The "rub" is how to prevent currency corrections from taking on a life of their own, turning economic admonishment into economic murder.
The CBs haven't quite got that down quite right yet.
Ron, I yield to those on this thread that know a lot more about this than I do, but ...
Isn't it in the best interest of all nations to ensure that no currency collapses entirely? One nation or alliance may in fact 'punish' another, but not to the point of total victory. As I understand the situation, that is what is going on with the Euro right now. Each nation is pulling in its own direction, for its own benefit, and the alliance is falling apart. Until there is some sort of central authority (real authority, not the will-o-the-wisp they now have) the Euro doesn't stand a chance. Thus, other nations that will benefit from an economically united Europe are saddled with the task of supporting a doomed currency.
So, Ron, to continue this line of thought, doesn't this John Dunne view of the world economy ("no man is an island...") support the contention that the only way one regional economy could survive the repercussions of destroying another nation's currency would be to also assimilate that nation's government? I don't much care for where this line of thought leads, though -- sounds too much like a blueprint for a "one world government" plan, one step at a time. If Europe would be first in this campaign, who would be next? Africa? Asia?
But, I'm letting my imagination run wild, I suppose. I'm still trying to figure all this out.
jim |
