This is the best economic answer to the question of why dollar doesn't had inflation like other currencies that increase supply. much better than the "the rich will only inflate art prices" that is currently on top of this one.
But also ignores the military power. Which plays a huge part on why the dollar is always so strong, regardless of how much is printed.
When Saddam decided to sell oil in euro, or Venezuela decided to accept gold, the US was ready to bring democracy and peace.
On a free market you can't shut down a bakery if they decide to buy flour from your competitor.
But also ignores the military power. Which plays a huge part on why the dollar is always so strong, regardless of how much is printed.
When Saddam decided to sell oil in euro, or Venezuela decided to accept gold, the US was ready to bring democracy and peace.
On a free market you can't shut down a bakery if they decide to buy flour from your competitor.