I read Russian article about exported inflation and it was written there about liquidity of dollars:

In order to reduce national debt of the USA and to stimulate economic growth government of USA issues large amount of debentures which Federal Reserve System is bought up. Thus demand is increased on them. As a result interest rate in economy is low but surplus dollar's liquidity will be created. In conditions of low return on assets in the USA private investors try to find more profitable object to investment this liquidity out of the USA. Since USA dollar is reserve currency many countries keep Forex reserves in the USA dollars. But appearance of surplus dollar liquidities means that this reserves are depreceated and local currency grows up. To avoid this many country issue their own currencies (and buy dollars). This stimulate inflation in these countries.

What is liquidity of dollars?




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