How does one leave the Eurozone?

The question of how currency unions break down has come to the forefront of the European debt crisis. The particular concern is Greece ceding from the Eurozone.

I have been following the Greek crisis and have posted a significant number of the news articles regarding Greece to my Twitter feed (which is linked on this page). Continue reading

News: (BBC) China suggests switch from dollar

The BBC has an article about requests by China to switch from the single-currency reserve system to a an IMF-backed reserve system.

The suggestion made by China is to move to a Special Drawing Rights (SDR) (IMF factsheet) unit of account. SDR’s are backed by a basket of currencies, predominantly the U.S. dollar at present (44% according to Wikipedia).

Continue reading