The US has plundered global wealth by exploiting the dollar’s dominance, and the world urgently needs other currencies to take its place, a front-page commentary in the overseas edition of the Chinese Communist Party’s People’s Daily said Oct. 24. “The grim reality has led people, amidst the panic, to realize that the United States has used the US dollar’s hegemony to plunder the world’s wealth,” said the commentator, Shi Jianxun, a professor at Shanghai’s Tongji University.
“The US dollar is losing people’s confidence. The world, acting democratically and lawfully through a global financial organization, urgently needs to change the international monetary system based on US global economic leadership and US dollar dominance,” Shi wrote on the eve of a two-day Beijing summit of the Asia-Europe Meeting (ASEM), consisting of 27 EU member states and 16 Asian countries. (Reuters, Oct. 24)
Oil-producing countries have already been moving towards ditching petro-dollars in favor of petro-euros.
See our last posts on China and the econocataclysm.
The real issue are currency reserves and debt, not how commodities are priced and trade settled.
Shi Jianxun says the U.S. has sparked this crisis… how convienent.
There isn’t a word in the Reuters article about the PRC’s mercantilist pro-dollar policy. I guess they agree: China has always been at war with Oceania.
The dollar hegemony hinges on Japan and China just like the pound hegemony of 100 years ago hinged on Japan… and India.
currency and hegemony
hello chinese friends:
It is clear that our governments will clash and perhaps come to blows over this imbalance. Please understamd that our government will not watch us crash as the Soviets did. people will die.
In order for a hegemon to rise they must placate the former hegemon or fight. pLEASES CHOSE PEACE.