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-We contemplate a scenario where the US dollar loses its reserve status. What would happen to the prices of the assets in the US? What would happen to stock and bond prices? What would happen to real estate? What would happen to the cost of living? Tax policies would definitely change and the nation would drift further into outright socialism to compensate for the spiraling costs of daily life.
–IMF – Currency Composition of Official Foreign Exchange Reserves (COFER)
-A discussion of all the current alternatives to the USD and what would have to happen for the USD to lose its reserve and transaction status. A discussion of why the USD is different than all the other current alternatives and why shaking the world of its dollar habit will be very difficult.
-The IMF’s SDR and its shortcomings. The drawbacks of gold.
-How asset prices respond to a dollar collapse.
-The idea of asset confiscations and “bail-ins” revisited. The reasons why we have not heard of these topics for several years.