From Dr Yousaf M Butt.

Sir, I read with interest Gillian Tett’s article “Why the dollar stays steady as America declines” (Comment, February 7). Having been trained in nuclear physics, I was unable to cope with the complicated financial explanations of why the dollar ought still to be a good store of value despite the government flooding the market with dollars.

As Ms Tett noted, the dollar “has become ultra-attractive because of bountiful supply, not because supply has been constrained”. I believe the layperson’s term for this complicated financial phenomenon is “Ponzi scheme”. Granted, it is a unique and picturesque Ponzi scheme where the masterminds pushing the scheme are buying up much of the product (dollars). What happens when they stop buying?

Yousaf M Butt, Director, Emerging Technologies Group, Cultural Intelligence Institute, Washington, DC, US

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