Tesco
The Dollar’s Imperial Circle
Report

The Dollar’s Imperial Circle

Ozge Akinci, Gianluca Benigno, Serra Pelin and Jonathan Turek
Federal Reserve Bank of New York, 2023
Get the Report

Read or listen offline

  • 0.5×
  • 0.75×
  • 1×
  • 1.25×
  • 1.5×
  • 1.75×
1×

Editorial Rating

8

Qualities

  • Analytical
  • Background
  • For Experts

Recommendation

Strong and stronger: That’s the story of the US dollar’s seemingly unending upward trajectory. Because the United States relies less on manufacturing than do other nations, the American economy has become increasingly insulated from the outside world, while the dollar continues its reign as the world’s currency of choice in trade, banking and foreign exchange. Economists Ozge Akinci, Gianluca Benigno, Serra Pelin and Jonathan Turek provide an expert overview of how hawkish Federal Reserve policy fortifies this feedback loop: The dollar buffers the US economy while emerging markets suffer the knock-on effects.

Take-Aways

  • The US dollar rules the global monetary system.
  • The dollar imperium results from the global economy’s current state of affairs.
  • The American economy, while increasingly global, is growing less exposed to foreign developments.
     

About the Authors

Ozge Akinci and Gianluca Begnino are with the Federal Reserve Bank of New York. Serra Pelin is with the University of California, Berkeley. Jonathan Turek is with JST Advisors.

Comment on this summary or 开始讨论