IN THE FUTURE WILL THERE BE JUST ONE GLOBAL

CURRENCY AND WILL THIS BE GOOD FOR BUSINESS?

Prepared by: Sabira and Jesica.

What does Globalization mean?

Interaction Integration

Involves: Technology Economy Politics culture

communication

transportation

infrastructure

Definition of 'Currency'

Form of money Exchange for goods and services Basis for trade

Benefits of a single world currency Transaction costs Forex reserves Currency risk Currency failure Current account deficits

An ideal currency would be characterized by three attributes:

a fixed value convertibility independent monetary policy

Different

economic positions

Different

problems

Different

costs

Different countries

1.Different countries have different economic positions.

I want to stimulate the economy, so I have to

carry on relaxed currency policy!

In order to control inflation, we must tight currency!

GERMANY

Franc

e

U .S .A FRANCE

GERMANY

CHINA

U.K.

!P K!

U.S.A.

china

FRANCE u.k

.

2.Different countries face different problems

U.S.A DEBT CRISIS

CHINA INFLATION (CPI)

DEPRESSIONGERMANY

…

How to solve this problem?

3.Costs for different countries are not the same.

COINS RIGHTS

Which country should own it, how to decide, by war?

Evaluation

Elimination of

transaction

maintaining forex

reserves

benefiting foreign

investors

foreign investment

decisions

advantages

disadvantagesDifferent economic positions

Different problemsDifferent costs

What will happen?

It is still a question~~~

THANK YOU!

By jessica, sabira