The hegemony of the dollar is being challenged
In recent years, the international arena has changed, a currency war without gunpowder is quietly starting, the United States with the hegemony of the dollar, for a long time in the global wind and rain, wanton harvest wealth, with the rise of emerging economies, the hegemony of the dollar began to encounter unprecedented challenges, China is by virtue of its strong economic strength and flexible strategy, has become a strong competitor in this currency war
The "Conspiracy" of Dollar Hegemony
Whenever there is a problem in the U.S. economy, the Federal Reserve will turn on the money printing machine to inject a large amount of dollar liquidity into the market, and these dollars will flow to the world, pushing up asset prices and blowing up huge financial bubbles, and when the bubble bursts, the United States will quickly tighten monetary policy, resulting in the return of the dollar, and other countries are facing the dilemma of asset price collapse and economic recession
The United States has used this method of "sheep shearing" to obtain huge wealth from countries around the world again and again, while it has been unscathed and even profited from it, and this hegemonic act based on the suffering of other countries has aroused more and more dissatisfaction and resistance
China cleverly defuses 'financial war'
In the face of US financial hegemony, China did not sit idly by, but adopted a series of flexible response strategies, effectively defusing the attack of dollar weapons
China has established a sound capital control system, built a "firewall" against external financial risks, and effectively avoided the excessive flow of US dollars into the domestic market and the formation of asset bubbles by strictly controlling cross-border capital flows
China uses its huge foreign exchange reserves to actively participate in the operation of the international financial market, and uses the dollar against the dollar, effectively curbing the lethality of the US financial war; when the United States tries to suppress China's economy by manipulating the dollar exchange rate, China will use its foreign exchange reserves to stabilize the RMB exchange rate and smash the US plot
The future of the renminbi's rise is promising
More importantly, China is actively promoting the internationalization of the RMB, gradually breaking the monopoly of the US dollar, in recent years, China has signed currency swap agreements with more and more countries, and in cross-border trade and investment to promote RMB settlement, the steady progress of RMB internationalization, not only conducive to China's own economic development, but also for the world to provide a new choice, reduce the dependence on the US dollar
The internationalization of the renminbi is a long and complex process that cannot be achieved overnight, but with the continuous growth of China's economy and the continuous improvement of its international influence, the renminbi will eventually become an important force to be reckoned with in the international monetary system
The world needs a fairer monetary system
The hegemony of the US dollar is based on unfairness, it harms the interests of other countries, and is not conducive to the stable development of the global economy, the world needs a more fair, just and diversified international monetary system, and the rise of the renminbi undoubtedly provides new possibilities for the construction of such a system
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