Archives Economic crisis - Page 10 of 11 - New Eastern Outlook
The Magic Skin of US dollar hegemony
The dominance of the US dollar in the global economy continues to wane quietly but relentlessly as many countries actively seek other currencies. First and foremost, they are the BRICS nations of Russia, China, India, Brazil, and South Africa. Although it appeared to be only a few countries, the total population is over 3.23 billion, accounting for more than 40% of the world’s population. Between 2000 and 2026, the BRICS population is expected to grow by 625 million people, most of them in India and China. By 2020, the BRICS countries’ total GDP was 25% of the global (21 trillion dollars), and their share in international trade was about 20% (6.7 trillion dollars)…
Meanwhile, the Turkish Lira Has Gone Downhill...
The Turkish lira plunged to a new historic low after Erdoğan had won the second round of the presidential election, according to the Spanish daily newspaper La Vanguardia (today the dollar is worth 20 lira, but Western analysts predict that there will be another 40% drop, with the dollar equaling 28 lira). With inflation skyrocketing, Turkey’s president is pursuing a low-rate monetary policy (8.5%), which contradicts the theory of most economists. Why the Turkish lira is plummeting against the dollar as a result of the election is obviously not difficult to say. The reason is simple – the United States and the world financial institutions (stock markets)…
The Impending Economic Collapse - A Cause of Current Conflict
Brazil’s Luiz Inacio Lula da Silva has called on BRICS nations to create an alternative to replace the dollar in foreign trade. Other experts suggest President Joe Biden’s policies will destroy America’s middle class for good. The news comes when China and Russia strengthen ties with Brazil and Latin America. Brazil’s leader questioned the institution of the U.S. dollar as the world’s trade currency in the first place and asked why each country could not trade in its currency. This brings to the forefront the historical moment when the gold standard was abolished in favor of the current system. When President Richard Nixon moved to abolish the gold standard…
