(Continued from Part 2.)
On the other side of the world….kind of….depending on how you look at it, China continues to make aggressive moves toward Taiwan. Much like Russia with the Donbas region, their claim is repatriation, not invasion. President Biden has stated on more than one occasion that we will put troops on the ground to help the people of Taiwan, although every time he says it, the white house tries to walk it back after the fact. You’d almost think that they are confused over what their course of action would be. But that might just be their plan to confuse the enemy. I mean heck, if they don’t even know what they’re doing, there’s absolutely no way that China could figure out what their plan is.
All kidding aside, this is potentially one of the gravest threats that we face. China is a true world power, and has made inroads with a great number of countries, especially in south America and Africa. They are a financial powerhouse, although I am seeing more reports lately of some possible financial weakness. Whether that is actually true, or just the wishful thinking of western media sources, I can’t say. What I do know is that Covid-19, and their response to it have hit the country hard. It has impacted their manufacturing ability, and their exports. But that has also affected the rest of the world as well, with their dependence on cheaply manufactured goods from China as a part of their economies.
Whether they are suffering from some internal financial instability or not, China remains a major force to be reckoned with. As mentioned earlier, there are huge American investments in Chinese stocks. By simply denying access to this money, they could cause a crisis in America. They could bankrupt many companies and pension funds. They may even be able to crash the stock market, or the banks. They don’t necessarily need to even fight a conventional war if they can exert control through financial means, or by denying us access to their manufactured goods. Between Taiwan and China they produce about 50% of the world’s microchips, depending on what chart you look at. Some show Taiwan producing as much as 60% by themselves. (And as much as 90% of the world’s super advanced chips.)
Without Taiwan-produced microchips, America slowly grinds to a halt, and the idea of going to war over that supply is very real. However, fighting a war without having a constant supply doesn’t work in this day and age. Jets don’t fly, and missiles don’t work without microchips. So once again we see the tangled web that we find ourselves in. We are in many ways financially dependent on a country that we are threatening to go to war with. We need their manufactured goods to be able to go to war with them.Continue reading“Pessimist or a Realist? Our Present Situation – Part 3, by The Lone Canadian”