The Exhaustion of the Dollar : Its Implications for Global Prosperity

The U.s. Dollar Has Served As The Key Currency Of The International Economic/financial System For Over Fifty Years. This Study Assesses The Proposition That The Series Of U.s. Current-account Deficits Over The Last Twenty Years Will Shortly Exhaust The Capability Of The Dollar To Continue As The Key Currency. The Evidence In Support Of The Proposition Is Strong. The Implications Of Exhaustion Will Be Serious And Need To Be Addressed Quickly.--jacket. Pt. I. Introduction -- 1. The Purpose And Three Propositions -- Pt. Ii. How A Hegemonic System Works -- 2. Background Concepts And Relationships In A Globalized World -- 3. A Theory Of Balance-of-payments Adjustment For The Hegemon -- 4. A Model Of Instability In Asset Markets -- Pt. Iii. Exhaustion : Soft, Hard Or Very Hard Landing -- 5. The Data -- 6. Assessing Propositions One And Two -- 7. The Efficiency Of Adjustment -- Pt. Iv. Confronting The Future -- 8. Policy Options And Constraints -- 9. The Transition Problem -- 10. A Proposed Agenda For Redesign -- Pt. V. Concluding Assessment -- 11. The Grim Prospect Ahead. H. Peter Gray. Includes Bibliographical References (p. 205-210) And Index. Front Matter....Pages i-xi Front Matter....Pages 1-1 The Purpose and Three Propositions....Pages 3-32 Front Matter....Pages 33-33 Background Concepts and Relationships in a Globalized World....Pages 35-51 A Theory of Balance-of-Payments Adjustment for the Hegemon....Pages 52-72 A Model of Instability in Asset Markets....Pages 73-85 Front Matter....Pages 87-87 The Data....Pages 89-110 Assessing Propositions One and Two....Pages 111-126 The Efficiency of Adjustment....Pages 127-139 Front Matter....Pages 141-141 Policy Options and Constraints....Pages 143-156 The Transition Problem....Pages 157-161 A Proposed Agenda for Redesign....Pages 162-171 Front Matter....Pages 173-173 The Grim Prospect Ahead....Pages 175-181 Back Matter....Pages 182-215

the U.s. Dollar Has Served As The Key Currency Of The International Economic/financial System For Over Fifty Years. This Study Assesses The Proposition That The Series Of U.s. Current-account Deficits Over The Last Twenty Years Will Shortly Exhaust The Capability Of The Dollar To Continue As The Key Currency. The Evidence In Support Of The Proposition Is Strong. The Implications Of Exhaustion Will Be Serious And Need To Be Addressed Quickly.

Annotation The U.S. dollar has served as the key currency of the international economic/financial system for over fifty years. This study assesses the proposition that the series of U.S. current-account deficits over the last twenty years will shortly exhaust the capability of the dollar to continue as the key currency