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RE: Bounty:Why a strong USD may crash the world economy
The strong US Dollar means that all the US-denominated debt that the world has accumulated is more expensive to pay back. For instance, if I borrowed 10 Steem from you and the price of Steem went up to $2, it would be much harder to pay back. Those who earn in currencies other than dollars (or countries that print currencies other than the dollar) have to work harder to fulfill their obligations.
Sure, but at the same time since the US is a net importer this is great for all countries exporting to the us.
Are we saying foreign debt has a higher impact than imports?
Keep in mind that the world is consistently moving away from the dollar standard. They don't want to hold dollars anymore because the US has weaponized the SWIFT system so much. All the BRICS countries are moving away from using dollars. Even the UK created its own settlement system to get around SWIFT, and they're one of the US's closest allies.