Oh, you mean the LBJ School of Diplomacy.
But most people walking around (and voting), have NO idea what that means or looks like.
China's dedollarization
- Thread starter VicBee
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Oh, you mean the LBJ School of Diplomacy.
But most people walking around (and voting), have NO idea what that means or looks like.
yes and no, their central banks have an offsetting ledge, which many folks advocate for years. no reason using dollar to settle if usa is not a party of the transactions.
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I like the way LBJ was riding along in his car, on his TX ranch; he slammed on the breaks + told that CBS reporter ''pick up that trash'' LOL
It worked LOL.Did NOT care for his micro managing Vietnam+ losing;
nor debasing the USa silver coins
There are trillions of dollars of international transactions settled in dollars where the U.S. is not a party. This would not happen if there wasn't a reason. Every nation would prefer to settle transactions in the currency they can print. There is a reason this hasn't happened in any widespread way for any country other than the U.S. The three most important alternatives to the U.S. dollar for trade are the Euro, the Yen and the Pound in that order. But the US dollar remains the dominate currency for international transactions regardless of whether the U.S. is a party. There must be a reason!
Normally Russia would prefer to sell oil to China for dollars, but China would prefer to pay in Renminbi, even though they could pay in dollars. Obviously China has the upper hand. I am pretty sure they will be paying for Russian oil in Renminbi (Yuan).
Winning in Vietnam following WWII was not an option for the French or the U.S. under either Presidents Johnson or Nixon, just as winning is now not an option for the Russians in Ukraine. It's just a matter of how much loss the Russians are willing to sustain before giving up. Often countries go on fighting dying and killing long after they know they have lost a war, perhaps in a vain attempt to better their negotiating position. However the negotiating position for the losing side tends to get worse with time, not better.%%
I like the way LBJ was riding along in his car, on his TX ranch; he slammed on the breaks + told that CBS reporter ''pick up that trash'' LOL
Did NOT care for his micro managing Vietnam+ losing;
nor debasing the USa silver coins
us dollar is settlement currency post ww2 because it is deemed impartial and liquid. the impartiality is gone as it ties the trades to politics.
Thank you. I hadn't bothered to try and look it up, but logic told me that was likely the case.
China seems clearly intent on debasing the US$ as the global trading currency, yet the Renminbi is tightly controlled by communist party and illiquid. Something will have to give, unless they figure out how to both control the currency and turn it into an global trading instrument. But, just for the same reason that it seems absurd for 2 countries to have to trade in US$, the same will hold for the Yuan.
That's where I had hoped BTC would become the global reference for transactions, but it clearly isn't.
That's where I had hoped BTC would become the global reference for transactions, but it clearly isn't.
that’s not what i understood china’s aim. replacing usd with rmb is the same regime, nothing changes except who the boss is. i think the chinese just want to be left alone. all trades ought to be settled in local currencies so netting between central banks.
and the most important point, they are still in railroad era nation building phase. they welcome long term capital to build, not fast money from goldman nor buffet to flip.
Of course. Russia then turns around and gives Ren back to Chinese for their products.