Mar 18, 2020, 6:08 PM
Kash Vikaas
Nothing particularly interesting.
(a) national security. china and russia are highly vulnerable to participation in the dollar-financial system. Look what the USA has done to russia since 2014’s invasion of ukraine. And look what china is afraid of today. I mean, we can rebuild anything they’re producing in a year or two. They can’t rebuild our buying from them.
(b) everyone is going to do something like this because few countries outside the anglosphere can tolerate american ownership of both the seas, the air, and the financial system.
(c) China is 13% of russia’s trade. Germany and Netherlands a lot of the rest of it. All other trading partners are small. They have to carry MULTIPLE CURRENCIES under this scheme, unless they have a clearing house for currencies. They area apparently building one but I don’t yet see the details. If they can clear one another’s currencies at a market rate (god knows how its calculated) then that will work for everyone.
(d) russia makes much cheaper territorial arms than we do and arguably better for the eurasians. Between chinese and russians other countries will prefer russian or chinese arms. Russians are trustworthy arms dealers. Chinese are suspect.
(e) like i’ve been saying for years now, the usa finances our wars and our spending which buys americans goods on the cheap. Europe’s euro project, iran’s bourse project, all these countries are capitalizing on the end of american influence in the world – influence that we cannot maintain.
(f) gradually taking away our dollar is fine but my understanding is that the world is totally fucked without the USA running global defense and trade, and that the numbers don’t add up if anyone tries to replace it. So, as soon as the USA stops being global police then the USA starts being a friend to the people who are friends in fact, and the postwar era is over.
Or put another way, piracy is going to have a few decades of luxurious opportunity.