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Financial War: how China breaks through the US dollar hegemony Author: [US] Liao Ziguang
Chapter 1 US dollar hegemony and new global empire (1)
US dollar hegemony is the most complex financial system in history. In human financial affairs, the currency hegemony imposed by a country's dishonoured banknotes through floating exchange rate and free exchange has appeared for the first time. The global financial market makes the formation of this currency hegemony possible. Under the influence of US dollar hegemony, global capitalism has become a tool for the world's economies to submit to the US economy; World trade is now a game in which the United States issues dollar bills and other countries in the world proce procts that dollar bills can buy. US dollar hegemony makes us financial hegemony possible, which makes us exceptionalism and unilateralism possible. In the past two decades, the low wage exporting countries all over the world have spared no effort in self injurious export competition. They have unwittingly used the growth model of "high consumption, high pollution and low wages" to continuously deliver real proct wealth to the United States in exchange for the US dollar notes that can not be used at home, and have created the US global hegemony that they dare not speak up now
first, the origin, evolution and influence of US dollar hegemony. This part was first published in "US dollar hegemony has got to go" published by the Asian times on April 11, 2002, and then revised and supplemented for many times, It was published in "the coming trade war and global depression" on June 16, 2005 and "the US China trade imbalance" on April 1, 2006 respectively
in economics textbooks, it is often said that foreign exchange rate is determined by market supply and demand, and tends to ignore the social and political factors that affect market supply and demand
the existing international financial system is based on the US dollar as the main reserve currency
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