The euro as a world currency

In my earlier blog-writing days on this website I pointed at supply and demand of money. This has partly to do with goods that one can purchase with it. I may not have elaborated on it enough.

In the case of world currencies there is also demand from abroad. This goes for the dollar, the euro and soon the renminbi (Chinese currency). I knew this already but I discovered whole pages on the topic on wikipedia.

This means that there is a huge demand for the euro outside of the European union. The U.S. has a very bad democratic system (which is now also officially labeled as such) and its national philosophy on priorities is terrible. The U.S’s hate for socialism makes it a very unfair and therefore unstable economy. The U.S. is very impopular in south america and the islamic world. Also the U.S. debt is way too high which makes the dollar unstable. If the U.S. government defaults there might not be a world currency dollar anymore.

If the eurozone wants to secure its world currency status it has to refrain from incurring huge debt and not wage too many wars abroad. I prefer that the E.U. has no military. Where there is war, there are warcrimes.

I prefer for the money to be put into circulation in the form of base income as dividends to the european citizens and to compensate for negative side effects of this status of the euro.

© Koos Swart 2013