The International Institute of Monetary Transformation   [ click to return to main site ]   subscribe
Sep
20

US Government shutdown and internnational action

Post By gaia1 in American Monetary Matters

 Hardly anyone in the US points to the adverse international impacts of the looming government’s shutdown on account of crazy demands on budget and debt ceiling by Republicans. IMF’s Christine LaGarde points to the uncertainty these US financial actions cause to business, governments and civil society the world over. However, she does not mention any action that the international community should consider taking.

I for one and I am not the only one that favors the replacement of the U.S. dollar with Special Drawing Rights (SDRs) which were first proposed in the middle seventies after the Nixon Administration had  closed the dollar/gold exchange window. Civil society and perhaps business should start agitating and pressuring their countries’ financial authorities to have the IMF change its articles so that the US with its 18% voting rights is unable to block the decoupling of the U.S. dollar from being the international exchange currency. Once this process is underway, I for one and not many others yet, believe that we can use this reformed international monetary system to make a final transformational change by basing it on a carbon standard. This transformational change is needed because we are headed towards a climate catastrophe and we need drastic changes in global climate policies if we do not want to imperil people, species and planet.