🔴 The Next Steps of China's Grand Strategy (w/ Steve Bannon and Kyle Bass)

TL;DR

The Chinese banking system is in dire need of restructuring, but economists have turned a blind eye to the impending crisis.

Transcript

KB: When you talk about the Chinese banking system, let's assume that it has to restructure. They're very smart. SB: Let's talk about this. Here's how smart they are-- when we went over with Trump's visit, remember, they didn't make any other changes. They weren't going to let us in on anything outside of that, except they would open up the finance... Read More

Key Insights

• 🤔 Economists and think tanks often prioritize personal interests over revealing potential crises.
• 🌍 China has deceived the world with false promises of liberalization and democracy.
• ❓ The Thucydides Trap theory has little credibility, with historical examples suggesting it is not an effective strategy.
• 🇺🇸 China focuses on information and economic warfare to avoid direct conflict with the United States.

Questions & Answers

Q: Why do economists and think tanks fail to acknowledge the impending crisis in China's banking system?

According to Steve Bannon, it is not that they are unaware of the situation, but rather that they have vested interests and are more concerned with personal monetary gains than revealing the truth.

Q: What is the Thucydides Trap and how does it relate to China's rise as a power?

The Thucydides Trap, according to Graham Allison and Henry Kissinger, suggests that a declining power (the U.S.) must find a way to peacefully coexist and influence a rising power (China) to avoid a global conflict. However, Bannon dismisses this concept as mere nonsense and compares it to the failed detente strategy with Russia in the past.

Q: What steps is China likely to take in response to the U.S.'s assertiveness?

China's next steps may involve attempting to remove President Donald Trump from office, doubling down on initiatives like One Belt One Road and Made in China 2025, and expanding their influence in resource-rich areas such as Sub-Saharan Africa, Venezuela, and Latin America.

Q: What types of warfare does China prioritize in its tactics?

China focuses on information warfare and economic warfare, aiming to avoid direct military confrontation with the United States. They have executed these strategies successfully, as outlined in the book "Unconventional Warfare" by Admiral Lou.

Summary & Key Takeaways

• The Chinese banking system is in a state of decay and needs to be restructured.

• Economists and think tanks, such as those at the Wall Street Journal and The Economist, have failed to acknowledge the impending crisis.

• The Chinese government has deceived the world with promises of liberalization, democracy, and rule of law, but has instead become a totalitarian, mercantilist regime.