Currency, also known as circulation money, is a unit that serves to trade and exchange goods of countries around the world. Whether appearing in the form of coins or paper money, each currency has its own name and origin.
Like culture and language, every country has its own currency. Have you ever wondered why those currencies are so named?
Currently every country issues its own currency, some people will consider whether this is the best economic choice. Thinking about this aspect is also one of the reasons for making money in each country.
The theory seems to originate from the natural things to find the study site, which is also an important symbol to distinguish between the big cow and the ordinary cow. The current level of economic and financial integration in the world is deeper than ever. So how can the same currency be understood in this respect?
1, THE RECENT UNIFICATION OF GLOBAL CURRENCY IS THE BRETTON WOODS SYSTEM
For more than 20 years of two world wars, the world economy is extremely unstable, the currencies of many different countries have changed and there are still concerns about economic issues. Therefore, after the Second World War, the leadership of the United States and Britain was established in the world.
This set up in the hope that there is a global monetary construction system and wants to establish that currency usage with all countries around the globe. Both the United Kingdom and the United States have made their own plans, but because of the strong overall strength of the United States, the final plan of the United States is adopted, namely the “Keynes Plan.”
This meeting is called the Bretton Woods system because it opened at Bretton Woods, New Hampshire, USA. Its general meaning is that the dollar is linked to gold, the currencies of other countries are pegged in US dollars at the exchange rate. This is equivalent to unifying the global currency to a certain extent.
This system you can also realize, countries with full power will play a leadership role, in this system the United States plays a leadership role. Since we want to unify the exchange rate, each country cannot print money randomly. If you print more, the exchange rate cannot be controlled.
This is equivalent to disguised global currency control, plus a unified exchange rate, closest to the global unified currency.
2, PROBLEMS ENCOUNTERED IN THE UNIFICATION OF GLOBAL CURRENCY
When a country’s economic development is not as good as expected, its currency will depreciate, thus leading to an increase in the price advantage of products in the international market.
The benign consequence is to promote exports and reduce imports (encouraging consumers to consume domestic products and increase domestic business income). But once there is any economic commentary, the currency devaluation will cause foreign investors to withdraw money.
Currency represents a certain level of national interest. There may be national currencies in national borders. The premise for approving currencies is that all countries join a large community, creating free human resources and resources within the community.
If the currency is agreed, then it is necessary to consolidate the countries. If the world is considered a country, then each country is a bank or a company. If people develop healthy, they will become safe. If a country has a financial crisis, its currency will depreciate, which is a morality for businesses.
First, the issue of currency is a manifestation of a nation’s sovereignty and a manifestation of a nation’s financial strength.
Under the current conditions of the world economy, are countries willing to transfer financial power to a unified international organization? Even if they want the composition of an organization and how to vote to find the leader is a problem.
Second, if the unified global currency requires a unified system, it has not yet been formed.
Currency is a sign of wealth and sovereignty. The unified currency means the distribution of wealth and the deletion of a part of the sovereignty of nations in the world.
Third, unification of money should be based on economic development. When the economic development of the two countries is different, the price of labor will become different and the currency will be unified, which will cause great fluctuations in prices and encourage a lot of speculation leading to instability in the financial main.
3, THE UNDERLYING CAUSE OF PREVENTING THE UNIFICATION OF GLOBAL CURRENCY
First, geographic assets and productivity levels are different between regions. There are huge differences in resource resources and productivity levels in different areas.
After unifying the currency, the issue of economic differentiation in different areas will become more serious. In different places will have different resources and productivity levels.
Second, what is the most important issue?
Limited energy and growing population will certainly allow some countries to expand their interests and apply different means, if through such things as global currency unity will make nations This family is limited and if possible, they want to limit you to the extent they want you to be.
When there is a tendency for state organizations and coalitions to arise and harm the interests of the United States, there will be divisions. This is due to economic benefits. Currency issuing rights can be controlled by themselves to affect the domestic economy. Therefore, global integration in this context is also a long way.
Third, what is the most practical problem?
Many languages, customs, religion, culture, ideologies and different nationalities constitute a humanity like we do today. Not to mention if successful integration will bring an increase in population movement, leading to a series of conflicts caused by different cultural languages. Normally, currency will be the cultural combination of the respective countries.
However, we can see that the world has come closer to this point. Fortunately, the world is becoming integrated, integrated, eliminating differences and boring at an alarming rate.
The goal is considered to be silly when speed is approaching the limit by aircraft, ships, high speed trains, 3G, wireless networks. The boom of information technology and transport capacity has surpassed geographical limits and made the world and ethnic groups more connected.
The younger generation is becoming more and more similar. The improvement and dissemination of education has made the language barrier disappear. In the future people will be like a panda, and can have a door to unify the world currency.
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