As most of you know, I watch a broad range of television news since most US conventional media discusses fashion, dog behavior or anything else to avoid discussing the genuine state of affairs of the United States. Fortunately, RT, RTE, France 24, CCTV, Kazakh News, Deutsche Welle, Jewish News, and NHK all have plenty to say about the US and it's failing economy and economic place in the world. Of course, many of these reports are biased in some way, but generally if there is something that all of them or many of them are saying, it is generally true. It isn't always constructive to direct my readers to an entire news broadcast, but this time, we are fortunate enough to have one article which reliably reports very concerning news for us.
In the above link, the French report that China is actively seeking to make the Chinese yuan the World Reserve Currency, replacing the US dollar. Without other nations stocking dollars, our artificially low interest rate of three and four percent would end. Rates would climb to eight or nine percent. This would bump home sales back to very low rates as few could afford to buy a home in the US at almost any price. Most people would become renters. The laws of supply and demand would cause such rents, with enhanced competition for rental homes, to rise. This would erode the value most of us feel we have in our homes if we own. In addition, with the World Reserve Currency no longer being the dollar, the US would need to pay for everything it gets outside the country, rather than obtaining it on credit. This would cause a slowdown of imported goods in the US, including the raw materials needed for the few industries which still actually occur here. The Chinese are openly calling for a "De-Americanized World". I can understand why some of the more negative aspects of the present day United States probably shouldn't be exported everywhere. (The high calorie, high fat fast food, for one) but such a change would devastate the US economy.
You and I have no genuine power to stop this. All we can do is get our own finances in order. We can pay down debt, and learn to live frugally. We can also symbolically reject China's attempt to devastate our economy by not buying Chinese products. I found this very difficult a couple of years ago, but now, it's getting easier. Before you buy something, run an internet search on "US Made Products" and see if the product is made here. If you can find it, it will not only be more expensive, it will last a lot longer. A great many Chinese goods, a la Harbour Freight etc. started as quite good in value for dollar. Now, a lot of poorly made junk is coming our way. I don't suppose that my choice and yours to stop subsidizing a nation which is trying to knock our country off the economic map will truly be noticed by them. It's largely symbolic, but we need to try to reject the treatment our nation is receiving from China. We could bark to our Congressmen, but they continued lunching with the opposition rather than blocking the implementation of a national health plan most people in the US didn't want. (I guess they had forgotten what a referendum might be.)
Tell me, what happens to the US if it cannot pay it's debts to China ? Do they repossess California ?
What kind of deal did former President Clinton and former Secretary of State Clinton make with them ? I think we'd better ask.