Changes

:"According to [[Michael Hudson]]’s analysis, if the U.S. were to “lose” against Iran and be forced to withdraw from the [[Middle East]], the “[[Treasury Bill]] Standard”—which has funded the [[U.S.]] [[economy]] and [[military]] for decades—would collapse .

:"According to [[Michael Hudson]]’s analysis, if the U.S. were to “lose” against Iran and be forced to withdraw from the [[Middle East]], the “[[Treasury Bill]] Standard”—which has funded the [[U.S.]] [[economy]] and [[military]] for decades—would collapse .

:"Right now, the US has a “free lunch” because [[foreign]] [[central bank]]s are forced to recycle their dollar surpluses largely from oil back into [[U.S. Treasury bond]]s to maintain their own [[exchange rate]]s. But if the US loses, it can no longer coerce foreign nations into holding dollars, which would end the US’ ability to run massive [[deficit]]s without facing high [[interest rate]]s or a [[currency]] crash.

:"Right now, the US has a “free lunch” because foreign [[central bank]]s are forced to recycle their dollar surpluses largely from oil back into [[U.S. Treasury bond]]s to maintain their own [[exchange rate]]s. But if the US loses, it can no longer coerce foreign nations into holding dollars, which would end the US’ ability to run massive [[deficit]]s without facing high [[interest rate]]s or a [[currency]] crash.

:"Iran has already begun charging ships $2 million to pass through the [[Strait of Hormuz]] as “advance payments” for [[war]] [[reparations]]. A U.S. withdrawal would likely codify this and accelerate the shift toward oil being priced in [[Yuan]], [[Rupee]]s, or local currencies. Most countries would not need to hold the large dollar reserves they need now. And the US would not be able to skim off the top. .

:"Iran has already begun charging ships $2 million to pass through the [[Strait of Hormuz]] as “advance payments” for [[war]] [[reparations]]. A U.S. withdrawal would likely codify this and accelerate the shift toward oil being priced in [[Yuan]], Rupees, or local currencies. Most countries would not need to hold the large dollar reserves they need now. And the US would not be able to skim off the top. .

:"The U.S. would become isolated -- unable to trade its paper [[IOU]]s for real physical goods. At the same time, its high-cost, [[financial]]ized [[economy]] would inhibit reindustrialization. The US’s only real [[commodity]] is [[debt]].

:"The U.S. would become isolated -- unable to trade its paper IOUs for real physical goods. At the same time, its high-cost, [[financial]]ized [[economy]] would inhibit reindustrialization. The US’s only real [[commodity]] is [[debt]].

:"To attract buyers for its $34 trillion debt the U.S. would have to offer significantly higher [[interest rate]]s – which we already see happening. Unable to [[export]] [[inflation]] to fund [[military spending]], it would face soaring inflation — and would likely cut [[domestic spending]], leading to both [[economic]] and [[social]] instability . Remember the [[Weimar Republic]].

:"To attract buyers for its $34 trillion debt the U.S. would have to offer significantly higher [[interest rate]]s – which we already see happening. Unable to [[export]] [[inflation]] to fund [[military spending]], it would face soaring inflation — and would likely cut [[domestic]] spending, leading to both [[economic]] and [[social]] instability . Remember the [[Weimar Republic]].

:"A US defeat would accelerate the shift of the “Global Majority” ([[BRICS+]]) to financial alternatives leaving [[The Wesr|the “West”]] in an long-term [[economic]] [[depression]]. Listen to what [[Alastair Crooke]] says. US defeat is the end of the [[PetroDollar]] and [[US]] [[hegemony]].

:"A US defeat would accelerate the shift of the “Global Majority” ([[BRICS+]]) to financial alternatives leaving [[The West|the “West”]] in an long-term [[economic]] [[depression]]. Listen to what [[Alastair Crooke]] says. US defeat is the end of the [[PetroDollar]] and [[US]] [[hegemony]].

:"[[Michael Hudson|[Michael] Hudson]] characterizes [[U.S.]] as a [[Mafia]] state and its [[military]] presence as a “protection racket”. Without the ability to “[[bomb]]” or occupy, the U.S. loses its only remaining leverage to prevent countries from leaving the [[Petrodollar|[petro]dollar]] system."

:"[[Michael Hudson|[Michael] Hudson]] characterizes [[U.S.]] as a [[Mafia]] state and its [[military]] presence as a “protection racket”. Without the ability to “[[bomb]]” or occupy, the U.S. loses its only remaining leverage to prevent countries from leaving the [[Petrodollar|[petro]dollar]] system."