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Yes, that's how it would play out. China dumping US money, would be an actively hostile thing to do... implying they wanted to do other hostile things as well.
by 1stop 13y ago
Yes, that's how it would play out.
China dumping US money, would be an actively hostile thing to do... implying they wanted to do other hostile things as well... The world would likely become a very different place, real fast.
- alexeisadeski3 13y agoChina dumping US currency and/or bonds would be an awesome opportunity for everyone else. We could buy the wonderfully underpriced securities from China and make bank once the price pops back up a few months later. It'd basically be suicide for the seller - in this case the central bank of China.
- deleted 13y ago[deleted]
- 1stop 13y agoSorry, in this hypothetical, china would only do something so rash if it were going to war. There would be no "making bank" there would just be war... and given the scale of said hypthetical war, I'm not sure there would even be a victor...