Here’s Why China Will Rule the World
The West slowly declines, the East rises. In the forefront of that rise will be China, though SE Asia, the Four Asian Tigers, and maybe Russia will be on that sky train to the future as well (Russia is 50/50; we’ll see). I talk a lot about why the West is collapsing; today I’ll demonstrate why China, despite its many problems and rough short-term future will, in the long-term, be the de facto ruler of the world within the next several decades, replacing the Collapsing USA as the great economic superpower of the planet. These reasons are listed in no particular order.
1. New Chinese-controlled SWIFT system
Most transactions in the world run through the SWIFT system, based in Europe, but controlled by the US. This gives the US vast power to deny certain countries or entities access to the global marketplace.
China didn’t like that, so they have just unveiled their own SWIFT system that they will use in coordination with Russia and other BRICS nations (BRICS stands for Brazil, Russia, India, China, and South Africa, the most powerful, on-the-rise, non-Western powers.)
Once this goes online, the US will lose a lot of the world economic power its enjoyed since WWII, and that power will shift to China and Russia.
2. Destruction of the petrodollar
Much of the reason for the US’s economic power and affluence over the last several decades is because they have a monopoly on the petrodollar. This means that if any nation on Earth wants to buy oil (and they all do), they must purchase US Dollars from the USA first, then buy the oil with those dollars on the world market.
Well, China and Russia don’t like that, for obvious reasons. Recently, they made the largest energy agreement in history, allowing them to sell and purchase oil and other natural resources using the ruble, yuan, and gold… and not the US Dollar.
This is huge. If the US loses the petrodollar, some very bad things will happen to the US economicly, and some very good things will happen to China.
3. A new, motivated competitor to IMF
The International Monetary Fund is one of the largest banks in the world, controlled by the elites and mostly the US. The five BRICS nations have recently combined forces to create their own IMF, called the NDB, or New Development Bank that they are now using to circumvent the IMF and US/Europe powers.
I actually visited the NDB headquarters in Shanghai earlier this year. Trust me, these guys are serious. They’ve dumped $100 billion into this thing. The IMF has about $660 billion, six times the size, which sounds like a lot, but not when you consider that the IMF comprises almost every country on Earth and the NDB is just five countries.
4. The new silk road
This one is the most exciting to me personally, since I think there’s huge opportunities for international entrepreneurs willing to do business outside of the Western world. If you thought $100 billion was a lot of money, China has dropped $900 billion into a new silk road, called “One Belt, One Road” that is a land-based and maritime-based trade route that will literally link all of Asia, all the Middle East, and much of Europe into one gigantic trading zone.
Once this thing is done, economic activity will explode all over the East. 68 countries are ready to spend $8 trillion or more to make this happen. You can read more about it here. It’s super exciting… and the USA has pretty much nothing to do with it.
5. Domination of Africa and Oceania
I’ve talked about this many times already over the last several years. While the USA is dicking around in the Middle East to service a handful of American oil and military contractor elites, China has quietly taken over the economics of many nations in both Africa and Oceania. Africa alone is loaded with natural gas, oil, gold, diamonds, and various other valuable commodities… and China controls it, not the West. I also see China’s influence all over the place in Oceanic nations such as Australia, Indonesia, and even places like Fiji.
6. Far superior work ethic
Due in large part to America’s shift to the political left, Americans have grown lazy. Many European nations are even worse. But Asian nations bust their asses like no other culture I’ve ever seen. Read this latest example of what I saw last time I was in China. Absolutely mind-blowing. The West doesn’t stand a chance against this kind of focus, drive, and motivation. It just doesn’t.
7. Not nearly as much debt
As I just talked about recently, the on-books debt of the USA just surpassed $20 trillion, which is over 100% of our annual GDP. Europe is even worse. China has a lot of debt too, don’t get me wrong. But it’s nothing compared to the debt of the West. While we’re over 100% of our GDP in debt, China is only 20-60% of their GDP depending on how you run the numbers.
The USA’s gross savings rate as a share of GDP is 18%. China’s is 50%.[*] That’s almost triple, folks. The Chinese are savers and think long term. Westerners are addicted to debt and government handouts, and don’t think past next week.
7. Buying up all the gold
This one is really interesting and actually a little creepy. Over the last few years, China has been purchasing literally truckloads of gold and hording it away. You can see how much they’re buying as compared to other nations here, outstripping all other nations by far. (India is doing this too, though not as crazy as China.) At this rate, if China keeps this up, they may own most of the gold on the planet. Crazy!
Why is China doing this? What do they know that you don’t? (Good thing I own a lot of gold.)
China will rule the world in your lifetime, folks. Yes, China has a demographics problem with not enough women being born, and they’re on the verge of a huge real estate bubble, some of their cities have horrible air quality, and they have a few other problems. All true. China will have it’s share of problems on its way to world supremacy, just as the US did on its way to theirs. We had depressions, civil wars, world wars, assassinations, etc, and we still became number one eventually. Doesn’t matter.
China will win in the end. It’s very hard at work taking over the world, as always.
What is Europe doing? Going bankrupt.
What is America doing? Bitching about football players not standing for the national anthem.
You can either profit from China’s rise, or get angry, get defensive, and lose. The choice is yours.
I’ve already made mine.