By incentivizing foreign governments to seek currency alternatives, U.S.-led sanctions could end the dollar's global dominance and cause havoc at home
Maybe this is a naive question: In a billion dollar international trade using dollars, who or what makes money just using dollars in the trade? In other words, is there money skimmed off the top of every international deal just because dollars are used?
have heard this same song and dance about the usa dolllar ,debt, since the 70 years i have been on this planet--the debt does not exist--it is an operating expense,nothing more,never to be repaid--it will go on until it does not-the dollar represents every asset that is in the usa and the world where 70 percent of dollars are--it represents every person in the usa,and everything a person owns---when debt blows up everything will be repriced--all pensions,retirements will be lucky to get 10 cents on the dollar--same with housing or anything tied to debt-if you have debt your screwed--the true goooooovermint debt is closer to 100 trillion not including future obligations according to the professor from the univ of michigan--he knows how to read between the lines--all they are doing is managing it--no way in can be repaid-a pipe dream--their game plan is as values of everything rises it offsets the debt ratios---another pipe dream that works until it does not--every ceo knows this and if he/she forgets they are reminded in a bankruptcy court...the usa shot it self in the head with this russian nonsense--the people in DC know all this and that is why they keep their private jets fully fueled and pilot ready....got gold?
This is an extremely difficult situation with no easy answer.
I am sure the Carter administration, I mean the current administration, will take the worst possible course of action for the long term good of the Nation.
*Seems like they are trying everything they can to sink us. We need some serious intervention. This is NOT stupidity, it's like we're being sold out by our own government.
whether the dollars decline is slow or sudden it’s still a few years away.
but it will be disastrous to kick this can down the road yet again. america needs to make some inroads into that $30 trillion in debt and raise interest rates to lower inflation and ensure our debt is still attractive. would also be a great idea to buy more gold to underpin the $. handouts are always nice—& do buy votes. but if the $ issue is ignored there will be no more handouts forever
They have to know this. Is this part of the great reset? End of US dominance.
Excellent and thorough discussion. I still think it unlikely the dollar will be dethroned as the word's reserve currency within say the next decade. Even after that, it will still likely be the largest single holding (reserve) out of the basket or plurality of currencies. But I absolutely agree the process is underway. In 2008, the USA crashed the global economy -- except for China. The world did take notice. Early reports of dis-entanglement from the USA dollar and economy were exaggerated -- but the process continues, if slowly then still sure as erosion.
China's RMB is not a fully convertible currency. But because of China's vast and global trade network, more nations are interested in upping their RMB reserves. Likewise, if the Petrodollar monopoly ends, look out.
Finally, as you well point out, the world is wondering who will we sanction next? Reducing their dollar dependency now becomes a national security issue. I was researching this issue -- you've saved me the trouble!
Very very written…and very scary….