Post
Topic
Board Economics
Re: Maybe Not Possible For Governments To Get Off Fiat??
by
Twentyonepaylots
on 22/04/2023, 23:10:22 UTC
...

America makes it very hard or almost impossible for small countries to abandon USD. It has a huge influence in every country and has USAID programs all around the world. If you are not a lazy person and work hard, quality of life in America is great. People in poor countries work hard but rarely earn. So, America tells people of these countries: We are here to help you, to develop your countries, to improve your quality of life. If the government of any of these countries abandons USD, then America will tell their people that their government is corrupt, is doing bad for them, for their children, etc. One may laugh but this is reality, they gain influence in poor countries. Also, one thing that I noticed during my travel in some poor countries is that these people trust USD, Euro and GBP more than their own currencies. I've even heard from some taxi drivers that they save their savings in USD because their local currency has high inflation, etc. People even calculate the value of their apartments, cars and other things in USD instead of national currency.

America has a great relationship with Europe too, which is a huge economy and very developed union. America has great relationship with Canada, Australia, New Zealand, Japan, South Korea. These countries aren't going to abandon USD because things are going well for them with this relationship. The Chinese-USA economy is pretty linked too. So, now think yourself, is it easy to abandon USD? Countries where USA has placed its troops and nuclear weapons, are really gonna abandon USD? If they abandon it, what will be an alternative? It won't be crypto, at least for now! But this will happen, it's only a matter of time, it may be a smooth process, not an instant one because in case it's instant, I already said, America has roots very deep, there is no way they will let this happen instantly. And long-term, it will happen because nothing lasts forever.

I also think of this as America have a great and strong hold to developing countries that they would not want to abandon the USD since more with be at stake with regards to the economy. Also, the long term effect of how the world see the image of America have a great impact on to how most countries see them which is a country that has strong economy and a country that really helps other country improving their economy. But, as what I see today, the image of America is starting to change. Let's see how would these affect them but I definitely see that these would have a negative effect on their image. But for now, it is indeed that America have a strong relationship with major economy in the world and these countries would never want to abandon USD anytime soon as they would want to keep a healthy relationship with these country.