How long do we have until the unsustainable US economy collapses? Todd Wood, the author of the book “Currency,” explains why the US economy is on the verge of collapse and why Russia, which keeps increasing its gold reserves, might become the next major economic power.

By the end of 2014 Paul Craig Roberts, a well-known American economist and co-founder of Reaganomics, told King World News that Russia could respond to sanctions by unleashing what he called an «ultimate black swan» against the West to repel the attack and retaliate.

Although many funerals have been held for the US dollar, still it lives on. On the eve of the collapse of the Bretton Woods currency system, the dollar made up almost 80% of global foreign-exchange reserves (in 1970 it totaled 77.2%, and in 1972 - 78.6%). Then, after the transition to the system negotiated at the 1976 Jamaica Conference, that percentage gradually declined, reaching its lowest level - 59.0% - in 1995. In the wake of financial globalization, the dollar’s positions strengthened again (reaching 70-71% between 1999 and 2001), but then a new decline was seen in the dollar component of global foreign-exchange reserves - dropping below 61% in 2014. Nevertheless, it is still higher than in 1995.

At the beginning of 2015 economic ratings given to Russia’s economy appeared in the West to cover the previous year, offer the forecasts for the current year and even for the period of 2016-2017. The ratings were presented at the World Economic Forum (January 21-23). Summing them up one can conclude that they look more like politically motivated decisions than economic assessments. It all boils down to one thing – Russia will face a deep economic crisis in the next two-three years. At the same time the leading rating agencies revised the ratings of the whole Russia’s economy and its largest companies, banks and regions.

Although many funerals have been held for the US dollar, still it lives on. On the eve of the collapse of the Bretton Woods currency system, the dollar made up almost 80% of global foreign-exchange reserves (in 1970 it totaled 77.2%, and in 1972 - 78.6%). Then, after the transition to the system negotiated at the 1976 Jamaica Conference, that percentage gradually declined, reaching its lowest level - 59.0% - in 1995.

The World Economic Forum (WEF) is an independent international organization committed to improving the state of the world by engaging business, political, academic, and other leaders of society to shape global, regional and industry agendas. The Forum is best known for its annual winter meeting in Davos, a mountain resort in Graubünden located in the eastern Alps region of Switzerland. The organization also convenes some six to eight regional meetings each year. This year its annual winter meeting kicks off on January 21.

“ICH”, “Global Research”. – The statement by Chinese Foreign Minister Wang Yi on 22 December 2014:  “If the Russian side needs it, we will provide necessary assistance within our capacity" – is a clear testimony that Russia and China have entered into an economic alliance which will be stronger than the incessant ruble and petrol devaluation manipulations by Washington, aided by the European puppets.

Historians may look back on 2014 as a defining watershed in geopolitical events, the year when the limit of American power was exposed as a waning entity and the contemporary root of global conflict.