The Decline and Fall of the American Empire

In this final talk of the "Civilization" course, Jiang Xueqin explains the rise and fall of the American empire. At the 1944 Bretton Woods conference, America proposed that the dollar should be the world's reserve currency. In return for this "exorbitant privilege," America pledged that its currency could be exchanged for gold. But with America spending exorbitantly to fund the Vietnam War, the Space Race, and the Great Society, countries started to doubt this promise. After France withdrew all its gold from America, President Nixon announced that the dollar could no longer be converted to gold. To create new demand for the dollar, Nixon visited China, and brought it into the Pax Americana.After the fall of the Soviet Union, America financialized its economy, which led to the 2008 Great Financial Crisis. With Putin's invasion of Ukraine, the supremacy of the USD is more threatened than ever. In response, America may invade Iran, which would start World War III.