Details

Autor(en) / Beteiligte

• Kenen, Peter B

Titel

The euro versus the dollar: will there be a struggle for dominance?

Ist Teil von

• Journal of policy modeling, 2002-07, Vol.24 (4), p.347-354

Ort / Verlag

New York: Elsevier Inc

Erscheinungsjahr

2002

Quelle

Access via ScienceDirect (Elsevier)

Beschreibungen/Notizen

• The international role of a national currency has many dimensions. In domains such as foreign-exchange trading, single-currency dominance can be expected, and there is no evidence that the euro is displacing the dollar. In domains such an portfolio management, diversification can be expected, and the advent of the euro is having discernable effects. In still other domains, such as reserve management, outcomes depend on these two tendencies jointly; the currency-composition of reserved depends on the roles of various currencies in foreign-exchange trading but also depends on the forces governing other forms of portfolio management. Thus far, however, the reserve role of the euro has not much exceeded that of the deutsche mark. The paper predicts a growing role for the euro in the monetary and currency regimes of countries that will soon join the EU but finds no reason to believe that the euro will displace the dollar as the main international currency.