The United States is not benefiting from dollar dominance in the world, as it has to offset the consequences of trade policy for countries with a positive trade balance, Foreigners reported Sunday.
The newspaper said in a report that the retention of the role of the United States as a balancing factor for the global economy requires it to allow capital to move freely across its borders and absorb savings and budget imbalances, which means that the United States is forced to assume a capital deficit to compensate for the fiscal surplus of other countries, which also reduces global demand and helps restore the economic balance.
The U.S. does not have to “remain in trade deficits in order to keep the global trading system tied to the dollar, for example, when the world needs savings, the U.S. supplies them with a trade surplus, and in the contrary, America has a trade deficit.”
The authors of the report believe that the United States, like other countries in the world, will benefit from the decline in the role of the dollar as the dominant currency, although the strength ofWashingtonIt will be limited, but U.S. companies will grow faster and workers earn more, but they rule out that this will be easy to achieve due to the general rejection of the dollar, which could have catastrophic effects on the economies of countries with a permanent positive balance, which focus only on exports.
A consultant said andAgencyFormer CIA,James RicardsOn June 7, the BRICS group’s recognition of its own currency will mean the collapse of the dollar as the dominant currency in the world, stressing that this situation will push the US economy to collapse, at a time when it is being talked about thatRussiaAnd its partners are planning the collapse of the US currency.