“The U.S. will lose its status as the superpower of the world financial system,” German Finance Minister Peer Steinbruck now infamously forecast late last week.
“Ten years from now, we will see 2008 as a fundamental rupture. I am not saying the dollar will lose its reserve currency status, but it will become relative.”
The U.S. has been “irresponsible” with its financial regulation, Steinbruck went on to say. This sort of laissez-faire ideology “was as simplistic as it was dangerous… This largely underregulated system is collapsing today. This world will become multipolar… the world will never be the same again.”