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Today we will explore how the United States exports inflation by creating money and spreading it globally through the use of the US dollar as a reserve currency. We will examine how a single dollar moves through the economy in terms of imports and exports, and how this impacts inflation in different countries. We will also analyze data and events to see if the US creating more money leads to inflation in other nations. This idea was prompted by the monetary policies following the financial crises of 2008 and 2020, where the Fed increased money supply.
