The necessity to express inordinate arrogance manifests as insecurities.
Do you know what happens to foreign nations' currencies and the USD when the US raises interest rates? I'm sure you know it raises the value of the USD, which increases the price of goods globally because the world trades in USDs.
Argentina, Turkey, Brazil, China, Australia, European nations, and the entire world endure inflation for numerous reasons, but the price of the USD and trade are major contributors, especially in countries with IMF loans.
The largest Australian iron ore company already settled a payment in Yuan, and countries are building a system around the USD to avoid the economic catastrophes and sanctions that have devastated them. This doesn't happen overnight, but a shift is occurring and quicker than economists speculated.
Janet Yellen admitted the risk of weaponizing the USD motivates nations to seek alternatives, which is not easy because it will take time. The world is rapidly changing, and it's not impossible that we will see a transition in the next few decades.
Perhaps, the world won't use a single reserve currency but a pool of numerous currencies alongside the USD for trade. We don't control the future or the present, and we'd be fools to believe it's impossible to see the USD's decline.
I don't want to see Americans suffer and wish our government didn't abuse its privilege, but there's no turning back now. The US will fight to maintain hegemony, and it will be ugly for everyone.
Janet Yellen's interview:
