Not only is the US dollar the reserve currency but oil is also sold exclusively for US dollars by OPEC. This forces most countries to hold vast reserves of US dollars. The US benefits because they are able to print a ton of dollars which get absorbed by other countries instead of causing inflation.
This allows the US to import goods for 'free' (in exchange for printed money). This is especially true for institutions which are close to the printing presses (the gov., big gov. contractors). This is what allows the US to have such an extravagant military spending.
This allows the US to import goods for 'free' (in exchange for printed money). This is especially true for institutions which are close to the printing presses (the gov., big gov. contractors). This is what allows the US to have such an extravagant military spending.