I’m leaving the US and one of the first things I did was convert all my USD to local currency. I’m doing my best to actively extract from the US and bring it elsewhere, to hell with my home country
More people dumping usd means lower demand for it, potentially lowers it’s value. I know it’s more complicated than that and my contribution is basically pennies but I’m hoping it helps a bit
They’re saying (bizarrely, as if moving abroad but keeping their currency in dollars was a realistic option anyway) that it somehow contributes to reducing the influence of the dollar worldwide.
It doesn’t. It means someone bought US dollars using a different currency (more of an exchange, but the initiating party is essentially buying) and now someone has US dollars that they need to spend. Either by buying products direct from the USA, or by they themselves selling US dollars to someone else, circulating it, until eventually it is repatriated (or destroyed, physically or in value, I guess).
The way you reduce a currency’s influence is by making it unstable or devaluing it, basically anything that stops people wanting to buy it or accept it as stored value.
I’m leaving the US and one of the first things I did was convert all my USD to local currency. I’m doing my best to actively extract from the US and bring it elsewhere, to hell with my home country
I’m confused as to why you think converting your money was a notable act? What was the alternative?
More people dumping usd means lower demand for it, potentially lowers it’s value. I know it’s more complicated than that and my contribution is basically pennies but I’m hoping it helps a bit
That’s… not how currency markets works. At all. Tell me, what do you think happened to the dollars?
You essentially exported them. More US dollars are now in international use than before.
As you said, not a significant amount in any way, but just bizarre to celebrate contributing almost nothing to the wrong outcome.
Do you want them to hold onto it forever, never use it or burn them? (Which will lower inflation for usd based economies anyway)
No? But… Just not think that they’re doing anything particularly notable? Keeping their money in dollars wasn’t an option anyway.
And so it’s not contributing to the wrong outcome, right?
They’re saying (bizarrely, as if moving abroad but keeping their currency in dollars was a realistic option anyway) that it somehow contributes to reducing the influence of the dollar worldwide.
It doesn’t. It means someone bought US dollars using a different currency (more of an exchange, but the initiating party is essentially buying) and now someone has US dollars that they need to spend. Either by buying products direct from the USA, or by they themselves selling US dollars to someone else, circulating it, until eventually it is repatriated (or destroyed, physically or in value, I guess).
The way you reduce a currency’s influence is by making it unstable or devaluing it, basically anything that stops people wanting to buy it or accept it as stored value.