Incoming depression

[Jimmyus]

Do you understand what it means exactly for China to unpeg its currency to ours? It brings with it a whole list of dilemmas the Chinese government has been (somewhat) successfully able to ignore since Deng Xiaoping advanced economic reforms, and the very last thing that a politically and socially unstable China would like is a United States totally crippled by the resale of its bonds (to other people by the way, they're unable to, like, make us pay before the bond reaches maturity. That's the point of a bond).

In fact, the wholly concept is patently absurd. If what you say is true, and the United States is so clearly on the verge of collapse, then China would have to sell these bonds to others at a huge discount, in effect eliminating a huge portion of the debt, not increasing it. But, let's not devolve this into 'what ifs?' that are unlikely.

I'm going to give you the benefit of the doubt and assume you meant 'if the yuan is unpegged from the dollar during this hyperinflation'. By the way, it wouldn't be hyperinflation because the answer to the problem would not be print more money, but ok. Like I said before, allowing flexibility in the value of the yuan relative to a basket of currencies, combined with an increasing realization that employment practices in China are unsustainable puts China in a precarious position itself, and most experts (let's say, James Fallows for starters, but I'll name drop for fun and put Hiroki Takeuchi and Minxin Pei) agree that a weakened U.S. would just be a one-two punch situation.

tl; dr again? Conspiracy theories are called such because they involve things that do not coexist peaceably with reality when dealing with rational actors on an international stage. Also, you should really read more (as should we all!).



P.S. Incidentally, worker's rights and the current wave of protests is primarily an issue of second generation factory employees, who will not put up with the standards of treatment afforded to migratory workers on a general basis, and is actually a fascinating area of study in its parallels to American immigrant trends.

[Ferion]

If the yuan is pegged to the dollar during this incoming hyper inflation then you would never be able to pay back loans with inflated money. This event is just the first step towards hyper inflation.

Do you know any actual economics? You should probably throw a couple more "inflations" into your sentences next time to sound even more convincing. I stopped watching the video as soon as it started complaining that the textile and TV industries don't exist in the U.S. anymore.

[archibaldcrane]

Actually the American mentality is to read layman inaccurate summaries of complex issues and fields, subsequently consider yourself an expert in a staggering display of premature enlightenment, and then arbitrarily sputter outrage and conspiracy theories regarding that issue or field to sublimate feelings of hopelessness over your completely worthless, culturally starved and empty life.

Can't be quoted enough.

To put in blunt, the US is broke. And soon US bonds will be rated junk

Timeline this please. Fiat-currency conspiracy/fear mongers get their put up or shut up moment. When does this all come back to fuck us royally? 5 years? 10? Or do you just lurk in the shadows saying "it'll happen, it really will" forever?