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From my understanding is that since the USD is the reserve currency and many non-American individuals and nations hold USD, we can keep printing money and that the extra USD benefit Americans mostly but hurt everyone else who is holding USD. Is this true? For example, if China holds 2 trillion USD and we dilute the USD by 20% then the amount of USD China holds now worth 20% less?
Reserve currency status means Uncle Sam can borrow unlimitedly, because we have the capacity to borrow as much money as other countries are willing to lend us because the US is a safe haven. That's why the dollar strengthens when there is economic turmoil.
QE on the other hand, is the Feds buying US govt bonds held by US banks in exchange for the banks to free up there capital for lending (stimulate the economy). Banks will invest this $$$ where they get the highest yields which is usually abroad. So as the dollar strangthens from the economic turmoil (see above), Americans have a greater purchasing power at the expense of the rest of the world where they are also being flooded by cheap $$$ and hence inflation in those countries.