Now that the United States is about to lift the roof of the global economy, this is true!
In the face of the huge debt problem, the US political arena still does not change its "separation nature", trying to turn it into a political weapon that overwhelms the other side.
Among them, the Republicans believe that the Democrats should solve the problem by themselves through the "reconciliation process", because most of the debts are created by the Democrats.
Obviously, this view of the Republicans is obvious. Fully angered the Democratic Party, U.S. President Biden denounced this: This is an extremely irresponsible behavior.
Biden also said: The Democratic Party is trying to threaten to use procedural power to block Congress’s debt funding bill, and To pass the Senate, at least 10 Republicans are required to vote.
Therefore, the Republicans’ words for the Democrats to resolve on their own are obviously "snack".
1span since 1span this year , US Secretary of Treasury Janet Yellen has warned members of both parties again and again: If the federal government does not raise the debt ceiling in a timely manner, the government will face the risk of running out of funds around October 18.
At this time, Yellen put forward a groundbreaking proposal that will permanently remove the US debt ceiling.
This approach can further ensure the stability of the US capital chain to a certain extent, and continue To issue more national debt to the outside world.
However,This move is undoubtedly "I feel comfortable, others feel uncomfortable."
because once this happens, it will inevitably cause a great burden on international finance.
In short Therefore, let many countries at the international level help the United States share financial risks.
Faced with this situation, China and Russia have already begun preparations when the U.S. government is entangled in cancelling debts and going online!
teamed up to "de-dollarize" it is urgent!
As early as September of this year, Russia announced that the cost of aviation fuel between China and Russia will be in RMB and rubles, which is just right. Russia had intended to exclude the U.S. dollar from the “sovereign funds” sequence!
This also means that the U.S. dollar will be completely reduced in the proportion of international trade.
In early 2019, Russia announced the reduction of U.S. dollar assets by 1010 100 million U.S. dollars, more than half of the existing domestic U.S. dollar assets.
At the same time, China also coincides with Russia’s idea of “de-dollarization”. As the world's second largest economy, China is undoubtedly the most capable of overthrowing the "dollar dynasty".
To outsiders, the economic alliance between China and Russia, , seems unbreakable.
But is this really the case?
First of all,It is necessary to be clear about a fundamental practical problem last year. The U.S. dollar accounted for 78.8% of China and Russia's export settlement, while the RMB settlement was only 7.9%.
Secondly, when it comes to the hegemony of the US dollar, it will naturally be linked to the world's largest commodity-oil!
At present, international oil settlement is still in US dollars, and China is the world's largest oil importer.
If China wants to join hands with other countries to adopt "petroleum renminbi" instead of "petrodollar", it is very likely that in the future there will be a tripartite situation of the US dollar, the euro, and the renminbi.
In short, China and Russia are now forming a de-dollarized "economic alliance", at most out of self-protection.
To completely overthrow the hegemony of the US dollar, it will take a long way to go in the future. After all, the "starved camel is bigger than the horse". Even if the United States continues to experience economic problems, it will be difficult for the United States to collapse in the short term.
However, now 40 countries such as Germany, France, Argentina, and Turkey have also begun to focus on the process of "de-dollarization", including a substantial reduction in US debt and increase Commodities traded in currencies other than the U.S. dollar indicate that the hegemony of the U.S. dollar is constantly being challenged. American hegemony may not collapse quickly, but it will inevitably decline, just like the British Empire in the past.
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