The corona virus outbreak shows just how fragile our world is

Quite apart from the disruption that has been caused, China has printed $170BILLION of extra cash to pump into the economy. There’s no guarantee that’s enough, and in fact it’s unlikely to be. In 2008, the US Treasury printed $600 billion, and that wasn’t enough to prevent widespread bankruptcies and zombie companies. The IMF only has about $3-4 triilion available to it and the dollar derivatives and swaps are now around $18 trillion, so a real disruption (people asking for their USD back) would have a catastrophic effect on the world economy. Far from reducing reliance on dollars, the crash enhanced and strengthened its hegemony.


This is a companion discussion topic for the original entry at https://scotcoinproject.com/news/the-corona-virus-outbreak-shows-just-how-fragile-our-world-is/