long ago there is no hope, unfortunately.
Drimmer is constructive, unlike you screamers who do not know even the basics of macroeconomics, you throw in unsubstantiated fairy tale legends and your own fantasies.
What would happen if the dollar was worth one rouble?
"Barack Obama dies. After 10 years, he gets bored and asks God to let him go to Earth to see how his country is doing. God lets him go.
Obama walks into a bar in New York, orders a beer and asks the barman how his country is doing, how it is developing, what problems it is solving.
The barman is surprised:
- What problems can there be? We are the Great Empire, everything is ours.
- How is it ours? What about Iraq, Afghanistan?
- Everything is already ours!
- And Europe, Africa, the Middle East?
The barman pulls a globe from under the bar and proudly twirls it around:
- I told you we're an empire, the whole world belongs to us!
Obama, happy, proud and satisfied, finishes his beer and says:
- Well, thanks, mate! How much is it?
Bartender:
- One rouble and twenty kopecks..." :)
There is one country in the world where the Central Bank (is there one?) is not allowed to print currency at all. I won't say which one. There, the government orders it from the Fed, pays for it, and then pays the annual rent.
What's with all the secret secrets?
Barack Obama dies. After 10 years, he gets bored and asks God to let him go to Earth to see how his country is doing. God lets him go.
Obama walks into a bar in New York, orders a beer and asks the barman how his country is doing, how it is developing, what problems it is solving.
The barman is surprised:
- What problems can there be? We are the Great Empire, everything is ours.
- How is it ours? What about Iraq, Afghanistan?
- Everything is already ours!
- And Europe, Africa, the Middle East?
The barman pulls a globe from under the bar and proudly twirls it around:
- I told you we're an empire, the whole world belongs to us!
Obama, happy, proud and satisfied, finishes his beer and says:
- Well, thanks, mate! How much is it?
Bartender:
- One rouble and twenty kopecks...
😊 But it would be really convenient to have a single global currency, a single equivalent of value.
What is surprising is the failure to understand the simple fact that everyone loves a free lunch, regardless of religion, nationality or party affiliation. The status of the world's currency is exactly what gives the citizens of the country of immigration free lunches at the expense of the rest of the world. For example, why has there been a very painful reaction to the proposal to sell Russian gas for roubles? It would seem to make no difference what kind of notes to sell it for. But it is clear to anyone slightly acquainted with economics that this means that the buyers keep ruble-denominated accounts for several trillion roubles all the time. Or, in other words, to lend the Russian economy that amount for free. It is clear that in the current circumstances it is a bit at odds with the party's general line. In fact, the status of the world's reserve currency gives the US economy such a permanent free loan, only on a much larger scale.
The Triffin paradox was relevant before the rise of forex, actually, in a sense, the Jamaican agreement was designed to cure the negativity of the Bretton Woods system, including it. The SDRs were created in the pre-Forex era, and then they became a kind of artificial currency for the functioning of the IMF, linked to the forex quotations. To expect them to replace any currency is very naive. Compare the scale, the state or Chinese economy and the size of the IMF.
If you get really annoyed by my attempts to articulate my vision of the future, I will shut up. To be honest I am not particularly keen on it.
There is no practical sense in loving what does not and cannot be) Using any national currency as a reserve currency is potentially dangerous to the economy of both the issuing state and the entire world economy. This is why SDRs have been invented and are slowly being built up - just last year they were dramatically tripled in volume.
The demand for rubles for gas and the reaction to it is a local story within the sanctions war and attempts to counter it.