Hlib Chabaniuk

U.S. capital account linked to gold flows, Luke Gromen argues

U.S. capital account linked to gold flows, Luke Gromen argues
U.S. capital flows, gold, policy debate

Luke Gromen, founder, president, macroeconomic analyst, investor at FFTT, LLC (Forest for the Trees), discusses the roots of U.S.–China policy tensions.

Gromen suggests that restricting the U.S. capital account to gold convertible in all foreign exchange markets, an idea debated in the 1970s to address increased Arab ownership of U.S. and European industries, could address some underlying concerns of U.S. policymakers focused on China.

Gromen has previously noted that U.S. Veterans' Benefits now account for a record 27 percent of the Defense Department budget, outpacing overall defense spending growth in recent years, according to his analysis. In a separate report, he pointed to growing concerns among neoliberals about the effects of China on U.S. corporate profits. Both issues have featured prominently in his recent commentary on policy risks.

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