Tucker Carlson, host of Fox News and “Tucker Carlson Tonight,” analyzed the situation surrounding the recent de-dollarization movement being promoted by countries like China and Russia. Carlson stated that sanctions against Russia and the weaponization of the U.S. dollar are contributing factors to this movement.
Tucker Carlson believes that sanctions are to blame for de-dollarization efforts around the world
Tucker Carlson, host of Fox News and “Tucker Carlson Tonight,” touched on recent moves by countries to distance themselves from using the US dollar as a reserve or settlement currency. According to Carlson, sanctions against Russia implemented by the U.S. government as part of its deterrence against the Russian-Ukrainian conflict have contributed to the recent global movement away from the dollar.
Carlson (20) explained that the Russian economy was not submerged by the sanctions because it is based on the export of products needed by other countries (21). He stated:
Unlike the United States, Russia does not have a late-stage financial economy. Russian oligarchs do not gain wealth through credit default swaps. They get rich by selling the actual things that people need to survive: oil, gas, iron fertilizer, coal, wheat, etc.
However, the sanctions, which froze billions of dollars held by the Russian Central Bank and Russian oligarchs, may have warned other countries of the dangers of holding foreign reserves in US dollars.
Mistrust created by sanctions
Carlson argued that as a result of these deterrence-driven moves, other major powers have come to see the dollar as a liability that can be turned against them.
and explained:
Smart foreigners began to dump the US dollar. Why? Because the U.S. dollar was no longer a reliable measure of value. Suddenly, the U.S. dollar became a political weapon that could be manipulated at will against anyone who held it.
Carlson cites the shift by China, Brazil, India, Pakistan, Saudi Arabia, and even France to trade in renminbi or their national currencies as an alternative to the US dollar, and believes these de-dollarization efforts are accelerating as a result. The report also notes that the U.S. dollar has been a major factor in the shift to the Chinese yuan.
And the final step, Carson said, would be for all these dollars to be returned to the U.S., impoverishing the American people and causing an economic collapse similar to what the Weimar Republic faced after World War I.
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