What was uncharacteristic about this crisis is that much of the world fled into U.S. Treasuries during the contagion, allowing the U.S. government to keep borrowing and the dollar to appreciate—the opposite of what would happen to an emerging market in crisis—because the dollar retained its reserve-currency role and there was no viable alternative ('the tallest pygmy').
factualpending
Speaker
Carmen ReinhartEvidence Quote
“during the height of the crisis the alternative to dollar asset we're not there”
Created: 6/15/2026, 9:20:19 AM
My Notes
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