I was hoping to read some thoughtful rebuttal from folks here on the article, esp who have been around much longer than myself and have better understanding of the economy and reserve currency issues. I guess, I should have just gone to the AI for a rebuttal, but then it would be replacing humans here (kind'a like going to my chat-bot board for advice or insight). Nonetheless, I appreciate any thoughtful responses (minus politics please) from humans on this board.
Here is a short version of the AI-rebuttal (it did make me feel a little better, especially the last bullet):
Historical Weakness in the Argument - The U.S. is not yet structurally like Britain in 1945 (losing global reserve status). It still controls the world’s deepest capital markets, most trusted institutions, and military reach.
- China, while ascendant in manufacturing, faces its own crises: debt, demographics, capital flight. Its currency is not yet trusted globally.
- Thus, a multipolar currency world (basket system: dollar + yuan + euro + commodities) is plausible, but a sudden dollar collapse is less likely. Historically, reserve transitions are gradual, spanning decades.
Tone and Audience This article is written with a blend of:
- Financial doomsday rhetoric (to stir urgency).
- Historical cycles (to anchor credibility).
- Investment bias (the author himself holds gold, silver, Bitcoin).
This doesn’t invalidate the concerns — it simply means the piece is designed to scare affluent investors into defensive positioning. It plays to the elite’s fear of wealth erosion through taxation, repression, and inflation.
Bottom Line (Economist’s View) - The U.S. is heading into a fiscal reckoning: debt, entitlements, and demographics are colliding.
- AI may accelerate job displacement and tax-base erosion, though the scale and speed are uncertain.
- Stablecoins as a Treasury-funding tool represent a modernized version of financial repression, echoing the post-WWII bond market controls.
- History shows monetary regimes shift under pressure — not on fixed schedules, but when debt + war + innovation break confidence.
- The investment logic (hard assets, tech winners, real assets) is historically sound, but the article’s doom-clock narrative is exaggerated.
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