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By increasing rates on USD you can affect demand globally. We are not in isolation as you seem to be so convinced. Also I have no idea why you'd compare globa
by nightski 4y ago
By increasing rates on USD you can affect demand globally. We are not in isolation as you seem to be so convinced. Also I have no idea why you'd compare global supply to domestic demand. Again, reserve currency and petrodollar status.
- eru 4y ago> By increasing rates on USD you can affect demand globally. That's like saying that by pointing my fan to blow onto the road, I can move the cars. In theory and all else being equal, yes. In practice, cars have drivers that steer to stay on the road. Similarly, other countries around the globe have their own central banks that regulate their local money supply to achieve their own goals.