High levels of personal debt are in great part the answer to low wages and the problem with it are the constraints that it ends by posing to private spending, as part of the income is siphoned out as interest.
The fact that the USA dollar has been since the last world war the world reserve currency par excellence has also put an onus on the United Sates, since for the world to have them that country has to incur trade deficits. This is known as the Triffin dilemma.
"The Triffin dilemma (sometimes the Triffin paradox) is the conflict of economic interests that arises between short-term domestic and long-term international objectives for countries whose currencies serve as global reserve currencies. This dilemma was identified in the 1960s by Belgian-American economist Robert Triffin. He noted that a country whose currency is the global reserve currency, held by other nations as foreign exchange (FX) reserves to support international trade, must somehow supply the world with its currency in order to fulfill world demand for these FX reserves. This supply function is nominally accomplished by international trade, with the country holding reserve currency status being required to run an inevitable trade deficit.[1] After going off of the gold standard in 1971 and setting up the petrodollar system later in the 1970s, the United States accepted the burden of such an ongoing trade deficit in 1985 with its permanent transformation from a creditor to a debtor nation.[2] The U.S. goods trade deficit is currently on the order of one trillion dollars per year.[3] Such a continuing drain to the United States in its balance of trade leads to ongoing tension between its national trade policies and its global monetary policy to maintain the U.S. dollar as the current global reserve currency. Alternatives to international trade that address this tension include direct transfer of dollars via foreign aid and swap lines. The Triffin dilemma is usually cited to articulate the problems with the role of the U.S. dollar as the reserve currency under the worldwide Bretton Woods system established in 1944. John Maynard Keynes had anticipated this difficulty and had advocated the use of a global reserve currency called 'Bancor'. Historically, the IMF's SDRs have been the closest thing to the proposed Bancor but they have not been adopted widely enough to replace the dollar as the global reserve currency..."
"Donald Trump’s plan to devalue the dollar if he wins the US election looks “extremely unlikely” to succeed as it would be undermined by policies such as tariffs and tax cuts, according to investors.In recent weeks, the former president and his running mate, JD Vance, have talked up the benefits of weakening the currency to boost the country’s manufacturing and lower the trade deficit.But strategists warn that plans to devalue the dollar would be expensive and short-lived, while populist policies such as tariffs on overseas goods would counter its effect.“There is a big contradiction in the market today — Trump has been vocal about dollar depreciation but his policies should support the currency, at least in the short term,” said Michaël Nizard, a fund manager at Edmond de Rothschild.In an interview with Bloomberg last week, Trump said the US had a “big currency problem” that placed a “tremendous burden” on manufacturers selling goods overseas..."
