The name of the article that I choose to do my article review on is called Imagining the Dollar Without Its Privilege. This is a very interesting article writing by Eduardo Porter for the New York Times on October 15, 2013. This article is all about the uncertainty of the worth of the U.S dollars and what it might mean to our nation and the rest of the world. A very interesting quote from this article made by George Soros is “the dollar is the weakest currency except for all others”. The article addresses concerns around the world about the U.S currency which has been downgraded for the first time in history by the rating industry Standard & Poor’s. The article talks about how the U.S dollars is the world reserve currency, which currently holds two-thirds of the world’s foreign reserves (mostly treasury bonds) and also half of the world foreign debt securities. Furthermore the article states that with all the internal issues the U.S is facing with Republicans in Congress threatening default as a leverage in order to eliminate Obamacare, the rest of the world are shifting in finding an alternative for the dollar. The article discusses some upside for the dollar losing its reserve status, stating that “the job of reserve currency is too big for the dollar to shoulder alone”, however it also goes into detail about some of the disadvantage of the dollar loosing value and the world shifting to a multipolarity, stating the world might be financially riskier.
The article was very interesting and cover a lot of great concerns we are facing today. It is very unfortunate some of the internal issue we are facing in our nation. We are supposed to be a nation united, but instead we are not. Politicians are fighting among each other and taking tactics that are greatly hurting our nation as well as the rest of the world. It is to no surprise to why other countries are looking to alternate currency reserve. As the former Treasury official Charles Dallara...
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