Roberto Abraham Scaruffi: The Almighty Renminbi?

Monday, 18 May 2009

The Almighty Renminbi?

The Almighty Renminbi?

By Nouriel Roubini

Traditionally, empires that hold the global reserve currency are also net foreign creditors and net lenders. The British Empire declined - and the pound lost its status as the main global reserve currency - when Britain became a net debtor and a net borrower in World War II. Today, the United States is in a similar position.