Dollarization for Lebanon

ConclusionThe US dollar is not a perfect currency. But it needn ' t be perfect to provide a vast improvement over Lebanon ' s chaotic status quo. Annual inflation of 2 percent is far better than 50 percent. A free currency market is far better than one with price controls and discriminatory rationing. Full dollarization offers the best hope for turning the lights back on in Lebanon._________________[1] This essay contains the gist of my remarks made via Zoom to an audience in Lebanon on Saturday, 18 June 2020. My thanks to Forrest Partovi and Jalal Hasbini respectively for arranging the event and for leading the discussion.[2]Pedro Pou, " Is Globalization Really to Blame? " In J. S. Little and G. P. Olivei (eds.)Rethinking the International Monetary System (Boston: Federal Reserve Bank of Boston, 2000).[Cross-posted from Alt-M.org]
Source: Cato-at-liberty - Category: American Health Authors: Source Type: blogs