You can all shut up about the US Dollar. Between this and Modern Monetary Theory, the U.S. Dollar is immortal.
"The Eurodollar system became so dominant because of innovations from people trying to avoid US government control of their dollars, and that’s precisely why the system is so resilient — to alternate currencies, to geopolitical shocks, and to the US government itself.
Nothing lasts forever, but for now, global dollar dominance is on pretty solid ground."
You can read the rest at Keith Woods' Substack feed here.
Woods' explanation of the Eurodollar regime fills in the gaps that folks like 1Dime leave out when they talk MMT.
The system needs both.
MMT deals in the structural elements that makes Eurodollar possible. First, it originates out of nothing--not even in the manner Woods describes, but deeper--the original Dollars needed for the commercial banks to use Fractional Reserve lending to generate all of the currency that Eurodollar exploits to make the system run. Second, it compels the use of the U.S. Dollar to satisfy costs imposed at the point of a gun: U.S. Federal Income taxes, U.S. state Income taxes, Sales taxes, Capital Gains taxes, Gift taxes, Death taxes, all sorts of fees and fines, and--yes, since it's all the news now--Tariffs and Duties.
You also need Dollars to buy U.S. Treasuries and similar fiancial instruments, purchase any asset class in U.S. jurisdictions, purchase any service or good in the same places, and so on. The entire world runs off what only the U.S. Dollar permits access to, for reasons fair or foul.
Yes, there's places where the British Pound or the Euro are almost as good (or locally preferable). Yes, there's places that prefer the Japanese Yen (that are not Japan) for one reason or another. But anyone serious about international travel or trade always has accounts in U.S. Dollars, and everyone knows it- especially those that hate it.
The Dollar cannot die; it is immortal. Not because MMT alone says so. Not because the Eurodollar system alone says so. But because they are two ends of the same system, and that can and does say so- and if the U.S. Dollar is immortal, so is the United States because you cannot have an immortal currency without an immortal state to back it.
Empire knows this. That's why Globohomo in particular treats this as its final redoubt and its true seat of power. Unlike all other castles, this cannot be destroyed; it can only be taken, purged, and repurposed- and thus it will remain forever vulnerable to returned subversion and corruption. Therefore it must be treated like nuclear power: a great tool, but also dangerous in the wrong hands, and thus only pius men should be permitted to work its levers.
Empire is falling.
