The dollar is linked to gold, and the currencies of all countries are linked to the dollar, which means that all countries regard the dollar as the most important foreign exchange reserve. These protected areas are actually beautiful. It's too idle to ask such questions

Let's first consider how the deficit is generated. Assuming that China imports nothing but exports to the United States, many of the exported things in China's foreign exchange reserves are converted into dollars. The increase in China's foreign exchange reserves means that the United States needs to import more things. At the same time, assuming that the demand of the United States is infinite, it is necessary for it to print more US dollars, because if it is not printed, the US dollar will appreciate infinitely with the increase of goods on the market. The actual situation is that the United States issued a large amount of currency due to war oil and other issues, which led to the depreciation of the dollar. If you want it, Bretton will collapse.

The deficit should not shake people's confidence in the renminbi, but the increasing US Treasury bonds and the depreciation of the US dollar. In addition, our foreign exchange reserves have not been replaced by products that should be exported, but the same RMB has been issued in China, so the RMB market naturally expands and natural people lose confidence in the RMB. In addition, the appreciation of the RMB against the US dollar is also one aspect.

The decline of American national strength is the decline of American manufacturing industry, which naturally leads to the expansion of American export deficit.

Actually, economics is bullshit. Surplus will lead to inflation deficit, so will deficit inflation in the United States and surplus inflation in China.