Last week the Federal Reserve and the European Central Bank announced a plan in which they, along with other key central banks, will coordinate efforts to fight the global credit crunch. In short, the Fed will make it easier for the ECB to get dollars. Why do they want dollars, when they have their own currency? Paddy Hirsch takes to the Marketplace Whiteboard to explain:
Why does the EU want U.S. dollars? from Marketplace on Vimeo.
Posted
12-05-2011 10:58 AM
by
Graham Griffith
Filed under: Federal Reserve, monetary policy, Marketplace Whiteboard, credit crunch, marketplace, paddy hirsch, currency, currencies, euro, european central bank, euro area, dollars, currency exchange