That would pull down Japan as well, as they have most of their foreign reserves of $US treasuries? A lot of Chinese still have investments in the US. Should they pull out their investments sooner?
American Economics Thread
- Thread starter Bernard
- Start date
Well. That is why it is a last resort sort of thing to do but really, in the event that the USA defaults in the treasuries or simply cannot pay back and then the nation goes down as a result of its currency being completely worthless, well China along with Russia and other like minded nations can extract the payment of these investments in blood since the USA has failed to act in good faith and tried to basically live beyond its means without paying back the appropriate value. No nation is going to forgive this and should this become reality, well the USA will not be shown any mercy. The USA has a lot of debt and one way or the other, they will pay it, either though money, gold or having their lands extracted from them by force when the world has had enough of America sucking up all their resources and is weak enough.
antiterror13
Brigadier
Well, of course they can pay it back, by printing more ... remember their debt is in US$, in its own currency ... I know the value of US$ would go down, possibly 1/2 ... but they still can pay their debt in US$
... no problems. The big problem is to the creditors If that happened (I do hope not) ... nobody would trust the US$ anymore and good bye US$ as a global currency and good bye to the US as a super power. But US military still the most powerful in the world by big margin .. not sure what happen to the military strength when it happened
The world should demand that their debt should be paid back in RMB and some other stronger currencies, but in Euro-dollar and Japanese would be unlikely, since those economies have their own troubles. The US would just lose their temper and with their arrogance, they might just start a war somewhere. Therefore, China needs to prepare for self-defense.
their citizens living standards.
Yes the US can print but then its people would go to poverty. Americans dont realise how much they depend on Chinese low prices in order to feed their own unsustainable lifestyle
IMO is too soon for China to collapse the dollar. Who knows how they will react..
Better to prepare a nice retirement home for the old and senile US and then gently push it into retirement so that the rest of the wolrd can move on with other more important things
This hurts me personally. I was in the middle of building a shed with my Dad until the prices skyrocketed.
I know last year the inflation was minus but US having more than 6% inflation is quite crazy lol
No both of them are trash sources of energy
It's nuclear and hydro that seems to work when it comes to high energy eco friendly energy sources