Ian Welsh

The horizon is not so far as we can see, but as far as we can imagine

Category: Age of War and Revolution Page 5 of 19

America Flails, Resorting To Ineffective Sanctions Over and Over

By

On May 3, 2024

Comments

This has been a theme, but let’s keep nailing it shut.

My favorite recent news was this beauty:

Russia would struggle to sustain its assault on Ukraine without China’s support, Blinken said. “If China does not address this problem, we will,” he added, in a possible reference to sanctions against Chinese businesses involved in the trade with Russia.

China wants Russia to win, or at least not lose the war and needs Russia as a secure ally so that it can’t be encircled or blockaded. Russia has the food, minerals and fuel that China needs, and naval power can’t embargo supplies.

As for the effect of sanctions, well, what’s the line? “Don’t threaten me with a good time?” The effect of sanctions on China has been to make China stronger in almost every way.

Back in 2015 Xi decided on a ten year plan “made in China 2025.” The US hated it and sanctioned large chunks.

The results?

the analysis confirms that more than 86 per cent of these goals have been achieved, with some others likely to be completed later this year or next. Meanwhile some of the targets, such as electric vehicles (EV) and renewable energy production, have been well surpassed.

We all know that the Huawei and anti-chip sanctions have backfired completely. China now owns the legacy chip market and is making rapid progress in advanced chips. It created its own OS, bypassing Google, and has put out phones as advanced as those made by US and South Korean companies. The iPhone market share in China, one of its most important markets, is cratering.

Chinese EVs are crushing: they cost far less than Western ones (though when sold in Europe, they are marked up hundreds of percent) and the car market in China is now dominated by Chinese vehicles, where in 2015 foreign autos were preferred.

As for Blinken’s threats, the Chinese ignored them, and the US did, indeed, sanction.

Boo hoo.

Meanwhile, China has been selling Treasuries at a record clip.

China has decreased its Treasuries holdings from $849 billion to $775 billion between the beginning of Q2 2023 and Q2 2024, reaching its lowest holdings since 2009.

Can you say “reduction of exposure?” Sure you can.

At the same time, a number of African countries have removed their gold stockpiles from America. It seems that stealing Russia’s reserves for geopolitical reasons has consequences.

The largest economies in Africa and the Middle East are withdrawing their gold reserves from the United States.
Starting in 2024, Egypt, South Africa, Nigeria, Ghana, Cameroon, Senegal, Algeria and Saudi Arabia have decided to withdraw their gold reserves from the United States.
It should be noted that South Africa, Egypt and Nigeria are the largest economies in Africa.

Huh.

Let’s circle back to the “sanction China for trading with Russia” imbroglio. Russian foreign minister Lavrov had something to say about that:

“Russian-Chinese trade and economic cooperation are actively developing, despite the persistent attempts of the states of the collective West to put a spoke in the wheels,” Lavrov said. “There has been an almost complete de-dollarization of bilateral economic relations. Today, more than 90% of mutual payments have been transferred to national currency,” he added.

“Interaction in the energy sector is steadily advancing. The supply of our agricultural products to the Chinese market is growing. Joint projects are being implemented in the investment and industrial areas. The mutual benefit from such cooperation is clearly felt on both sides of the Russian-Chinese border,” Lavrov concluded.

Are sanctions working outside of China/Russia? Not in the near region. Lavrov again:

Despite the threats that our partners have received from the US and the European Union not to cooperate with the Russian Federation and the Republic of Belarus under pain of so-called secondary sanctions and other penalties, trade flows across the CIS are growing. [Trade] edged up by more than six percent last year, amounting to over $100 billion.”

Now let’s talk more generally. Every sanction is an imposition of geopolitical risk. Everyone in the world understand this: cross the US or Europe, in any way, and they will sanction you. If you use the US/European financial system, these sanctions can hurt. The way out is to move away from that system—to create another one, where transfers never touch the US or Europe.

So every sanction increase the incentives to create that system and move to it. Parts are already created, more will be and in the end there will be two major financial networks: one Western, one for the rest of the world. The effect on Western prosperity will be significant, though there will be advantages to Westerners not in the elite, as it will crush rent extraction by financial elites. (Though no doubt they’ll simple double down on domestic rent extraction.)

We are living thru the end of the Euro-American era. The end of centuries of dominance. It’s fascinating, but the consequences will be vast. Understand that it’s happening.

You get what you support. If you like my writing, please SUBSCRIBE OR DONATE

 

The Standard Conditions Peaceful Or Violent Revolution, Collapse and Coups

By

On April 15, 2024

Comments

We’ve discussed this before:

  1. fiscal inability;
  2. an elite faction which wants to take over;
  3. support of 20% or more of the population;

What is also very common is lost of prestige due to military defeat. This Russia in WWI (and they had also lost to the Japanese, which was particularly humiliating) or Germany, also after WWI. Getting your ass kicked makes people doubt you.

Or, if you want to put it another way: imperial overstretch, military defeat and internal strife.

America’s good, or rather, bad, on all of these. Just got its ass kicked by Yemen. Hasn’t won a war in generations. Massively ballooning deficits and debts at the same time as they’ve lost the ability to make much of what they need. Unable to build ships or advanced weapons or aircraft—aka: unable to produce the necessary military goods. Unable to recruit enough men to fill the military. Unable to keep its own ships and planes maintained properly. Police bloated but ineffective at anything but beating heads (and we’ll find out they aren’t good at that either when people start fighting back.)

Fiscal over-reach. Incompetence of the enforcer class who are also no longer loyal and many of whom don’t support the current state. (Remember, on Jan 6, the cops mostly didn’t fire. They would have against left wingers.) Massive prestige loss. Unhappy population due to generations of declining standards of living (no, don’t even, the official stats are bullshit. I was alive then. The standard of living is getting worse and worse unless you’re on of a few percent of winners.) Industry shipped overseas to main rival. Alliance of the largest major continental powers in Asia: Russia, China and Iran, with most of the third world preferring them to the West, even as African nations start kicking France and America out.

The question was always “when” not “if” since everything ends, but “when” is getting a lot closer. We could stumble on for quite a while until some event precipitates the the final cascade of events, but equally it could happen very soon because all the conditions are there for it. Once the conditions are met, it simply requires the inciting moment or person. Could be Trump, but more likely it’s the guy who learns from him who’s more competent.

I take some pleasure in this, but not a great deal. When the US collapses, my personal standard of living will collapse with it. I may wind up on the street and if I don’t I’ll be living a lot less well. Plus the US, in collapse and after, will be a danger to those countries in its immediate vicinity and I live in Canada.

But the conditions for collapse, revolution or coup are met.

You get what you support. If you like my writing, please SUBSCRIBE OR DONATE

The Hard Problem of Leadership

By

On April 1, 2024

Comments

We have lived under representative democracy for a long time now, and while it has had its victories and there have been good leaders, it’s fair to say that most of the leadership, most of the time, has been bad or even evil, and that representative democracy has failed its biggest test—managing climate change and environmental collapse.

This is a Green Age After the Collapse Article. You can read the others (this is the fourth), here.

The other forms of leadership we’ve tried since the invention of agriculture have all, likewise, been more bad than good or have failed to scale well enough to protect themselves. Kingship, rank societies, big man societies, feudalism, imperialism, direct democracy and so on. On the economic side, when it’s not identical to the political, we’ve also tended to choose bad leaders, whether they were merchant lords, corporate CEOs and boards, guild masters or slavers. Most systems work well for a few generations, then fall apart. Seven generations when you’re lucky, more commonly three, as with neoliberalism.

Just thinking back over my life, I can’t think of a President who wasn’t doing more evil than good. This even includes Carter, who was the neoliberal leader before neoliberalism. The case for every other President is clear: Obama, for example, ramped up drone assassinations and encouraged the banks to steal people’s homes without the necessary paperwork, while massively ramping up shale oil and gas production and bragging about it.

As for corporate leadership, the idea that Musk, Bezos, Gates, and the various banking CEOs and so far are good leader is ludicrous. They are, to be sure, successful, but the society they have created is heading towards catastrophe. Even when you look at a man many worship, like Steve Jobs, you find a mixed legacy at best. Jobs opus was the smartphone. And while it’s a marvelous piece of technology, when you look at the actual literature of the effect of smart phones, it’s that the more you use one, the less real friends you have and the more unhappy you are.

And the weird thing is that Jobs didn’t even invent the underlying breakthrough, which is to say the graphical GUI, any more than Gates invented the PC (Jobs has a better shot there). And the people who make the most money out of the internet and the world wide web didn’t invent either of those things—both were invented by government supported researchers.

What Jobs and co did is bring certain ideas to scale, which is necessary if the idea should be brought to scale. But there are many different ways that an idea can be scaled and it may not require the sort of psychopathy that is common to corporations; that is, indeed, part of their DNA.

Leadership is one of the few core problems: if we can’t get it right, we can’t get anything right, because almost everything is downstream from our decisions as a species, and our leaders, whoever they are, make the most important decisions.

We have to select leaders better, or we’ll never live in good societies for any length of time, and those of us who do luck out and live in one, will indeed, just be the recipients of luck.

I’m going to write about this more, soon. The next step will be talking about Plato and the book of his everyone loves to hate, The Republic.

Because Plato’s specific solution might be repulsive to almost everyone, but he was trying to answer the right question, and we need to understand why we hate his answer, and if we’re right to do so.

You get what you support. If you like my writing, please SUBSCRIBE OR DONATE

 

Poverty, Wealth and Money In The New Green Age (Principles of the Green Age #1.1)

By

On March 18, 2024

Comments

This is the second article in my “Principles of the New Green Age” Series. You can read the first, here.

The first principle was

“Do as thou will, so long as you increase biodiversity and biomass, reduce pollution and heat, and replace any resources used.“

In the real olden days of civilization, in the Fertile Crescent (which really was fertile before most of it was turned into desert) there was a dual currency system: there was grain and there was silver (and what amounted to certificates of deposit on both, along with usurious loans.)

This worked well because, to oversimplify slightly, grain was produced in Mesopotamia and silver wasn’t. If you wanted to buy something else produced in Mesopotamia, you bought with grain. But if you wanted to buy something imported, you paid in silver.

Since silver could only be gotten thru trade, this meant that import and export flows were more or less in order: there could be no massive trade deficits outside the fertile crescent, at least in principle.

Though they didn’t do it, even better would have been that certain things could only be bought with internally produced grain: property, for example. That way your country’s productive ability couldn’t be bought out from under you.

In Green Age ideology there will be more than one type of money, probably three. The first is money based on renewable resources: it will be usable only to buy and sell renewable resources. The second will be based on non-renewable resources and will be strictly controlled. There may also be as pollution based based money, or rather one based on cleaning up pollution, or people may be rewarded with the other two types of money for doing so.

Though we haven’t gotten there yet, one of the Green Age principles will have something to do with taking care of everyone, and part of that will be making sure everyone has food and shelter.

Since there is a societal effort in making renewables actually renew, part of every country’s surplus will be distributed as what amounts to basic income to individuals. That amount, in most countries, certainly all countries with a renewable food surplus, meaning they produce enough food and are not degrading the land to do so, will be sufficient to feed recipients for a year.

Likewise everyone will have a home: one that works out to be pollution neutral when taken in context of the supporting infrastructure. That home will either be given, purchased or leased, with strict controls, and probably mostly long leases, similar to how Singapore works) because it is possible to build houses with materials entirely domestically sources in many countries, though we’ll have to figure out how to electrical wiring sustainably or put it into the unsustainable bucket.

Society is made up of everyone and one of the principles must be that everyone benefits from society’s successes. Even the rich and powerful (who will be kept strictly under control, with the richest have a multiple, perhaps 4x, what the lowest have), must know that for them to do better, everyone must do better and that the environment must do better. This sort of genuine alignment of interests is necessary for any society to function well, and absolutely necessary in any purpose driven society, which Green Age societies will need to be.

So if you’re a member of a green age society created along these lines: the government will make sure you have a home and food. Either you’ll get enough renewable money to get them for yourselves, or there’ll be a non-market mechanism.

In effect, based on how many renewable resources the society produces, you’ll have an income relative to how well society is actually doing. Everyone will. This will pay for things like food, housing, water and anything the country can produce and renew. Since everyone gets this money, there will be strong incentives to create as much out of renewable resources as possible, similar to, but far more healthy than, the great middle class consumer production boom of the post-War period.

If, on the other hand, what you want requires non-renewable resources, well, you’ll need the second type of money, and that will be far harder to come by.

A Green Age society cannot afford the obscenely wealthy, because such people always tend to psychopathy and acting against the common good. It also cannot afford the poor, either, for the same reason: everyone needs to be connected to the successes and failures of society and have a stake in them.

This doesn’t mean a society where there’s no individual or group income. Limited liability companies will go, because people need to be liable for polluting and for not renewing, but there will be organizations and many of them will, at least somewhat, run on money. But somewhere between one-third and a half of your income should be based on how society as a whole is doing, and that income should be enough enough to keep you decently housed and fed, with access to medical care.

Sayings like “a rising tide lifts all boats” aren’t expressions of natural law when they come to social matters: we need to make them true.

If we want to clean up the environment and live in a sustainable society, we’ll have to make it happen, and part of that involves making sure no one can avoid either the positive or negative effects of their actions on the environment.

No obscene rich, no poor.

 

When And Where Will A Great Power War Happen?

By

On March 13, 2024

Comments

I was asked this question by a friend today and I found myself uncertain if there would be a great power war or not.

My thoughts were roughly five:

  1. The US can’t win a war with China or Russia, in my estimation. Russia by itself is outproducing all of NATO by about 7:1 in terms of munitions. China has so much more industrial capacity that it’s insane. China won’t let Russia be taken out, if it has to it will intervene, in my estimation, because if Russia falls, it’s next. Russia provides the feed, fuel and mineral reserve it needs, in a form which can’t be interdicted by naval power.
  2. If there is going to be a war, the sooner it happens the better America’s chances, but right now, munitions are so depleted by Ukraine and Israel, that a war is essentially impossible. Since NATO can’t restore its munitions at current rates without years of effort, and has shown little ability to ramp up production, that means by the time the US/NATO is read for war, it’ll be even weaker comparatively.
  3. Western elites are incompetent idiots at anything but keeping power and accumulating wealth in their own nations. They continually blunder into wars they lose, they’ve shipped their industry to China, they’ve spent three generations systematically weakening their nations in pursuit of profit and power.
  4. Western elites also display breathtaking arrogance and assurance of their power and their ability push other people and nations around. They believe in their superiority and are isolated from any feedback which proves otherwise.
  5. Historically, great power transitions usually include large wars. Not always, but about two-thirds of the time. (Thucydides Trap, by Graham Allison goes into this in detail.)

Basically, the US is like Japan pre-World War II: powerful military, no way to keep up with losses during a war. Yamamoto famously noted that it was impossible for Japan to win against America, and was ignored. So the tiny island nation went to war with a continental power with far more manpower and industry than it had, and lost. America today is comparatively stronger than Japan was, but by less than people think, especially if China gets involved.

If there is a war, it could explode in any number of areas: Taiwan and the Lithuania/Estonia are possibilities, but if I had to lay a single bet I’d bet on Iran. Russia, China and Iran are currently conducting naval exercises together. Iran came to Russia’s aid in a big way during their war with Ukraine. Israel recently attacked Russia diplomatically, burning the good will there and Russia is hosting meetings between Palestinian factions to help them get over their differences so they are stronger. Iran has substantial industry, since it was blessed by American sanctions and is large enough to develop anyway. America is currently showing that its government is completely controlled by Zionist interests.

Iran is powerful, but it may look like a target America can win against.

Except that Russia and China aren’t likely to let that happen. If Iran looks like it will really lose, Russia might even intervene militarily.

But truthfully I don’t know. Americans would be insane to pick a great power war: the odds against them are way too high, even now.

But American elites are insane: completely out of touch with reality beyond their own inbred elite circle. They’ve been the world’s greatest power for as long as they can remember, feel entitled to the spot, and may not give it up without a fight.

You get what you support. If you like my writing, please SUBSCRIBE OR DONATE

Principles Of The Green Age After The Collapse: #1

By

On March 7, 2024

Comments

Do as thou will, so long as you increase biodiversity and biomass, reduce pollution and heat, and replace any resources used.

Want to live in the howling wilderness? OK. But only if you can increase the number and amount of lifeforms, and reduce pollution by being there. If you can’t do all three, you don’t get to live in the wilderness.

Freedom today is based on money. If you have enough money, you can do what you want, if you obey the law. The more money you have, the fewer laws apply to you: either they are laws which if violated are punished with fines, which you don’t care about, or they are laws which are effectively not enforced against the rich.

The Green Age, instead of having a zero tolerance policy for minor infractions, will have no tolerance for people who damage the ecosphere or the climate.

Likewise, you will need to replace the resources you’re using if you’re using them beyond any natural replacement rate. If you’re taking water from a river or an aquifer, you’ll have an amount you can use that is equal to natural replenishment. If you use any more, you’ll need to replace it. Chop trees, plant them, and since you also need to maintain biomass and biodiversity, that won’t mean tree farms and will require you to keep doing it and, most likely, to have done it in the past. (This will make clear-cutting very rare.)

This also means that you don’t get to do what you want if you use non-renewable resources. Mining and other forms of permanent extraction will be something that society has a strict limit on. Much will be assigned by government, and much will likely be divided and given to each member of society and when they buy something which uses a non-renewable resource, that account will be debited, with no credit except in life-saving emergencies.

The principle is simple: replace what you use if it can be replaced, make the ecology and the environment better because of your existence and use limited amounts of non-renewable resources. This is how we fix the environment and make an environment is healthier and far more enjoyable to live in. (Just as almost everyone wants to live on a street with lots of trees.)

Long term, if you want to use a lot of non-renewable resources, we will have to go into space, but taking masses from Earth will be verboeten.

These rules will apply to individuals and groups, including whatever replaces corporations as our primary private economic vehicle and to households. This will lead to the end of suburbs and exurbs as we know them. Most people will either be rural (working on food production and environmental projects) or will live in dense cities. If we want the privilege of living in low population density areas, we will have to earn it by figuring out how to do so in a way that doesn’t decrease biodiversity, biomass or renewable resources, and instead of those who make more money being allowed to do more, those who will be allowed to do more will be those who increase those environmental variables the most.

This is only the first of the Green Age articles, we’ll dive into the rest of the principles and some of the details of how such a society must be run as the series continues.

You get what you support. If you like my writing, please SUBSCRIBE OR DONATE

The Most Likely “War” With Russia Scenario

By

On February 28, 2024

Comments

Russian troops are now advancing across almost the entire front. It’s slow, but steady. There are no defensive lines built to stop them, the best they’re likely to get is the use of rivers.

Ukraine clearly no longer has enough men or ammunition.

Macron and some other European leaders have discussed sending troops, but sending them to fight Russia is insanity, and hopefully they can see that, since WWIII will suck.

But there’s one play they may feel they can get away with.

Send in “Peacekeepers”. Have them advance to the borders of Russian areas, and use them to secure Odessa and say “we are just separating the combatants.” It’s a way to limit Ukrainian geographical losses and avoid it becoming a land-locked country and the Europeans just bet that Putin isn’t willing to risk or start a war with Europe and/or NATO.

How likely is this? I don’t know. But of the various insane options, it seems the most likely.

 

You get what you support. If you like my writing, please SUBSCRIBE OR DONATE

Macron & Many European Leaders Call For WWIII?

By

On February 27, 2024

Comments

So, French leader Macron thinks Europe should send troops to Ukraine to fight Russia. (This is colloquially known as “declaring war on Russia.”)

rench President Emmanuel Macron said on Monday that sending Western troops to Ukraine should not be ruled out, as European leaders concluded a summit on supporting Kyiv.

“There is no consensus today to send ground troops officially but … nothing is ruled out,” Macron said at a press conference in Paris, where the meeting had just wrapped up. “We will do whatever it takes to ensure that Russia cannot win this war.”

“The defeat of Russia is indispensable to the security and stability of Europe,” the French president added.

…

The subject was first raised publicly by Slovak Prime Minister Robert Fico, who said a “restricted document” ahead of the summit had implied “that a number of NATO and EU member states were considering sending troops to Ukraine on a bilateral basis.”

…

Macron also announced that leaders agreed to set up a ninth capability coalition on deep strikes that will focus on medium- and long-range missiles. Other coalitions include artillery, air defense and de-mining.

This is, in effect, an acknowledgment that Europe knows Ukraine is losing.

So, there are two main possibilities here. First, it’s a negotiating ploy, to get a better deal for Ukraine. Second, they’re serious.

Let’s point out a couple things: Russia is outproducing the entire West in artillery shells and ammunition and Western armories are bare: they’ll run out in two weeks to a month of real war, at most. Second, China is not going to let Russia really lose a war, because they know who’s next and Europe has mostly been very willing to follow the US in anti-Chinese actions.

Iran, obviously, will support Russia as well. They know they’re on the list.

It’s actually not clear that the West would win this war: Russia is out-producing the West in terms of war materials, China is the undisputed largest industrial power in the world and it’s not clear that if other powers step in, China and maybe Iran won’t step in on Russia’s side. They really, really don’t want to: but the defeat of Russia, as already noted, is an existential threat to them.

Next, if either side starts losing, there will be a strong temptation to reach for the nukes.

On a smaller note, if Europe supplies long range missiles and those missiles hit something that matters (say the Kremlin, or the Bolshoi) things could get ugly fast. Seeking to expand the war further into Russia is certainly “legal” but it’s not wise. It won’t change the outcome of the war, it will merely make the war more likely to expand, which is why the German Scholz is correct to oppose it.

All my life, the charge against people outside elite circles has been that we are “un-serious”.

This is extremely un-serious behaviour.

I will note, further, that the reason Europe and the US can’t compete with China and Russia is that they simply refuse to reduce economic rents, lower living costs and make their rich less rich in order to reduce operating costs and oligopolies and monopolies sufficiently to ramp up production, both of war materials and, well, everything else.

They want to live like Kings, our elites, having the South send them materials and the Chinese and other nations send them manufactured goods, while using their populations for rent extraction so they can become richer and richer.

They have confused money with power. Money is only power when it can buy power. And increasingly, in the West, it can only buy power domestically, not internationally.

This is a grave mistake, and the graveyard of Empires.

Fools. And worse than fools.

You get what you support. If you like my writing, please SUBSCRIBE OR DONATE

Page 5 of 19

Previous

Next

Powered by WordPress & Theme by Anders Norén