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happyjack | 1 year ago
I think the dollar will still be the de-facto reserve currency in 20 years, but it will be more as a medium of exchange rather than a true "reserve" currency for central banks. Central banks are buying gold like crazy.
Comparatively speaking, the dollar is pretty stable. But, the inflation genie is out of the bottle. The USA keeps deficit spending like there's no tomorrow, and is on an unsustainable path. If tax receipts don't increase, we will have to print our way to debt servicing.
Also, the western global hegemony is shifting. Many non aligned countries frankly don't care about the wests causes; they simply want cheap energy and to grow themselves out of poverty. The middle east is facilitating all this for southeast asia and the like.
TL;DR the dollar will remain, but it will be an intermediary exchange between currencies and not a real "reserve" store of wealth.
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