So what happens to all those billions and billions of dollars that aren’t needed over there?
- - - - - - -
When there are more dollars in the U.S., people use them to buy things, and prices rise.
Right, more and more dollars chasing fewer goods. And then exchange rate losses, if the shoe is on the other foot. What if say, Brazil no longer uses dollars for their coffee exports?
Somehow there has been an avoidance of several decades of monetary inflation pressure here at home. I’m not smart enough to know when it blows up, but it is likely to be epic. Probably some combination of “if you have to ask you can’t afford it” or with some imports “not to be had at any price”. I’m sure our fearless leaders will be fine in their underground bunkers.