Dollar system in crisis: Why the US bailed out Japan

Dollar system in crisis: Why the US bailed out Japan

Author: Ben Norton August 14, 2026 Duration: 35:07
The US government quietly bailed out Japan. The Treasury intervened in the foreign exchange market to try to stabilize the yen, the Japanese currency. Ben Norton explains how this reflects a larger, structural problem with the dollar system. Japan is the largest holder of US Treasury securities (US government debt), and Washington doesn't want other countries to sell its bonds, fearing that yields could rise and cause a debt crisis. VIDEO: https://www.youtube.com/watch?v=ngGQrWxNdV4 Topics 0:00 USA bails out Japan 1:04 Japanese yen falls against USD 1:29 USA will "do whatever it takes" 2:21 Japan's holdings of US Treasuries 3:03 China de-dollarizes 3:31 US empire and Japan 4:26 Japan's role in dollar system 5:32 Carry trade 7:24 Wall Street benefits 8:24 Real reason for US intervention 9:39 US fears sales of its bonds 10:37 US bond yields rise 11:38 US government debt 12:14 Inflation in US 12:56 Foreign demand for US bonds 14:35 Seizure of Russian assets 16:06 Central banks buy gold 16:55 US bond market problems 17:58 US Treasury sells euro 19:37 Crisis in dollar system 22:07 Dollar dominance in decline 24:30 Why the yen is falling so much 24:51 Energy crisis and Iran War 26:57 Inflation in Japan 27:47 Interest rates in Japan 29:25 US govt backs carry trade 30:36 Economic stagnation in Japan 31:03 Enormous debt to GDP in Japan 33:10 US debt problems 33:44 Slow-motion financial crisis 34:46 Outro

Trying to make sense of international headlines often feels like seeing only the ripples on the water's surface, without understanding the powerful currents moving beneath. Geopolitical Economy Report, hosted by journalist Ben Norton, dives into those deeper forces. This isn't just a recap of the day's events; it's a dedicated exploration of how economic systems, historical context, and raw power politics fundamentally shape global conflicts and alliances. Each episode builds on the work of the independent news outlet of the same name, translating its original journalism and analysis into a compelling audio format. You'll hear detailed discussions that connect financial policies to social movements, or trace the historical roots of a modern trade war, always with an eye toward understanding the larger, changing structure of the world. For anyone tired of superficial news cycles and seeking a more substantive, connected perspective on why nations and institutions act the way they do, this podcast offers a crucial and clarifying lens. Tune in for a regular dose of context that the mainstream frequently overlooks.
Author: Language: English Episodes: 50

Geopolitical Economy Report
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