#exorbitant privilege

"We are all being misled by mainstream financial headlines. Behind a massive optical illusion, a critical 48-hour window just quietly altered the #globalfinancialsystem...this video uses forensic financial analysis to uncover the hidden mechanism that ended 80 years of unquestioned #USdollar dominance."

#BRICS #reservecurrency #exorbitantprivilege #BrettonWoods #China #India #KSA #petroyuan

"From the sudden reversal on #Venezuela-n #sanctions to the desperate plea for #China to buy #USTreasurybonds, we break down why the era of American 'Exorbitant Privilege' is officially over."

#oil #debt #deficits #reservecurrency #UScollapse

I’d like to point out this article which references that time Charles de Gaulle removed all of France’s USD reserve currency in gold and shipped it back to France.

What a boss.

It led to a domino effect that caused the US to abandon the gold standard.

From The Great Credit Crash :

America’s economic power revived after 1991 as the US economy experienced differential growth relative to its rich OECD peer competitors. Above average US economic growth emerged from the interaction of disinflation and foreign capital inflows with the specific structure of the US housing finance system. That system translated disinflation and foreign capital inflows into extra aggregate demand, stimulating the US economy. Roughly one-third of US growth in the 1990s and virtually all growth in the mid-2000s can be attributed to the translation of increased housing wealth into extra demand. American differential growth attracted foreign investment into US dollar denominated assets in a temporarily self-sustaining and self-amplifying cycle. This investment re-established the dollar as the international reserve currency and allowed US investors to consolidate their own outward investment and control over foreign economies. The financial collapse and economic bust after 2007 has destroyed this particular mechanism for growth. American global financial arbitrage remains robust, but mostly because Treasury debt remains a haven during such panics. But the rest is gone. Housing finance is now largely the preserve of the Federal government through the newly nationalized Frannies and the Federal Home Loan Banks. Banks’ willingness to extend credit against home equity and to borrowers with limited documentation or weak credit histories will never return to the levels of 2006. Much hope is pinned on the possibility of a green economy but there is little to show for this as yet. Can the United States retain its global “market share” versus China or again outgrow its peer OECD rivals?

(Link to Complete PDF Article Here)