Euro article

[GeorgeF]

If anyone has alot of money in cash (US$) or US$ bonds (except TIPS and maybe Junk) this may interest/scare you.

The euro's big chance: The dollar's reign as the world's undisputed reserve currency could be drawing to a close

http://www.prospect-magazine.co.uk/start.asp?P_Article=12667

[Zeno]

That was an interesting article. Thanks for Posting it. I think the US should issue a $500 paper bill. Get rid of the paper dollar and use coin, and put George Washington on the new $500 note. But that is just an aside.

Sounds like the world is due for an economic crises. I need to get another box of cigars to celebrate. The only thing I have in Europe is the Vanguard index fund VEURX.

Perhaps the Euro will replace the dollar. Of more immediate concern is if the 'free' credit the US is getting dries up.

Americans should be encourged to save and invest more. Any ideas?

-Zeno

[GeorgeF]

"Americans should be encourged to save and invest more."
Whose going to buy all that stuff? Africans. The only way to encourage savings is by increasing interest rates. Also as people age they cash out of savings. As to investing, with the exception of public employees pensions seem to be disppearing. I personally think that the IRA thing has gone too far, ordinary people just can't handle them, it's insane.

"Sounds like the world is due for an economic crises."
I was surprised when Enron, WorldCom, Montana Power (now talk america) collapsed there wasn't more chaos. I'm also surprised that people aren't demanding that the government bail out their IRAs (like government pensions are).

"I think the US should issue a $500 paper bill. Get rid of the paper dollar and use coin"

That would reduce the weight of those suitcases going back to Columbia by 80%. I like it. Higher denomination coins might be good for slots, and therefore state budgets.