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When did the dollar overtake sterling as the leading international currency? Evidence from the bond markets

Listed author(s):
  • Mehl, Arnaud
  • Eichengreen, Barry
  • Chiţu, Livia

This paper offers new evidence on the emergence of the dollar as the leading international currency, focusing on its role as currency of denomination in global bond markets. We show that the dollar overtook sterling much earlier than commonly supposed, as early as in 1929. Financial market development appears to have been the main factor helping the dollar to surmount sterling JEL Classification: F30, N20

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Paper provided by European Central Bank in its series Working Paper Series with number 1433.

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Date of creation: May 2012
Handle: RePEc:ecb:ecbwps:20121433
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