Josh Sigurdson talks with author and economic analyst John Sneisen about the growing trade war between China and the United States as both countries place tariffs on each other’s products, raising the cost of living inside their own countries in an attempt to maintain power over the markets.
The problem is, the hand of state only manipulates and dirties the hand of individual demand on the market.
As per usual, this all started with a currency war as China attempted to devalue their dollar and raise the overall demand for cheap products in their country. As John mentions, “First you get currency wars, then you get trade wars and then you get hot wars. When goods stop crossing borders, soldiers will.”
Trump’s response to all of this unfortunately is to technically create a new tax on Americans. Many defend his position, but historically this has not turned out so well.
We also cover the implementation of the Shanghai Exchange and their launch of crude oil futures traded in Yuan. John explains how this relates to creating a technocratic global Chinese world reserve currency. Communist China of course wants to take the place of the United States as the main global empire. A country whose President just declared himself President For Life. A country with Sesame Credit (or social credit) which ranks the behavior and demeanour of the populace, banning them from public transportation if they do not conform. A country that’s cracking down on any criticism of the government. A steadily growing powerful country. Part of the new, transformed, technocratic, collectivist world order.
Finally, John breaks down the creation of a new silk road out of China called the Chinese One Belt One Road (OBOR) which hopes to create vast trade corridors like the ancient silk road with new technology. Fast trains reaching the most important parts of Asia, Europe, Russia, the middle east and Africa.
We’ve seen this kind of fight before, and it never ends well for us.
Stay tuned as we continue to cover this issue.