RE: The author is severely suffering a bad case of Normalcy Bias. He basically says that, because we’ve been so big and so good, the good times will never end.
I have to sadly agree with you here.
The U.S. dollar inspires less and less confidence. The fault lies with the mismanagement of the country. The American public debt is exploding, and many countries don’t want to pay forever for the standard of living of Americans.
In reality, the U.S. dollar offers an exorbitant privilege to Americans. It allows them to live on the backs of the rest of the world.
China or Russia have long been preparing for the fall of the US dollar by buying massive amounts of gold for years. China has just launched the e-RMB in order to benefit from the first-mover advantage to break the monopoly of the US dollar.
The crux of the war for Americans now is to make sure that oil remains priced in US dollars.
But, but, but, Several initiatives from China and Russia have emerged in recent years to ensure that OPEC countries no longer systematically favor the U.S. dollar.
For the time being, Saudi Arabia continues to support the U.S. dollar. Other OPEC countries are following suit, but Qatar has begun to give more room to the Chinese yuan.
This explains why Qatar has suffered such a boycott from surrounding countries for example.
Several initiatives from China and Russia have emerged in recent years to ensure that OPEC countries no longer systematically favor the U.S. dollar.
These are the major headwinds the US Dollar will be facing and the non-stop spending like drunken sailors by our government will simply ADD to those headwinds.
The main question is this — WHAT ARE THE BETTER ALTERNATIVES to the US Dollar?
“The fault lies with the mismanagement of the country.” — and the root of that fault is politicians buying votes. The vote-buying scale was small for a couple of centuries, but has exponentially exploded in recent years. Almost everything the US government does (and wastes money on) is to buy votes on a massive scale. No southern border? Import “D” votes. Forgive student debt? Vote buying. Reparations talk? Vote buying. Endless expansion of every government social program? Vote buying. Leftists love to yammer about “sustainable,” but this is utterly not sustainable. I would not attribute it to malfeasance or mismanagement. It is either 1) vote buying or 2) intentional and nefarious destruction of the USA by our enemies.
“The main question is this — WHAT ARE THE BETTER ALTERNATIVES to the US Dollar?” Today, none. But 20, 30 or 50 years down the road?
The main question is this — WHAT ARE THE BETTER ALTERNATIVES to the US Dollar?
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There doesn’t have to be an alternative. People in Germany carried wheelbarrows of money last century because they had trouble finding alternatives.
For international trade, if the dollar ends, people can use any currency without high inflation. Or they might be encouraged to create paper money that can be exchanged for a fixed amount of gold or silver.