Krugman on the Value of Reserve Currencies

A very short and interesting article by Paul Krugman on why having your currency be a Reserve Currency might not be too big of a deal:

What about our ability to borrow in dollars, to sell dollar- denominated bonds to foreigners? Hey, other countries do that too. But our debts are in our own currency! So? We still pay interest on them. True, we could inflate away our foreign debt. But we won't--and if investors thought we would, they would demand higher interest rates.

P.s. If you feel like you've been seeing a lot about Paul Krugman recently you are absolutely right: I like to learn by reading a lot by the same person at a time so I'm slowly making my way through his writings and academic work. The key thing is to know when you start seeing diminishing returns and read other things and to make sure to pick smart people.