Russia Switches to the Euro!!!

But remember the Unofficial Russian currency is the US dollar. Thats what most of the russian populas uses so until you weed all that out the euro conversion thing is distant/

Originally posted by Quicksilver
But remember the Unofficial Russian currency is the US dollar. Thats what most of the russian populas uses so until you weed all that out the euro conversion thing is distant/

At the moment, that is true, for the same reason that OPEC and everyone else still uses the Dollar (but wants to swap to the Euro).

The dollar is in such widespread acceptance that most of what is in circulation in Russia is from maybe 10 years ago. However, Russias signalling to use Euros for oil transactions is a clear signal of intent to eventually swap completely to Euros, likely within a couple of years.

The other thing I would point out, which was news to me, the article says the Central Bank has been buying euros for two years.

Uni, I think you need to go back to economics school. You obviously know little how it works.

The US is 300 million people, yet we consume FAR more products than your 600 million in Europe do. Without our consumption, you have no one to sell to. Production of your exported products will spiral down without a market to sell them to. Thus, you will make less, meaning LESS people are needed to work. More people will be unemployed. And, with your socialist systems over there, youre avergae citizens cannot consume as much as we can. Take also the fact, that when production drops, more jobs will be lost, and youll have a huge number of people who are unemployed, creating a larger burden on the govornment, who will tax to death the handful that work to support thier socialist systems and thier welfare states. Add to that without the US, you will need ALOT of money to build up a military to defend your interests here and there and everywhere.

You have NO concept of the interdepenacies in this world, and Europe is hardly in any position to gain control. ALL countries in Europe export to the US. Without a US market to sell to, ALL countries in Europe shall lose money.

The middle east would lose quite a bit too. The only way you could avoid being dragged down with us is to stimulate your consumer spending, which means, consumers must have more money in thier pockets TO spend. This means youll have to give up your welfare state and issue credit cards out like candy.

Otherwise, you fall with us.

Think and understand just how much dependance there is.

And ultimately, you might actually learn something for a change.

Next: The rest of Asia, then Africa won't be far behind. Everything is falling into place now...

Why cant they do it. they are part of europe too.

Huh? Russia is on the other side of the mountains there....in Asia...

Originally posted by Skadi_the_Evil_Elf
Uni, I think you need to go back to economics school. You obviously know little how it works.

Actually he doesn't. You do.

The EU nations export and import far more of their goods amongst each other and to the rest of the world than they do the US.

THe Euros and the dollars are both very outdated give it ten years and and there will be no currency just electronic transaction.

Which would make it easy to destroy,since it will be smaller....
They won't nuke the cattle,they need us.

A global currency would be much easier to implement once most transactions become electronic in nature.

But what happens in the third world or undeveloped parts of the world where infrastructure is much less developed?

Then they will have to issue a new currency to replace all the existing currencies in those parts of the world.

That will be the problem,those poor countries will take the resources of the rich countries to build infrastructure which they don't have.
It will have a levelling effect across the board and most people will become poorer unless thay are already destitute.
The destitute will be the only ones who actually benefit from a one world government or one world currency.
Slave planet.

Well I don't think the big boys who make a pile of cash controlling the currency markets will allow the current system to change anytime soon. Central banks across the world have been buying euros and selling dollars to reweight their current reserves. Now that the euro is a fully fledged currency it makes sense to diversify your risk. Asian and middle east names have all been very active buying euros and continue to this day. China has been especially active gearing up to floating the Yuan.

A lower dollar is not bad for the US either. It is currently nowhere near its historical lows (although in coming years it may well see them again). But the real question is will the dollar ever lose its place as the world's reserve currency? Only time will tell. Soros and Buffett continue to bet the dollar will fall dramtically in the future.

But what if:

a) a few strategically placed suitcase nukes in New York and Chicago are set off........or

b) a large earthquake destroys the west coast

then this would destroy the US economy for many years to come and the dollars place as the worlds currency reserve.

I disagree with you Seekerof that Russia doesnt want to be socialist/communist anymore. It seems they want the money that capitalism brings them, but still want to keep their socialist ideals and stil want to have a strong united mother Russia. If it sounds like its impossible....I have posted links to this before of not only Russian defectors, but at least one phd in Russian studies from the US that also writes about this.
This is the thread.
www.abovetopsecret.com...

This move tells me that what the Russian defectors have been saying about Russia's master plan is true. They keep trying to isolate the US from everyone, the Russian leaders and the Chinese are trying to keep us weak by threatening another cold war if we ever build a missile defense system, which we are doing thanks to Bush, and at the same time they keep funding terrorism. One more major attack by Al Qaeda, or other terrorist group, will really affect us economically and I am not sure we will be able to take another major blow.

It will be interesting to watch what Russia and China do in the next few months before the elections in the US.

if they axccept EURO's in russia that does not garantee you to get the best exchange rate !
but...
if you buy with euros in other countries that use also official the euro then you can make very very good bargains !
compare prices in eurolands for same products !