The US is no longer the locomotive of the global economy and will not be able to impose the dollar as a reserve currency. This was stated by economist Vasily Koltashov.
The U.S. economy took a harder hit in 2020 than most other countries as it passed the second phase of the previous crisis, hitting with a delay. The expert calls the shock of the relevant American departments and analysts incomprehensible due to the consequences of the new crisis, and also notes the subsequent global economic restructuring.
“Oil is getting more expensive because there are problems with the dollar. The world economy is still in a depressed state, and oil is already flying up. The dollar cannot remain a reserve currency, it will not be possible to reserve in it. You can save in the currency of a country with a regulated and stable economy, a country which does not threaten you, which even writes the rules, but also observes them. And the United States has never observed even its own rules, “said Koltashov.
Problems in the US economy, Washington’s penchant for financial dictatorship and the rise of China are forcing more and more countries to move away from the dollar and the pro-American financial system. The economist believes that the PRC has become the new locomotive of global GDP, and without real influence on world development it is difficult to claim the status of an economic hegemon.
“There is a departure from the control of the United States. This is due not only to the fact that they naughty, but also to the fact that their economy has problems. The role of the hegemon is an appendage to the economic system. You must be the locomotive and pull all the trailers. Your market , your consumption and economic growth should stimulate the GDP growth of other countries. Then everyone will stand on their hind legs, realizing their dependence on you. This is not dependence on the dollar, but on functions in the system. This function is lost. And the Chinese are taking it away, ” said Koltashov on the air of the YouTube channel “Radio Aurora”.
Analysts predict a long-term weakening of the dollar against world currencies. The signs of this are the crisis in the US economy, as well as the Fed’s plans to stimulate the economy with additional money. Experts call the current decline in the ruble against the dollar short-term, believing that the Russian currency will soon win back its loss of positions.