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I thought Trump and the project 2025 gang's entire goal was the devaluation of the dollar.
Not sure that is specific Project 2025 item, though it is a consequence of Trump trade policy. US$ value is a function of total trade with US. A $ is not destroyed when it is sent abroad, and there is general appeal to use it to buy US assets to ensure the wealth to purchase more imports. Unjustifiable extortion is resulting in less capital inflows to US treasuries even as the colonies rulerships seemingly submit to the extortion.
As OP's charts show, China saved the US in GFC aftermath legitimizing their extreme QE and bailouts.
The biggest De-Dollarization efforf is done in the White House itself, with their attempt to get the US Treasury under control.
You likely mean getting the federal reserve under control. The Treasury is already under executive control and is intended to be so.
Yeah. A Trump White House is the biggest proponent to dedollarization.
Imagine working 40 years at the CIA destabilizing the global south for this dude to do a Strangelove and wipe his ass all over your life's work cause his dick stopped working
You love to see it.
Glory to comrade JDPON Don! 🫡 /s
BRICC current dedollerization has more to do with his tarrifs attacks harm to international trade then then anything else. Making trade with your nation less profitable. Is a rather stupid move if you want the world to use your currency to trade amounts each other.
When the global currency is run by a petty man child. It is the nations not making an effort to move away from it that are more worrying.
we would not be the same country any longer
Newsflash: you're way past that point. No one believes, trust or respect the USA any longer.
De-dollarization can't happen fast enough, as the dollar is one of the pillars of US power. Good thing countries are banding together to make it a priority.
I have personally advocated for doing this exact thing quite a few times over the past decade or so. It simply isn't fair that the US gets to tax people from all over the world when they print more money.
It's also interesting for California and other blue states.
Since Trump is attacking the blue states especially, there's a form of warfare there. As we all know, wars are really expensive and are often decided by who can stay solvent longer.
Normally, that would be California and other blue states, because they have the better economy. If they stopped paying taxes, that would severely harm Trump.
However, through the federal reserve, Trump can just print infinite amounts of dollars, and that effectively overrides the blue states' strong economy.
So the blue states have a serious interest in de-dollarization, sothat Trump's money-printing federal reserve becomes meaningless.
Increasing supply (printing) without increased demand (taxes) will cause the price (dollar value) to go down. If it goes down too fast, then nobody will want dollars until tax season, and the dollar will hyperinflate.
Conspiracy theory: that's exactly what Trump wants because he takes crypto bribes.
Imagine if the Bank of North Dakota decided to acquire reserves of BRICS currencies
Explain how Trump can order the federal reserve to simply print infinite money? That seems like a total lack of checks and balances. I don't see that happening at all. But it sounds good online.
They simply do press a button and numbers appear in a federal account. There is some bureocracy involved but that's how it works in a nutshell.
The US can do this freely without much repercussions because of the US role as an intenational reserve currency, the inflation that comes with printing dollars is offloaded to the rest of the world while the US increases it's amount of dollars.
basically when the federal government goes into debt, that basically means that the federal reserve which you can imagine like a big bank hands out a loan to the government.
the government doesn't really have to pay back that debt, ever. (it technically has to but that can be avoided by simply taking out a new loan at a later time).
i hope i explained that correctly.
the federal reserve which you can imagine like a big bank hands out a loan to the government.
No. Debt goes directly to markets. Federal Reserve QE operations are acts of imagining new money to buy bonds from the market. You are describing QE operations, not debt. Past QE operations have forgone interest on Federal reserve holdings, gifting it to Treasury such that the bonds that Fed holds become interest free. The accounting magic is that when the bond is finally due, the Federal reserve does get paid in order to erase the imaginary money they created to buy the bonds. But a given QE balance sheet level, they just buy a new bond from the market with new imagined money.
It does have to pay interest on that debt to all the bond holders, if it doesn't then the bonds lose value and everyone that owns them trys to offload them.
Which they print too.
if the interest is just as high as the general inflation, then the government can just take out extra loans to serve the interest without actually increasing the real total debt, because the nominal increase in debt is just eaten by the inflation.
May if he wasn’t actively crashing the dollar, people wouldn’t want to move away from it.
Countries that value financial sovereignty would still be interested.
Countries that value financial sovereignty.
Keep it by storing a tradeable reserve in other currencies. And or gold and silver but that has become less common.
The doller has won purely because it is respected around the world. Because most nations have some desire to trade with the US.
As that desire weakens sovereignty or your own currency is less strong if you are holding less stable currencies. And the doller is looking less and less stable every time trump talks.
Feared not respected. The dollar standard was imposed, not elected.
When has any global standard ever been elected. What process even exists to do so.
The whole idea that some other nation gaining power post ww2 being more democratic is just crap
The pre WW2 world was far from some democratic ideal. The US just took over from Europe's fiscal control using exactly the same techniques. Just as the UK took over from Spain etc.
Is it shitty yes. But the idea that if any of these nations sat back. Some peaceful agreement between waring nations would have evolved. Is just fantasy. It is looking back with a modern mindset that simply did not exist in any power regime at the time.
The doller has won purely because it is respected around the world
That is not correct, dollar won because US, being the economical winner of WW2, made all other notable capitalist economies dependent on it in Bretton Woods accords and effectively hegemonised oil trade in much of the world.
Well yes. That is why it was respected. America used it's delayed entry to build it's reduction capability. Used that to help win. Then not having exhausted it took advantage.
But while correct. It's a more accurate way of saying the doller was respected. As a strong trade currency other nations could use.
They also fucked up entire Japan economy (and kicked hard several others) with it in Plaza Accords, dollar is a weapon.
Wikipedia disagrees with you. None of the other members of the Plaza Accords had an economic bubble. It blames the massive expansionary monetary and fiscal policies that lead from the Plaza Accords since Japan was now considered a major player in the international monetary system.
None of the other member of Plaza Accords was so dependant on trade with US (especially Germany since German Mark was the second currency in question), so while i would maybe agree about others not being kicked that hard, but those accords were aimed specifically at Japan.
Musk declared on Twitter, “We will coup whoever we want! Deal with it”.
i used to think that trump et. al. unmasking de facto american international policy would help make americans understand what's happening, but now it's clear that they just never cared.
"Trump insider" sounds like a tapeworm
Everyday I wake up wishing that this rapist President will finally choke to death on his well done steak and that his supporters will join him in hell.
I mean, if breaking the propaganda arm of US cultural bullshit (aka regulating US Big Tech) is a defining issue in this battleground, let's make it BRICCS and add Canada as well. It's too bad that BRICS has some incredibly authoritarian and brutally imperialist leaders themselves.
you realize theyre labeled "authoritarian" precisely because they're not easily bossed around like actual "authoritarian" US wants?
it's okay, most of them arent as bad as canada's leaders.
The western countries are dependent on the imperial framework of "the eyes" cooperation, other intelligence and security cooperation, NATO cooperation, similarity of financial, patent and IP regulations, similarity of legal systems, interconnectivity of their elites and various blackmail material on those, and their common crime networks (one would hope that at least mafia groups should align along some other clusters on the map, but it doesn't seem so).
Those regulations support the status of western elites, which means the elites themselves won't reform anything in any good direction.
The NATO cooperation is extremely efficient and comfort-providing - instead of countrywide mandatory conscription you have small groups of professional soldiers and military bureaucrats, military matters are not something that all the society cares about.
Instead of domestic military industries sufficient to fulfill the needs of a military you can have as much silent and respectable corruption as you wish. It's both convenient for the population and for the elites (criminals) to have a small professional military, an international (imperial) MIC framework, all not influenced significantly by domestic popular opinions.
Intelligence cooperation allows domestic intelligence services to bypass all limitations that exist for them on paper about their own citizens. It also makes every such service more powerful than intended.
Similar financial regulations lead not only to good things, like smaller cost of doing business, but also to bad things, like monopolies. Even the EU supposedly big regulations don't prevent big tech from abusing honestly whatever they want. GDPR is a farce in its actual enforcement.
Patent and IP regulations - well, that's basically a way to legal monopoly, and that's how it works. BTW, let's just remember that even trademarks are a relatively new thing legally. And copyright. And patents. And when all these were introduced, that was similar to state monopoly on alcohol beverages in some countries or state monopoly on tobacco in others, and was reasoned legally in exactly that way - authorship and right to print something should be registered for the crown to have an income from that, not because of some ownership of ideas or protection. It still works like an imperial mechanism.
Similarity of legal systems - I'll admit at some point I thought English law is the best thing after sliced bread. But I'm not so sure at this point. At some point a German court acquitted Tehlirian, after all. As an example of the main competing family of legal systems.
Elites and crime - I mean, your whole part of the world is in the "trade and denial" stage after really buying the 80s and 90s idea that democracies and institutions don't require perpetual struggle to maintain. That is, fiction of those years would usually argue with that idea, but sometimes wide masses just want to believe something so badly that no art can dissuade them. And in the 00s it was decided.
OK, too much text.
What I really mean is that for Canada it doesn't make sense to join BRICS unless it manages to pull a Brazil and somehow switch the camp from "imperial" to "fringe kingdoms".
You mean like if the Alberta independence referendum succeeds and the country collapses? If Alberta goes, Quebec independence soon follows, and at that point Canada mostly just Vancouver+lesser provinces.
And then all three countries join BRICS. 😎
I meant joining BRICS together after formally ceasing to be part of British monarchy. And becoming less dependent on other integrations much abused today.
What I really mean is that for Canada it doesn’t make sense to join BRICS unless it manages to pull a Brazil and somehow switch the camp from “imperial” to “fringe kingdoms”.
Canada needs more direct investment from anyone willing to make it. The US is not on the list anymore, and the political unanimity that still pretends that US is ally are simply all traitors.