In March 2009, the governor of the Chinese Central Bank proposed a super sovereign reserve currency that, much like SDRs, would be independent of a particular country 's currency What would be the advantages and disadvantages of such a currency from a global perspective Identify the risks that curr...

Proposed supersovereign reserve currency Advantages 1 Stability A supersovereign reserve currency could potentially offer greater stability compared to individual national currencies as it would not b ...

In March 2009, the governor of the Chinese Central Bank proposed a super-sovereign reserve currency that, much

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Question:

In March 2009, the governor of the Chinese Central Bank proposed a "super-sovereign reserve currency" that, much like SDRs, would be independent of a particular country's currency. What would be the advantages and disadvantages of such a currency from a global perspective?
Identify the risks that currency exchange rates pose for both the importer and exporter.

Explain the significance of the currency market as it relates to global trade.