Housekeeping: Good afternoon.
This audio note builds on themes discussed here before.
Podcast: The Economic Reset Underway
Deglobalization, trade deficit reduction, swapping economic engines, multipolarity versus a global reserve currency, the death of Fiat as a consequence of the death of trust between nations et cetera.
Considering the world is at a crossroads right now digesting trade restraints protectionism and mercantilism emergent it might be a good time to tie all this together contextually and give some semblance of reason to what the United States is trying to do now.
We believe that for various converging reasons the US must abandon; its service economy mindset, its ability to borrow from foreign lenders, and its reliance on strong monetary policy to help prop up inferior manufacturing and economic productivity. It's not the first time we've done what we're doing.
There are multiple cycles converging right now. We must go from a services economy to a manufacturing economy— why that has to happen is touched on in this podcast. Suffice to say there are multiple reasons. Multiple reasons for globalization going away, mercantilism rising along with nationalism and a deeply reawakened need to become self reliant. Hopefully this touches on some of those topics asa precursor ot a longer essay being worked on now .
And there are some reading bonuses at bottom.
II. The Return to Manufacturing
A. Where We Are in the Cycle
Similar to post-WWII manufacturing dominance
Different from globalization phase (1950s–2000s)
The shift is driven by necessity, not ideology
B. From Globalization to De-Globalization
Globalization = business expansion overseas
Globalism = ideology that ignores self-reliance
The cycle is not just economic, but trust-based
