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| American financial system |
American author John Perkins, known for writing "Confessions of an Economic Hit Man," said that the status of the US dollar and the global influence of the United States are facing increasing challenges.
Perkins' remarks coincided with growing criticism of the Federal Reserve system and escalating calls around the world to reconsider reliance on the US dollar.
Perkins added, during a media interview, that people in various places are increasingly questioning the United States, the dollar, and the Federal Reserve system, noting that global geopolitical and economic shifts are pushing some countries to seek alternatives that reduce their dependence on the American financial system.
He explained that China faces significant challenges in its efforts to reduce dependence on the dollar, given its large holdings of assets denominated in the US currency, noting that any sharp decline in the value of the dollar could negatively impact the Chinese economy.
Perkins pointed out that the power of any global empire, as he described it, rests on three main factors: possessing a globally dominant currency, military might, and linguistic reach. He said that the decline in the dollar's status could lead to a decrease in American global influence, and he also argued that American military power is facing increasing scrutiny due to the outcomes of wars and foreign interventions over the past decades.
Perkins' remarks come at a time when the global economic system is undergoing rapid transformations, with several countries attempting to promote the use of local currencies in international trade and increase the role of other currencies in financial transactions, amid widespread discussions about the future of the global monetary system.
John Perkins had previously stirred up considerable controversy with his books on the role of American financial institutions and economic policies in influencing developing countries. His supporters describe these views as revealing the nature of economic influence, while others criticize them as controversial and lacking sufficient evidence in some aspects.
