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Illuminating article. And if the yuan bonds information is real, it won't even take 4 years for a lot of global finance to move away from the dollar. It might
by nine_zeros 1y ago
Illuminating article. And if the yuan bonds information is real, it won't even take 4 years for a lot of global finance to move away from the dollar.
It might be tough for the US to accept the higher cost of global resources (and thus become a poorer country) but maybe this gradual decline in dollars status is what the administration hopes is the best case.
- adamnemecek 1y agoKinda like the UK.
- mountainriver 1y agoLots of similarities, almost like you could predict it by reading history
- nickstambaugh 1y agoThat would require people to read history, which is becoming more & more of a pipe dream.
- nine_zeros 1y agoMaybe like the UK but the problem with the US is that the US is a violent country. Lower standard of living is likely to cause violence. UK literally just lost all the colonial wealth but came together to build itself again. In many ways, the US is a spiral descent culture while the UK lost is all and ascended again but to lower levels.
- nradov 1y agoIt's nonsense to claim that the USA is a particularly violent country. Since 1776, the per capita rate of violent deaths has been lower than Europe or China.
- deleted 1y ago[deleted]
- unearth3d 1y agoWhat happens with those figures if war is removed from the data? US Euro compare 2000 to 2000: https://ourworldindata.org/data-insights/since-2000-homicide-rates-have-dropped-sharply-in-europe-but-barely-changed-in-the-united-states https://ourworldindata.org/data-insights/since-2000-homicide...
- nradov 1y agoSo you're claiming that wars don't count?
- deleted 1y ago[deleted]
- refurb 1y agoMove to what exactly?
- nine_zeros 1y agoThis article is explaining that yuan is making meaningful headway.
- refurb 1y agoThe yuan is not freely exchangeable and doesn't float. How can a currency like that be the world's reserve? Would you agree to sell $10M in oil if you got paid in yuan that you're not sure you can convert into another currency? Where you're not sure the Chinese government won't change it's mind and dramatically change the exchange rate?
- nine_zeros 1y agoWhy are you asking for my opinion when other sovereign countries are the ones issuing yuan bonds and migrating away from the dollar?
- refurb 1y agoIssuing bonds and “moving away” aren’t the same as becoming the world’s reserve currency. People are getting confused. It’s like saying because I shopped at Walmart last week, Walmart will become the sole supplier of everything I buy.
- nine_zeros 1y agoA lot of transactions moving away does not mean moving away entirely to a sole new supplier. Even a 10% decline in dollar usage is "moving away". Bit by bit, the rest of the world starts using alternatives. That's how the British pound went down from global reserve to 4% of reserves. It took 70 years for this gradual decline.