Special Drawing Rights

mhammerman

Could some of our forumites knowledgable in the topic explain this concept and it's implications so those of us lay people that might be interested...please?

gsa1fan

SDR's

PreTurb

Fascinating... Especially this part:

When Special Drawing Rights were created in 1969 one SDR was defined as having a value of 0.888671 grams of gold, the value of one US dollar at that time. After the breakdown of the Bretton Woods system in the early 1970s, the SDR was redefined in terms of a basket of currencies.

0.888671 grams of gold, at spot $1365 right now, is $38.9994

Dollar in 1969 was worth $39 of what we call a dollar now. Unbelievable.

roadrunner

SDR's being used or recommended today are essentially just another sleight of hand involving unbacked paper currencies. Stay the course.

roadrunner