The crazy printing of money in the United States led the world into the era of inflation.
In today's epidemic situation, in order to stimulate economic recovery, western countries represented by the United States have released liquidity on a large scale, that is, since March 2020, the United States has adopted a super fiscal stimulus plan and ultra-loose monetary policy, printing money crazily, leading to the era of global inflation. Next, let's talk.
? ? First, the United States is printing money crazily, laying an imported inflation risk for the whole world. As we know, the US dollar is the main trade and settlement currency in the world today, and most commodities in the world are priced in US dollars. Therefore, excessive printing of money will lead to inflation. At the same time, the quantitative easing policy of the Federal Reserve will lead to the risk of excess market liquidity and sharp depreciation of the US dollar, which will trigger a new round of resource price rise and lay a hidden danger for global imported inflation.
Second, the United States is printing money crazily, which impacts the export industries of other countries. As we all know, the devaluation brought by the Federal Reserve's quantitative easing policy will benefit the domestic export industry, but the currencies of other countries will be forced to appreciate, thus weakening their export capacity to the United States, which is likely to lead other countries to follow suit and even further realize quantitative easing, which will not only lead to economic and trade contradictions, but also increase their future inflationary pressure.
? ? Third, the crazy printing of money in the United States has caused the assets held by other countries to shrink. Over the years, American debt has become an asset for many countries in the world by virtue of its strong American economic strength and the endorsement of national credit. The Fed's printing a large amount of money to buy US debt will push up the price of US debt, reduce its yield, and expose foreign exchange assets held by other countries to the risk of shrinking. At present, under the situation of today's epidemic crisis, the Federal Reserve has implemented unlimited quantitative easing policy, and then printed money crazily, which will cause the assets held by other countries to shrink.
? ? Summary: the crazy printing of money in the United States means that the financial order of all countries in the world will be seriously damaged. When a large amount of dollars circulate to the market, it will lead to global inflation with serious consequences. Printing a lot of money is a consistent practice in the United States when it comes to problems. It can be said that it is not good for any country in the world, and all countries in the world will pay for the crazy printing of money in the United States. At present, the epidemic has severely hit the economic market, and as the world's largest economic power, the American economy has also been seriously affected. Printing a lot of money can easily lead to currency depreciation and global inflation. In fact, printing money crazily will consume the global position of the US dollar in a short time, but in the long run, it will aggravate the inflation of the US dollar and even lead to the depreciation of the US dollar.