It should probably be understood as follows: under the condition of the depreciation of the US dollar, the monetary authorities adopting the dollar peg mechanism must maintain the inherent exchange rate level by selling the US dollar at home and putting in the local currency, that is, promoting the depreciation of the local currency against the US dollar through open market business, which requires the consumption of US dollar reserves, and in order to maintain the relative stability of the US dollar reserves, a large number of exports are needed to exchange for US dollars. As for the phenomenon that "most developing countries can only continue to increase the export of raw materials", it is mainly because most of the financial markets in these countries are inefficient, the political and social environment is not stable enough, and industry, commerce and service industries have no comparative advantages. Apart from raw materials, nothing can be exchanged for dollars, so it is difficult for China to absorb a large amount of dollars with a double surplus (in fact, China is not very smart, except for changing raw materials, other things are mainly primary products and capital projects. Listen, America is transnational. Moreover, the international settlement currency of export products (that is, "raw materials") of such countries is mostly US dollars, otherwise why should he stare at US dollars? This has actually become a strange circle-in order to maintain exchange rate stability, it is necessary to exchange real money for dollars. What if the exchanged dollars continue to depreciate?

For these countries, pegged exchange rate still plays a certain role in curbing hyperinflation and maintaining economic stability. It is wise to adopt the right mechanism at the right time, and it cannot be generalized. Moreover, the depreciation of the dollar is also relative to the local currency. If the dollar does not depreciate or peg to other single currencies (except a basket of currencies), those countries will have to sell raw materials and bear such risks. Americans are smart enough to find the best balance between maintaining their reputation and continuing to levy seigniorage and taking the opportunity to fish in troubled waters. As long as the powerful multinational corporations and financial institutions, efficient financial markets and stable political and social environment in the United States remain unchanged, money will still flow back. If you pay the bill now, blame yourself for being stupid.

In those days, the Japanese sold cars for dollars, went to the United States to buy real estate, or came back for nothing to help the old Americans solve their problems. The person who paid the bill this time was more greedy and stupid. At least people have been exposed to physical assets, most of which are capital-intensive and technology-intensive products (he has no raw materials even if he wants to sell them). What about this time?

To add: although the RMB is not strictly pegged to the US dollar at present, it is actually very concerned about the exchange rate of the US dollar. Why-Among the top ten countries with trade deficit in China in 2008, Iran, Saudi Arabia, Oman and Angola are oil producers, while Malaysia and the Philippines are two major exporters of oil, metals, rubber and products. There is Australia, and the main trade items with Australia, such as wool, iron ore, oil and natural gas, seem to be settled in US dollars. The United States is China's second largest trading partner, the source of surplus, the top ten surplus countries, and the oil-producing country Mexico is the last one to admire. The top three imported commodities are: automatic data processing equipment and its components, iron ore and its concentrate and crude oil. Refined oil and primary plastic are the fourth and seventh respectively, while soybean is the fifth. Among the top ten, metals and their products account for four items, bulk agricultural products account for five items, and the tail is automobiles. All over the world, except cars, it seems that the settlement currency of these products is US dollars. "Automatic data processing equipment and its components" and "automobile" are also divided into very large pieces. No dollars? Dude, are you kidding _

It's still a matter of proportion. My understanding is as simple as that. .....