At 12:46 PM 08/22/2001 -0400, you wrote:
>Michael Perelman wrote:
>
>>Regarding Rob's musing about the dollar, Ellen's question was where would
>>people flee if they dumped the dollar?
>
>Flee? Dumped? You could have a marginal movement out of dollar assets into
>euro assets without crashing asteroids and other apocalyptic fireworks.
>Why is it so either/or - either rentiers are locked into U.S. assets, or
>they'll jump all at once into EU assets?
Ellen's analysis rules out the "nightmare" option, in which the dollar is
dumped as the main reserve currency. But she didn't rule out the
relatively minor option in which the dollar's value falls by say 10% during
one month, did she?
Jim Devine [EMAIL PROTECTED] & http://bellarmine.lmu.edu/~JDevine
