Nobel prize winning economist Joseph Stiglitz spoke out on April 10th on the need for a new global currency while attending this weekend's Bretton Woods conference in New Hampshire that was organized by George Soros. The conference, which is being held from April 8th through today, is being seen as coming together of many of the world's top academics, economists, and political leaders with the primary focus of creating the foundation of a new global economic system, and a new global currency.
Stiglitz focused on the trade imbalances and credit worthiness that the United States has endured over the past decade, and believes that a new global currency would help balance markets in regards to trade and international transactions.
“By taking off the burden of any single country, we don’t have to have trade deficits,” Stiglitz said in an interview in Bretton Woods, New Hampshire. “Things would be much worse if it were not the case that Europe was having even more of a problem, but winning a negative beauty pageant is not the way to create a strong economy.” - Bloomberg
As the dollar continues to fall below 75 on the index, and nations around the world begin to seek alternative methods for international transactions, the viability of the dollar remaining the world's reserve currency becomes less every day. China and Russia have already moved away from the use of 'petro dollars' in their oil contracts with one another, and instead are choosing to trade in both Yuan and Rubles, rather than the dollar.
Americans should be very concerned over both the continuing devaluation of the dollar, and a private gathering of bankers and economists to change our currency. Since the credit crisis of 2008, the Federal Reserve has created a monetary policy of inflation and currency destruction in their cheap money and debt monetization, and it appears that it has now opened the door for introduction of a global currency to replace the dollar.
Nobel prize economists such as Paul Krugman and Jospeh Stiglitz carry great weight in their opinions for economic direction and policy, and after attending this weekend's Bretton Woods conference held by Soros, Stiglitz appears to have thrown his hat into the ring for removing the dollar, and being in favor of a new global currency.
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