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[casi] "Dollarization" in postwar Iraq


On April 2, the Washington Post ran a story on Jay Garner and his team
working on postwar reconstruction.  Like most of the other stories on
Garner's work, most of the article's emphasis was on State vs.
Pentagon on filling spots and support for Chalabi.  [And I'm intrigued
how often it's made mention that Garner's team is working from a
'beachfront villa in Kuwait', not simply 'Kuwait']  However, thrown in
near the bottom, there was mention of the possible 'dollarization' of
postwar Iraq.

My knowledge of political economy, trade and finance is woefully
lacking, so I was curious as to whether others (with better
micro-macroeconomic acumen) on the list could comment on the possible
short-term and long-term effects of 'dollarization' -- effects that
can be, I assume, both positive and negative.


Brian Auten
University of Reading

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