The main problem in our current international monetary system (IMS) is global imbalances and instability. These problems lie at the very bottom of the current system; there is no rational way to eliminate them without reconstructing the system itself. This paper proposes a new model of IMS that could potentially eliminate those problems permanently. We utilize a 3-dimensional simulation of trade and investment involving 5 countries, 20 products, and a 12-month or 5x20x12 model to test the workability of the system. The results show that this model could provide international liquidity to all (member) countries in the world sustainably, eliminate global imbalances to the roots, and make the IMS naturally stable. The simulation also shows that the current accounts, balance sheets, and FX reserves of all member countries tend to be self-sufficient. We implant a digital-and-decentralized system in the very core of the system, which works automatically or semi-automatically.
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TRADE AND INVESTMENT SIMULATION OF 5 COUNTRIES, 20 PRODUCTS, AND 12 MONTHS (5X20X12 MODEL)