
Cool Tourist
@cooltourist
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Economic weakness made it difficult for China to resist the Japanese invasion (1937). Internally, the Chinese Civil War broke out (Communists versus Nationalists).
As a result of both external and internal crises, the economy collapsed.
China finally abandoned the silver standard in 1935.
It was replaced by fiat money and central bank control. In 1949, the Chinese Communist Party, led by Mao Zedong, came to power.
The economy was taken under state control, private enterprise was banned, and foreign trade was restricted.
This left the Chinese economy isolated and inefficient for many years. Until the United States admitted China to the WTO and integrated it into the global economy.
Now, let's get to today...
Few people realize this, but the United States is moving toward pegging its currency to Bitcoin.
This time, China is insisting on gold. (This is one reason for the bullish performance of gold since the beginning of this year)
Of course, time will tell who made the right decision... 0 reply
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