In war fiat enables the combatant nation states to leverage all of their citizens monetary wealth toward victory. The same applies in a trade war. China and USA are already engaged in such a contest. The dollar is losing because the dollar has been squandered upon inflating the price of non productive assets while the Yuan has been directed toward to building of productive supply chains and infrastructure. USA cannot make useful things anymore. It cannot make the hardware required for a modern war. Rare earths for example. To win you need to print and spend on useful things and USA didn't do that. Trump is trying to turn that around now but its almost certainly too little far too late.
In war fiat enables the combatant nation states to leverage all of their citizens monetary wealth toward victory.
The same applies in a trade war.
China and USA are already engaged in such a contest.
The dollar is losing because the dollar has been squandered upon inflating the price of non productive assets while the Yuan has been directed toward to building of productive supply chains and infrastructure.
USA cannot make useful things anymore.
It cannot make the hardware required for a modern war.
Rare earths for example.
To win you need to print and spend on useful things and USA didn't do that.
Trump is trying to turn that around now but its almost certainly too little far too late.