If the dollar is replaced as a reserve currency, American military power collapses literally overnight and with it the ability to dominate world affairs. All the aircraft, ships, submarines, the over 700 overseas military bases – mostly in the Middle East protecting the flow of the economy’s lifeblood (oil) - are currently paid for on the Chinese credit card. The wars in Afghanistan and Iraq are in fact being financed bv Chinese money. If military spending had to be paid for by what the economy makes each year in real manufactured goods, then it would have to be cut dramatically until the American defense forces resembles less a super-power and more the defense forces of other large countries.
Source: Global Surf News