United States: Having the global reserve currency should lead to consumerism, not mercantilism

The dollar is the dominant international reserve currency, which gives the United States the “exorbitant privilege” of being able to easily finance its external and fiscal deficits at very low interest rates. A country that has this privilege can be expected to be consumerist (to borrow in order to consume) and not mercantilist (whereby growth would b e driven by exports and external surpluses), since a mercantilist strategy does not allow it to take advantage of its ability to borrow thanks to its role as the reserve currency issuer. Donald Trump is clearly mercantilist, as he is strangely forgoing the ability to benefit from the dollar’s reserve currency role.