Replace Dollar as Reserve Currency? - Prof. Stiglitz of Columbia

[edpell]

Prof. Stiglitz of Columbia University said:

"The current reserve system is in the process of fraying," the Columbia University economics professor said at a conference in Bankok. "The dollar is not a good store of value. Right now, the dollar is yielding almost no return and yet anybody looking at the dollar has to say there's a high degree of risk."

Any thoughts on what we can use to replace the "fraying" dollar?

Being a Columbia graduate I am fond of the University and its professors. :)

 

[calculusrocks]

The obvious answer is gold, or a basket of precious metals. Gold is often purchased for its store value.

 

[jtbell]

Quatloos.

 

[Ivan Seeking]

A high degree of risk compared to what; the Euro?

 

[hypatia]

Quatloos.

Did the veins in your head flutter when you typed that?

 

[CRGreathouse]

A high degree of risk compared to what; the Euro?

 

[mheslep]

The obvious answer is gold, or a basket of precious metals. Gold is often purchased for its store value.

Gold can't offer an expanding money supply as the economy expands.

 

[calculusrocks]

Gold can't offer an expanding money supply as the economy expands.

Gold does offer value, however, when the money supply expands to an absurdity.

 

[Philosoraptor]

My vote goes to the peso. Mexico's good for the money.