What is meant by the phrase the World's Reserve Currency?

I was watching Up with Chris Hayes last week.  I was surprised to hear him use a particular phrase:

World's reserve currency

What is meant by this phrase?

Well, the easiest way to begin to understand it is a wiki explanation on the phrase reserve currency:

A reserve currency, or anchor currency, is a currency that is held in significant quantities by many governments and institutions as part of their foreign exchange reserves. It also tends to be the international pricing currency for products traded on a global market, and commodities such as oil, gold, etc.

This permits the issuing country to purchase the commodities at a marginally lower rate than other nations, which must exchange their currencies with each purchase and pay a transaction cost. For major currencies, this transaction cost is negligible with respect to the price of the commodity. It also permits the government issuing the currency to borrow money at a better rate, as there will always be a larger market for that currency than others.

In other words, a reserve currency; increases the wealth of the country that prints that money.

So what is meant by the phrase the world's reserve currency?

Simply put, the US dollar is the single biggest reserve currency in the world. And that's a massive benefit to America -- a benefit that is risked by continued deficit spending.

Tim White

Ron Paul's farewell address -- achieving peace & prosperity

While my Republican party continues scratching its head, wondering how to win elections, my hero clearly articulates where the GOP must go if it wants to both win elections and put America back on the path to peace and prosperity.

Here's an excerpt from his closing comments:

Everyone claims support for freedom. But too often it's for one's own freedom and not for others. Too many believe that there must be limits to freedom. They argue that freedom must be directed and managed to achieve fairness and equality, thus making it acceptable to curtail, through force, certain liberties.

The best chance for achieving peace and prosperity, for the maximum number of people worldwide, is to pursue the cause of liberty.

Tim White

Veterans Day 2012

As a result of November 11th falling on Sunday, it would've been difficult to arrange the Veterans Day event at the usual date and time:  11/11@11am.  The Congregational Church was busy.  So Cheshire's VFW Post 10052 helped arrange an afternoon event.  And today it was inside the church, as compared the outside the church where activities are typically held on the Green.

Here are a few pix of the very well received event, including the VFW Post Commander (my dad, John White) offering his thoughts:

After two veterans, Al Adinolfi and Jeff Falk, laid the ceremonial wreath:

A view of the Church Choir:

A pic taken during the closing song, America, the beautiful!

And here's a short clip of the closing song:



And along with the many veterans who attended and were honored in person, I thank our elected officials who I saw attending the event:

Council Member Patti Flynn Harris,

State Representative Al Adinolfi and

Congress Member-elect Elizabeth Esty.

Tim White