After a round of intense political power struggle, the United States finally reached a conclusion in the tussle over the debt ceiling. The US President Barack Obama is deemed the biggest loser. At the same time, the US stock market crashed and caused fear and anxiety across the world. Global stock markets dropped, too.
Within a day, the world lost 13.4 trillion Malaysian ringgit ($4.44 trillion) because of the United States. China Press published these 14 digits in a row in the front page to highlight the enormous amount of money the world had lost within such a short time. This 14-digit loss may remain in our minds since a long time.
US Credit Rating
After the enormous loss suffered by the world, the US-based public finance ratings group, Standard & Poor's (S&P) announced the decision to downgrade the US credit rating, from the best rating AAA to AA+. The downgrade is actually a very serious hit to the credibility of the United States. Yet, the world has to lose their money together with the United States. This once again reflects an unignorable fact, that is, the United States is still the most influential country in the world. There is no other country that can replace the United States, both in a positive and in a negative way.
In the previous round of the financial crisis, the world had to share out the burden of the monetary problems of the United States. At that time, people who got agitated sang the same tune with the anti-US groups and advocated the idea of replacing the United States. They assumed that some other countries could replace the United States and become the hegemonic leader in the world.
The financial crisis was caused by the United States. Yet, the world had to share out the losses with the United States. This has told us that the United States is the real most influential country in this world.
Difficult To Change Reality
Now, because of the downgrade of the US credit rating, the whole world is also falling. None of the countries in this world can escape from this disaster caused by the United States. You may loathe the United States, you may curse the country, but you cannot change the reality that all are subject to the influence of the United States.
We can only see the "wonder" of the United States from the third perspective in this round of global disaster. On the surface, the United States stumbled badly, but in the reality, it is the world that is hurt.
The US credit rating has been downgraded and the value of the US dollar has depreciated. For China and Japan, which have massive reserves of the US Treasury Bills, the value of their reserves drop a great deal. This will help the United States to sell its products to other countries.
This is not only an economic disaster, this is also a common issue of the international community.
Within a day, the world lost 13.4 trillion Malaysian ringgit ($4.44 trillion) because of the United States. China Press published these 14 digits in a row in the front page to highlight the enormous amount of money the world had lost within such a short time. This 14-digit loss may remain in our minds since a long time.
US Credit Rating
After the enormous loss suffered by the world, the US-based public finance ratings group, Standard & Poor's (S&P) announced the decision to downgrade the US credit rating, from the best rating AAA to AA+. The downgrade is actually a very serious hit to the credibility of the United States. Yet, the world has to lose their money together with the United States. This once again reflects an unignorable fact, that is, the United States is still the most influential country in the world. There is no other country that can replace the United States, both in a positive and in a negative way.
In the previous round of the financial crisis, the world had to share out the burden of the monetary problems of the United States. At that time, people who got agitated sang the same tune with the anti-US groups and advocated the idea of replacing the United States. They assumed that some other countries could replace the United States and become the hegemonic leader in the world.
The financial crisis was caused by the United States. Yet, the world had to share out the losses with the United States. This has told us that the United States is the real most influential country in this world.
Difficult To Change Reality
Now, because of the downgrade of the US credit rating, the whole world is also falling. None of the countries in this world can escape from this disaster caused by the United States. You may loathe the United States, you may curse the country, but you cannot change the reality that all are subject to the influence of the United States.
We can only see the "wonder" of the United States from the third perspective in this round of global disaster. On the surface, the United States stumbled badly, but in the reality, it is the world that is hurt.
The US credit rating has been downgraded and the value of the US dollar has depreciated. For China and Japan, which have massive reserves of the US Treasury Bills, the value of their reserves drop a great deal. This will help the United States to sell its products to other countries.
This is not only an economic disaster, this is also a common issue of the international community.
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