Analysis of the influence of dollar depreciation on international trade pattern
As the dollar depreciates, American citizens' demand for money decreases. The Federal Reserve Bank of the United States printed a large number of dollars, lowered the benchmark federal deposit interest rate and raised the deposit reserve ratio of major commercial banks in the United States. In the long run, according to the law of one price (the price level in the United States is equal to the actual deposit reserve ratio), domestic inflation in the United States is getting more and more serious, residents give up saving and consume goods from China, the trade deficit between the United States and other countries is becoming more and more obvious (which is why the United States has to pass the exchange rate sanctions bill), the gross national product of the United States is declining, and according to the latest research results of the Nobel Prize in Economics, the United States has increased its policy intervention in the domestic economic structure. As a result, the international market value of narrow money will continue to depreciate in the future, and the international trade friction caused by the sudden change of trade pattern with the United States will be launched for a long time, which will lead to long-term political factors-oriented war risks.