Re: Hegemony and Control, was "question folks"

On Mon, 8 May 2000, Gunder Frank wrote:

> Imagine if they would call in teir bets. The Euro has b een falling vs
> the dollar, b ut the Europeans still keep oodles ofeservces in $$ in the 
> US. if they would transfer some back hok - as wea expected tehy would do 
> whebn the Euro came in - the US $ would plummet and the US econ son
> after. So why dont they? Good Question.

Probably keeping their powder dry, is all. There was some study by
Deutsche Bank which showed that the Eurozone now has 150-200 billion EUR
in excess dollar reserves, now that many cross-European markets have
vanished; they could sell those at an enormous profit any time they want
to. Possibly the Eurobourgeoisie want a soft landing for the US
economy, and are fearful of touching off a double-barreled dollar/stock
implosion which could boomerang on them (the EU has tons of money invested
in the US right now, and would take a bath on this, just like Japan got
burned by the 1990-92 slump).

-- Dennis