Many central banks around the world would like to implement a policy of using a super global currency in an attempt to fix their economies. The reason why any fiat “super” currency is doom to fail is the fact that most of the economies around the world are in a mess for similar practices. These practices are central economic planning, fiat currency, legal tender laws, central banking, fractional reserve banking, and unstable tax rates. Of course the governments and central banks would never voluntarily give up some of their power, and allow its citizens to have an option to opt out of this insolvent planned system; for a freer and less centralized one.

Another reason why a fiat “super” currency is doom to fail is the mind-boggling idea of fixing problems due to centralization with even more centralization. The individuals who control the central banks around the world and the governmental servants who forgot that they’re servants and not masters, will never own up to the fact that it was their meddling in the market that was the underline cause to this mess. In fact they blame the market and the lack of control they have over it as the problem. If all banks in a nation were not controlled by a central bank some of them could of set their interest rates if any, at a rate that was determine by their reserves. Also if there were competing private currencies backed by goods and services and valued in silver or gold, these currencies would not be prone to inflation and banks would not have to find risky ways to make profits. One of the main reasons why banks engaged in risky practices was the fact that holding the currency and doing nothing with it meant losing profits through inflation.

Some other reasons why a fiat “super” currency is doom to fail is the fact that fiat currency all fail within one hundred years. Also another reason is that two of the major causes of the problems with the economy are the centralized banking and the centralized monetary systems most nations have in place. Introducing another fiat currency to operate within their systems would prolong the inevitable at best. The inevitable being the failure of most nations banking and monetary systems. The best a government and its central bank can do is to allow competition to the banking and monetary systems. By allowing its citizens to opt out of these failing systems for the competition, it will alleviate some of the pain when the old systems eventually collapse. A super currency whether controlled by the IMF or any other organization not only is doom to fail, but is ultimately a step in the wrong direction.

To see why a free market alternative is superior to the centralized banking and centralized monetary systems most nations have in placed today, I recommend Why The Gold Standard Is Not Enough.