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Sunday, November 4, 2012

''Dollar to face crisis of confidence''

From FT Advisor
By John Lappin

''The eurozone crisis has delayed the emergence of the euro as a rival reserve currency to the dollar, but the Chinese renminbi is accelerating fast according to University of California Berkeley economist professor Barry Eichengreen.

Professor Eichengreen says that his original contention - that we are moving from a world with one reserve currency to a multi-polar currency world - still holds.

He outlined this theory in his January 2011 book ‘Exorbitant Privilege’ and has now updated this work in a white paper published with the DWS Global Financial Institute, a think-tank set up by DWS, Deutsche Bank’s retail asset management arm.''

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