The USD is basically the foreign currency reserve that backs most poorer nations currency.
True, but it doesn’t have to be that way forever.
The Euro, for example, could become the new global reserve currency and those countries who switch to that wouldn’t suffer any significant long term harm.
The currency reserve market has been diversifying for a while now, so I’m sure it will happen over a long period of time. The main problem with switching to the euro would just be for the EU needing to find a stable reserve.
True, but it doesn’t have to be that way forever.
The Euro, for example, could become the new global reserve currency and those countries who switch to that wouldn’t suffer any significant long term harm.
The currency reserve market has been diversifying for a while now, so I’m sure it will happen over a long period of time. The main problem with switching to the euro would just be for the EU needing to find a stable reserve.