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> Really, the reason the US Dollar has held for so long is because the rest of the world has had a lot of instability (think world wars, governance changes, uni
by chiefalchemist 2y ago
> Really, the reason the US Dollar has held for so long is because the rest of the world has had a lot of instability (think world wars, governance changes, unions of countries formed or abolished, etc.). The US hasn’t even had a change in states in 60 years.
Yes and no. What you're not comsidering is the obligation of The US Federal Reserve (aka The Fed). While dollars are international, The Fed's only concern is the US and US citizens. That is, often enough The Fed makes decisions that achieve this ends, but screws the rest of the world. Such decisions become self-serving to the USA's power, influence, etc. That decision undermines other countries, economies, etc.
So yeah, the USD is stabler, and The Fed helps to see to that.
- chii 2y ago> The Fed makes decisions that achieve this ends, but screws the rest of the world. any other country would do the same, in the same position. The point is that this happens less, and with less severity in the US than other countries.
- chiefalchemist 2y agoPerhaps. I'm simply pointing out the "flaw" in metaphorical breaking someone's kneecaps and then staring down your nose over the top of your glasses, waving a finger, and mocking them for not being able to walk, not able to help themselves, etc. The Fed and petrodollars have made the US stronger and plenty of others weaker, is the US leadership - gov and private - prepared for a shift in that balance of power? And might there be some looking for revenge, so to speak? Hint: Correct answers are no and yes, in that order.