In short , no.Highly doubtful anything will collapse the USD. Europe already uses the Euro thats fine on its own.
We are talking about 2 major nations, China and India. If they would refuse the US$ then it might cause a significant price shift.
But lets be real, China and India cant afford to play that game.Russia might , South Africa sure who cares. But the two behemoths no way.
There are a couple of simple questions here that no one can answer without using populist ideas and slogans:
- why would India and/or China abandon the dollar?
- what economic benefits will India and/or China get by changing the international currency
- and what can the international reserve currency be exchanged for?
Just 2 facts:
- India buys oil from Russia for Indian rupees, and resells it for DOLLARS.
- China is not abandoning the dollar. China is trying to find "donor" countries that will accept the yuan, replacing the dollar with it, which will take over part of the inflationary processes within China.
It's funny, right? Some folks treat the USD like it's untouchable, a currency from the heavens that'll never falter. But the truth? The global economy's a wild maze. China and India might not ditch the dollar now, but don't count out the future.
Switching to a fresh global currency? Perks abound. It'd loosen Uncle Sam's grip, giving others a voice in the money game.
Sure, we can't predict the future with crystal-ball accuracy, but assuming the status quo lasts forever? Absurd. Time to explore alternatives, brace for a world where the USD doesn't rule supreme.
I completely agree with you - "nothing lasts forever under the moon"
But if we talk about the dollar as the world's reserve currency and the currency of international payments, then no matter how "bad" it is, it's the best at the moment. And the problem is that we can't see an alternative!
I am not a "fan of the U.S.", I am a pragmatist who evaluates the world by real factors. For years I have heard some countries "moaning" that the "dollar is evil" (though for some reason they can't prove it
), and that the dollar must be replaced - but they can't, again, point to its "substitute" in a reasoned way.
Whether we like it or not, at this moment, and for decades to come, there is NO alternative to the dollar!
I have said many times that the international currency (currently the dollar), MUST have a mass of indicators. But ... the problem is that even such a strong and secure currency as the EURO, does not have in the right quantity and quality, all the necessary indicators to replace the dollar globally ! Any other currency will lead to a wild fragmentation of the world market, complication of mutual settlements, and a real loss of a single measure of value.
If you really know of a currency that has all the necessary qualities to replace the dollar - let's discuss ?