Do Americans understand why this is such an important story?

By Stephen Brown ADVERTISEMENT ROME (Reuters) - China, Russia and Brazil will use this week's G8 summit in Italy to push their view that the world needs to start seeking a new global reserve currency as an alternative to the dollar, officials said on... show more By Stephen Brown
ADVERTISEMENT

ROME (Reuters) - China, Russia and Brazil will use this week's G8 summit in Italy to push their view that the world needs to start seeking a new global reserve currency as an alternative to the dollar, officials said on Tuesday.
http://ca.news.yahoo.com/s/reuters/090707/world/international_us_g8_summit

Some nations have dumped their use of US dollars . China buys oil from Iran in Yuans not dollars

There is no international law demanding the US dollar be used in international purchases ----- but it has been used in almost all international markets as the world reserve for decades

Nations which buy oil horded US dollars - Nations bought Treasury bills and dollars to trade on the global market for their nation

As such the US is the only nation with the privilege of paying its debts in its own currency Other nations have to buy US dollars to pay their debts

--------------------

If the US dollar is dumped and nations no longer have to buy US dollars to purchase oil or international goods or pay off their existing debts with ------------- trillions upon trillions will flood the open market places --------


Hyperinflation worse than Zimbabwe

Imports will almost imediately drop to zero ---- and import dependant industiries will declare bankrupcy and food will cause riots in the streets

Do Americans understand why this is such an important story ?
13 answers 13