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USA is vast and endowed with resources enough to be self sufficient. And US citizens will always accept dollars by law.
by ReptileMan 1mo ago
USA is vast and endowed with resources enough to be self sufficient. And US citizens will always accept dollars by law.
- bijowo1676 1mo agoUS is running a more than a Trillion dollar trade deficit, what do you think happens when other countries will demand something real, like Gold, instead of freshly printed dollar? does US have a trillion dollar worth of Gold reserves every year?
- otterley 1mo agoYou’re confusing trade deficits with budget deficits. These are not the same thing. Bond sales pay for budget deficits. They have no bearing (heh) whatsoever on trade deficits. You can end a budget deficit by simply not spending as much from the public purse. You cannot end a trade deficit without restricting freedom of trade.
- ReptileMan 1mo agoThen US will just start making the things themselves and not import. Unlike Japan - for USA imports are optional.
- otterley 1mo agoNot so. We don’t have the capital investment or labor pool needed to replace China as a source of many goods, especially high tech goods, and it would take a very, very long time to catch up at this point, if we ever could. https://www.wsj.com/tech/personal-tech/apple-iphone-us-manufacturing-f730c39c?st=v6nd5C https://www.wsj.com/tech/personal-tech/apple-iphone-us-manuf... Fantasies of USA autarky are just that.