Hello dear friends, Than every country is noisy and concerned about the exchange rate, every day at any time, should all countries in the world use only one single currency as a means of trading and transaction exchange? I personally cannot imagine if that could happen.
If it will be done equal pros and cons should be face by the world. There is no more currency risk when involve in International Trade. A big demerit is if any country will face crisis it will impact to the all over the world.
You can think about the use of USD as the "single" currency in a subset of the world economy i.e. trade of oil. What are its implications? It also depends on the status of the single currency. Who creates it, who controls it, who owns it, who uses it and what for? Another aspect is that we should compare it with fixed exchange rates, or floating exchange rates. I'm sure that different conditions provide different answers.
Actually, I think there is not a single clear answer to your question. First of all we should establish the basic framework of the discussion.
Dear Amirdha Vasani Sankarkumar
Most likely, especially if the purchasing power of a country weakens due to the disruption of the balance between state revenues and state expenditure, while on the other hand conditions of trade stability are always changing due to fluctuating commodity demand. But at least that will reduce the "currency value difference" war which is also a source of economic disaster for certain countries that have no economic power and purchasing power due to the lack of natural resources in the country. Thank you very much for sharing. and Mr. Thomas Markopoulos Really this is still limited to the concept, it can be real or even real hard, if we look at EEC in Europe, there are still countries that finally decide to leave, because the impact and implications of one currency are not as beautiful as concepts and theories, if only they could implement, is it possible for all citizens of the world to be happy and prosperous? thank you very much for your opinion which is quite useful. and Mr. Emmanuel V Murray thank you.
The economic leaders will not allow it since they are getting money from all of us thru instabilities in the world. Do not you see that they produce wars to make money thru the weapons and the destruction of states?
- Badges
- Science topic
- Similar topics
- Medicine
- Physiology
- Biosignals
- Biomedical Signal Processing
- Statistical Analysis