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U.S. leadership in the world is at stake.
The United States has long maintained its economic and military hegemony by plundering the world's wealth, but now the United States is in a state of isolation. Its former alliance, the European Union, is taking a tortuous path, leaving a way out for itself. Moreover, the U.S. bond market around the world has not been effectively contained, and there has been a large-scale sell-off in the U.S. bond market, which has put the U.S. economy under great pressure and plunged into a crisis as a result.
This situation had a direct impact on the economic situation of the United States and made it difficult for the United States to move forward in the international financial crisis. Domestically, the U.S. has $34 trillion in federal debt, or 122% of U.S. GDP, which is a huge burden. At the same time, the United States has not completely eliminated inflation within itself. Around the world, the United States lacks sufficient financial resources to maintain its former position as the hegemon of the seas. This has directly led to the decline of the United States' maritime discourse, which has an adverse effect on the smooth operation of the world economy. And those who have been offended by the United States in the past will certainly not give up, making America's already difficult situation even more difficult.
The deteriorating situation in the Middle East has brought the international community to a standstill.
The Middle East has become a center of competition for military and economic power, and the United States plays a pivotal role in it. However, with the increasingly severe situation in the Middle East, it has had a huge impact on the world economy. The war between the two countries has hindered trade between the two countries, especially in the Red Sea and the Middle East, which has become a very unsafe trade route. This is undoubtedly a major insult to the United States and an unprecedented provocation. The US maritime hegemony is long gone.
The increasingly grim situation in the Middle East has had a major impact on the stability of the world, and the international obstruction will put the United States in an even more difficult situation. The United States' previous maritime power relied largely on huge economic power. Faced with a dire economic situation, it will be difficult for the United States to maintain its former maritime hegemony. This also puts the United States in a very difficult position.
Europe is looking for a way out of America's economic woes.
While the United States is in recession, European countries are already looking for a way back to find their own ** and energy **. This can be seen as a kind of pre-emptive reaction by the EU to cope with the current dire economic situation in the United States. A series of events that have happened before have shown Europe the essence of the United States, and it has also made the United States pay a heavy price. Therefore, the European Union has begun to defend its own interests.
This is also a smart approach, you must know that in the Middle East, they spent a lot of money to buy from the United States to support their own energy**. In the face of growing economic problems, Europe has realized that it can no longer follow the United States, and this ** will eventually be cut off by sea transportation. Therefore, European countries are looking for a way out, seeking a path of independent development, in order to protect their own ** and energy**.
It is not wise to pay off your debts first with money.
Given the volume of U.S. bond issuance and the large number of selling, some members of Congress have suggested using U.S. foreign exchange reserves as a first step to repay the debt. However, it is not a wise move to do so. First of all, the United States only has 480 billion ** reserves, and it is still a long way from a debt of more than 34 trillion. Second, if the debt is repaid with **, it is equivalent to returning to the gold standard, and the United States cannot rely on printing money to plunder the money of other countries. Moreover, some others no longer keep their ** in the Federal Reserve Bank, which is obviously very dangerous. Worse still, doing so would lead to a collapse of the world's financial system, the outcome of which would be catastrophic.
Overall, the United States is now facing an economic crisis and the collapse of world hegemony, but it is not a good idea to rely on ** to pay off its debts. Therefore, the United States must take other steps to address the current problem.
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