Our Dollar, Your Problem by Kenneth Rogoff (2025)
Copyright: Sanjay Basu In Our Dollar, Your Problem , Kenneth Rogoff takes aim at one of the most comfortable assumptions in modern economics: that the dominance of the US dollar is permanent. Borrowing its title from John Connally’s blunt remark to European finance ministers in 1971, the book argues that the dollar’s supremacy has never been guaranteed and is now facing its most serious threats, not from rivals abroad but from dysfunction at home. Rogoff’s core claim is simple and unsettling. The dollar did not rule the world because of flawless policy or moral authority. It survived because competitors failed, because history broke in convenient ways, and because markets were willing to forgive American excess. That tolerance, he argues, is wearing thin. Fiscal indiscipline, political polarization, and the aggressive use of financial sanctions are steadily eroding the trust that underwrites the dollar’s special status. Rogoff opens with the Nixon Shock of 1971, when the Un...