Even if every trading partner caved and paid the tariffs there'd be much less incentive to trade and use USD. They just can't admit that yet.
Discussion
I think this is the beginning of multipolarity where the US dollarises a bunch of allies and has a smaller sphere but with greater control over economics and security and hopes they can do what they’re best at - spying, intel, colour revolutions etc. - to disrupt the formation of the other pole.
Likely it just ends up a mess and we have a dollar curtain where the US completely dominates their sphere and the other sphere goes on as sovereigns cooperating rather than being vassals to China.
Been a while since I wrote about the rise of BRICS but I expect that’s going to come to the fore again now.
Completely agree. UK is first on the list to join the US patsy club. BRICS will cut away, middle east will be a block and Europeans to get to eat bugs. Australia gets to pick a side or enjoy it's housing ponzi alone.
Yeah that’s pretty much how I see it playing out. Would not want to be in Europe lol.
Australia will be dollarised, the US will want to ensure they have access to their mineral and energy resources and the strategic position against China, and Aus has left itself defenseless and leaderless for too long to do anything other than roll over. Glad I got out.
Being in a country that can straddle the poles is where all the opportunity and wealth generation will be in the coming decades. They’ll also be the friendliest to Bitcoin to hedge between economics systems.
I’m hopeful I’ve landed well on those accounts but time will tell.
Sounds right to me. Unless UK & EU basically copy Trump's plan and bring back manufacturing (which I see zero appetite for) they'll be WEF playgrounds. This is definitely more than tarif negotiating tactics this seems like a large scale restructuring with blackrock's blessing.