RT has the article US ‘Empire of Debt’ will go to war to stop emergence of petro-yuan – Max Keiser.
The imminent introduction of oil trading in yuan is a very bold move by the Chinese, because the US will not give up the basis of its hegemony – the dollar as the world’s reserve currency – without a fight, Max Keiser, host of RT’s financial program ‘Keiser Report’ has said.
The embedded video on YouTube itself has the title On path to de-dollarization: World tired of funding US military adventurism – Max Keiser.
This comes from RT, but that’s not what I need to warn you about. I can agree with a lot of what Max Keiser says, but his remarks about crypto-currency are pure fantasy. He absolutely loses all sense of reality when he tries to promote crypto-currency.
What Keiser is right about is that the USA coercion that we do (economic sanctions or the threat thereof) to other countries on the strength of the dollar being the world reserve currency, is exactly what is driving countries to want to free themselves from the dollar. If you overdo taking advantage of a power that the world has granted to you, eventually the world will rebel and take that power away.
What Modern Money Theory says, is that the USA government will always be able to buy whatever is for sale in USA dollars. The rub comes when that means we can only buy what we make ourselves as the rest of the world refuses to take USA dollars freely. There are pluses and minuses from that eventuality. Even if the pluses eventually outweigh the minuses, the transition will be very painful for the people in the USA.