Changes

When the [[Federal Reserve]] raised [[interest rate]]s to take care of U.S. needs, it made [[capitalism|capital]] flow out of other countries, and the value of their currencies fall, forcing [[inflation]] on them. Not a single country in the world was left untouched. Many countries did not want be held hostage to the implicit and explicit negative consequences of dollar [[hegemony]], and wanted to remove the “exorbitant privilege” that they believed the U.S. abused to their individual and collective detriment.  

When the [[Federal Reserve]] raised [[interest rate]]s to take care of U.S. needs, it made [[capitalism|capital]] flow out of other countries, and the value of their currencies fall, forcing [[inflation]] on them. Not a single country in the world was left untouched. Many countries did not want be held hostage to the implicit and explicit negative consequences of dollar [[hegemony]], and wanted to remove the “exorbitant privilege” that they believed the U.S. abused to their individual and collective detriment.  

The [[BRICS]] group, led by Russia and China began building an international finance and trading system that does not rely on dollars, that uses countries’ local currencies, gold, oil, or other assets to trade.  The U.S. abuse of economic sanctions to [[blackmail]] and punish other countries that did not bend to America's will added to the impetus.

The [[BRICS]] group, led by Russia and China began building an international finance and trading system that does not rely on dollars, that uses countries’ local currencies, gold, oil, or other assets to trade.  The U.S. abuse of economic sanctions to [[blackmail]] and punish other countries that did not bend to America's will added to the impetus.  The rise of BRICS means that the US dollar will, at a minimum, lose its relative [[monopoly]] on [[oil]] and [gas]] trades and sales.  

If the world favours a second, gold-based settlement system and opts out of the fiat money dollar, which is no longer backed by value. This could lead to the end not only of dollar settlement, but also of the dollar imperium. The US has so far been able to pay for everything in the world with its freshly printed money that has no cover at all and to increase its prosperity in exchange for “[[fiat money]]”. If this were no longer possible, if the countries of the world no longer accepted worthless dollars, the [[USA]] would no longer be able to buy all the world’s goods with them, to pay for 900 billion dollars in [[military]] expenditure and to cover its financial [[deficit]]s. In this respect, the financial boycott against Russia and a counter-reaction by the world could result in the collapse of the dollar empire.

If the world favours a second, gold-based settlement system and opts out of the [[fiat money]] dollar, which is no longer backed by value. This could lead to the end not only of dollar settlement, but also of the dollar imperium. The US has so far been able to pay for everything in the world with its freshly printed money that has no cover at all and to increase its prosperity in exchange for “fiat money”. If this were no longer possible, if the countries of the world no longer accepted worthless dollars, the [[USA]] would no longer be able to buy all the world’s goods with them, to pay for 900 billion dollars in [[military]] expenditure and to cover its financial [[deficit]]s. Dollar dominance will inevitably fade and the dollar decline as the world’s top reserve currency, though it will undoubtedly continue to survive in that capacity in parts of the world where the US continues to have considerable political and economic leverage, like [[Latin America]]. In this respect, the financial boycott against Russia and a counter-reaction by the world could result in the collapse of the dollar empire.

==References==

==References==