you are currently viewing::A Critical Look at Dollar DominanceMay 23, 2025--The dollar remains central to the global economy despite the search for alternatives. Rogoff compares the dollar's post-World War II performance with other major currencies. While the Soviet ruble was never a serious competitor to the dollar, the Japanese yen at one point was. However, the yen’s sharp appreciation after the 1985 Plaza Accord fueled a bubble in Japan's stocks and real estate. By the time Japan had recovered from the bursting of the bubble, the US and its dollar had forged ahead. Source: IMF.org |
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