Oorgo: No longer world leaders? Gee, who would have predicted...

November 15, 2004

No longer world leaders? Gee, who would have predicted...

According to Worldchanging.com, Europe may soon be the world's biggest economy, meaning that the IMF would have to move overseas. After 60 years of being on American soil this would send a huge message that if things don't change the US could go into a slump like they've never seen before.

In fact, some time in the next four years, the dollar is almost certain to drop by as much as 50% or even more against some key currencies...the E.U. is only a 10% drop away in the dollar's value from being the world's biggest economy, and Asia is on the march."

Posted by Oorgo at November 15, 2004 03:58 PM

Comments

It does not appear that the IMF would move. It is located as follows: "The principal office of the Fund shall be located in the territory of the member having the largest quota . . ." (Art. XIII of the Articles of Agreement). The European Union, which I assume you mean when you refer to Europe, is not a member (http://www.imf.org/external/np/sec/memdir/members.htm). The individual European countries are, but the EU is not. Upshot, the IMF ain't going anywhere so quick.

Posted by: RP at November 19, 2004 01:31 PM

Interesting to know, I pulled that story from worldchanging.com... and it was from pulled from an interview with (I believe) economist Clyde Prestowitz.

Posted by: Oorgo at November 19, 2004 01:58 PM