Doug sez:
That's the way I normally see it, but it's amazing how hard the rest of the world has fallen in this financial/economic crisis. Our Treasury is having - so far - no trouble selling its bonds, unlike some other countries. The dollar's holding up - after weakening from about $1.25/euro in mid-2006 to almost $1.60 last summer, it's back to $1.30. For now - but the periphery of the eurozone is in trouble and there could be some drop-outs yet. I guess the decline could be pretty slow.
Gulick sez:
I don't disagree in the least. The proof in the pudding is that every day when I wake I thank my lucky stars that I didn't convert my dollar savings to a Euro-demoninated offshore account. (Although the time may arrive in the not too distant future when I do just that.) The reason I say "hegemon in decline" rather than simply "hegemon" is because the demise of US primacy is inevitable and has already begun, regardless of how slow and inexorable is the process... and regardless of what the outcome is. (I vote for system collapse, since I still belong to the Mark Jones catastrophist camp ...although with estrogen shots.)
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