A New Reserve Currency Is Not A Global Currency

By Steve Hynd

Something I didn't make clear enough in my post about Chinese plans to float a new "super-sovereign" reserve currency based on a basket of currencies rather than just the freefalling dollar, mainly because I never thought for a second anyone would be dumb enough to make such a leap of illogic - a super-reserve currency is not the same as a global currency. You'd still have dollars, pounds and yen rather than having bills denominated in SDRs. It's a plan that makes sense even for the U.S.

I was obviously wrong. Such a leap of illogic is apparently quite possible if your a paranoid, tinfoil-wearing, black helicopter wingnut scared that there's a plot to force you to become a gay hippie world socialist in the New World Order. Or if you're a cynically manipulative rightwing media type happy to inflame that paranoia for political gain.

Matt Y and Ali at Think Progress explain how Drudge, Glen Beck, FOX News and Michelle Bachman revealed themselves as exactly that cynically manipulative.

At what point will the masses who still support the Right buy a clue? The people they listen to don't want them to be well informed, they just want them to be scared and angry sheep, easily herded.

Comments

[Peter G.]

I wouldn't have thought clarification was necessary. Interestingly the last time the Chinese mooted this idea it shaved quite a few billion off the value of their stack of T-bills. Didn't happen this time. I wonder why?

[Hoppy]

Matt Y and Ali at Think Progress explain how Drudge, Glen Beck, FOX News and Michelle Bachman revealed themselves as exactly that cynically manipulative.

At what point will the masses who still support the Right buy a clue?

What a load of nonsense ... we all know that it was Geithner's comments that triggered the panic until he backtracked.

Will Hynd post a correction or apology?

If he doesn't, what does that say about him?

[Steve Hynd]

Hoppy, you're one of those who should buy a clue. Go do some reading. The "panic" began with reports citing the Chinese central bank's head making the idea explicit in a speech. Rightwing pundits jumped from "reserve" to "global" currency with no reason to do so. A FOX News reporter then asked Geithner about this new "global currency" and Geithner's response was the first he'd said about it.

So, do I get a retraction from you or are you just a drive-by commentator?

Regards, Steve