Dollars Slay the Dragon V — The Magic of US Debts

Continued from the last post:

Dr. Z continued to explain the key role of the US monetary system in its DEI strategy:

“In the Western DEI strategy, Federal Reserve’s monetary policies played a key role. They worked as a handle of the ‘Business Cycle Whip’, with which US Fed and government could manipulate the periods and amplitudes of the economic fluctuations in business cycles. This is just what the Nixon Shock was for. Nixon Shock gave US Federal Reserve the full freedom to manipulate the US monetary system. After Nixon Shock, US Federal Reserve could print dollars at their free will without any restriction legally. However, such freely-printing-money behaviors were against the long tradition of free market economic philosophy in US society.”

continue reading here…

This entry was posted in Miracle of American Liberty, People's Diplomacy, Political Economy of Democracy, The Myth of Chinese Economic Wonder. Bookmark the permalink.

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