The three main drops are due to
1914 - WW1
1938 - WW2
1964 - Vietnam War
1971 - Abandoning the gold standard
There is less demand for US dollars when a war fragments the international trade and financial system. There's a more gradual decline from 1964 to 1970 when the Fed monetized the debt and fixed interest rates at 2%.
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In response to this post by Coach McGuirk)
Posted: 05/21/2020 at 2:54PM