Point/Counter-Point: Global Currency Will Save the World

By Jamie Garrett

We live in a time when the US dollar (USD) is losing power by the day. The UN has even called for an overhaul of the current global

currency, the USD, in exchange for a new global currency. Moreover, a global currency would be the solution to one of the biggest problems the world faces today: inflation. Inflation has crippled economies in recent history, and if a global currency was instated, inflation would become a problem of the past, in that a global currency is not affected by the ebb and flow of various countries’ respective economies.

A global currency would also make international commerce a more efficient process by encouraging foreign direct investment (FDI), which is when a company in one country makes a physical investment in the building or formation of a foreign company or factory. An FDI is essentially the establishment of an enterprise by a foreigner.

Another redeeming trait of a global currency is that it is much easier to draw up contracts and invoice internationally, in that there are no obstacles in the way of international commerce in regard to currency. Everyone has the same currency, and as such everyone is on the same level with respect to international monetary transactions.

Some would say that the establishment of a global currency would effectively start to kill diversity on a global scale, but really a global currency would make business more practical and more efficient on a global scale. Consider the implications of a global currency: global trading becomes more prevalent and more accessible.

Of course, another implication of a global currency is the complete restructuring of the legal tender used to make transactions, i.e. we would all get sweet new bills. Just imagine who would be on a global bill! Mandela? Helen Keller? The Pope? It would be awesome!