Paul Krugman: The Dollar Will Be All Right

Oh, dear. I'm starting to notice a shift in the scare talk. Cries that "We're about to turn into Greece, Greece, I tell you," are getting a bit fainter, maybe because of what I've been writing in response. But taking their place are dire warnings that the dollar's role as a reserve currency is endangered.

Urk.

People who talk like this generally have no idea what they are saying — that is, they have no idea what the dollar's role really is, what might endanger that role, and why it matters (to the extent that it does).