Is the cost of moving to a single global currency worth the gains?

No

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by J. Merrill

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Moving to a single global currency, although it could provide many gains, especially to developing countries, it would only weigh dowm modernized/first world countries. Equalizing the currency would create a downword spiraling economy as the inflation rates, especially in developing countries would go crazy. But instead of driving just that specific country's currency down, it would effect the world as inflation spread like a virus from the starting point infecting economies in an outward ring.

For a true global currency to work, it would have to be done under one government. Although many can point to the European Union as a sign of hope for a global currency, It remains to be tested by bringing in third world countries or others that have a significantly different culture. Although there could be a political bump here or there, no war is going to threaten the European Union anytime soon. The countries have been diplomatically close allies since the middle ages and they share a vary similar culture. On the other hand, the world is already involved in a war that has the potential to explode into WW III in the near future. What would happen to the currency then, or during a regular war, wouldn't the opposing side break away from all diplomatic and economic relations from the attacking party? Why would it keep the world's currency if it is being rejected by the world? Therefore a rift would be created that could be related to the Great Schism of Christianity. It would divide the world into two currencies, which would only promote hostilities.

The world at this point, with multiple civilizations, would be unable to cope with a global currency. It would take years to figure out a fair scale of how to convert a nation's current currency into the global currency. This would involve arguing, increased political tensions, and possible rifts to occur as a country feels cheating in the way their currency was exchanged. The hassle of getting a fair exchange rate alone could bring war down upon us. Along with the years it takes to find fair exchange rates, it would be impossible to instantly convert all the world's currency into the new global one. That process could take years due to the immense amount of paper money that is currently in use all around the world. Although if we had already switched to a completely plastic era of currency, the change could take place in a matter of hours. Which would remove most of the labor intensive burden off a rush to exchange money from bank tellers around the globe.

Although a global currency could unite us and help us achieve a single united humanity, the risks involved at the present far outweighs the gains possibly achieved, along with the direct risk that it would fail and drive countries further away from each other along with being impractical, and too large of a challenge for most developing countries.

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