2 ms·
A few problems - ok, so the there are more problems in the USD but: a) What is the alternative? This is a relative game. Is the US going to fall harder than th
by jariel 7y ago
A few problems - ok, so the there are more problems in the USD but:
a) What is the alternative? This is a relative game. Is the US going to fall harder than the EU? Probably not.
b) In an uncertain world ... people want greebacks even more for the structural reasons implied.
c) This trade deficit thinking is odd because it doesn't include surpluses. If sells something for 50 cents that would otherwise cost $100 in the US, and there is no other trade, then it still makes sense for everyone to buy said things for a long time. So China has to get something back for it, maybe it ends up meaning those XMen movies are going to cost them a lot more than they thought. Or the iPhones, or the US companies they buy or whatever else.