A bipolar currency regime will replace the dollar’s exorbitant privilege

Financial Times/Nouriel Roubini/2-6-2023

“Sceptics argue that the global share of the US dollar as unit of account, means of payment and store of value hasn’t fallen much, despite all the chatter about a terminal decline. They also point out that you can’t replace something with nothing — as former US Treasury secretary Lawrence Summers put it: ‘Europe is a museum, Japan is a nursing home and China is a jail.'”

USAGOLD note: Roubini argues that the dollar’s exorbitant privilege is nearing an end as the world moves toward a bipolar regime – one centered on China’s renminbi and the other on the US dollar.