[staytrue]

“Why might any such war “destroy [the] western monetary system” and/or destroy “capitalism in general”? “

Money is a zero coupon debt instrument. It is a debt where you present paper, they give you something of value in return. If the USA and China, the two world’s largest economies shrink dramatically, the paper is no good as there is no longer anything of value. That would be the death of western monetary system and of capitalism.

[Zhang Fei]

Money is a zero coupon debt instrument. It is a debt where you present paper, they give you something of value in return. If the USA and China, the two world’s largest economies shrink dramatically, the paper is no good as there is no longer anything of value. That would be the death of western monetary system and of capitalism.

The combined European economies were far bigger than the US prior to WWII. At the end of WWII, the world economy prospered despite the fact that Europe's factories had been turned to rubble. Laugh and the world laughs with you. Weep and you weep alone.

[AmericanExceptionalist]

Money is a zero coupon debt instrument. It is a debt where you present paper, they give you something of value in return. If the USA and China, the two world’s largest economies shrink dramatically, the paper is no good as there is no longer anything of value. That would be the death of western monetary system and of capitalism.

So, war (which--to reiterate--I am not advocating) would necessarily cause the American economy to "shrink dramatically"--so much so, in fact, that its currency would become essentially worthless?

I do not believe this happened as a result of WWII. Or as a result of WWI, prior to that. Or as a result of any other war in which the US has participated...