Exactly, but inflation will still impact our buying power, because it weakens our fiat money. Coupled with reduced production by citizens of this country, and out of control spending, other countries start questioning if our fiat currency is still sound or becoming worthless. China would be the logical country other countries would gravitate to, because they are the real competitors to this country.
You are correct, without our currency being the world's currency, it will all go south very fast if the world stopped depending on America for having sound currency.