People seem to think we are still living in the past, where the US alone accounted for more than 40% of the global GDP and was the single most important trade partner of every country outside the former communist block.
It is a different world now. The BRICS GDP in Purchase Power Parity terms has surpassed the G-7, their growth rate is also bigger.
Yeah. it is not the end of the world. Things won't change everyday, zero-hedge doomers are a bunch of crazy scammers shorted as fuck. But the situation is dynamic and requires attention.
Yes, random arrangement of countries beats another in a stat.
Two of the BRICS are increasing military tensions with each other. One just saw a massive change in government, and with it, possible geopolitical alignment. Another is in the shitter.
The dollar should wane in importance alongside China’s rise. But BRICS sure as hell won’t have anything to do with it.
Either I must have slept through the Indo-Sino (Sino-Indo?) Peace Treaty Negotiations & Signing Ceremony or "disagreements" is doing some heavy lifting in the above quote.
https://en.wikipedia.org/wiki/2020%E2%80%932021_China%E2%80%...
America's superpower is in trade and diplomacy. Agreements. We don't win because we can blow stuff up bigger. (Though we can.) We win because we're uniquely competent at knitting together alliances. I believe that directly draws from our commercial culture--it encourages cutting deals over face-saving Pyrrhic victory.
Sure. What's good for America isn't necessarily good for NATO, the OECD or WTO. Similarly, BRICS is a stupider Belt & Road pitch.
China is doing real work in becoming a superpower. That ascent has nothing to do with BRICS.
I also wouldn't call the government changes in India a masssive government change. Neither china is in the shitter. Stock and Financial market shenanigans are not as critical in China as they are in the US because they are heavily regulated, they are not as critical for capital financing as in the US, and chinese citizens wealth and retirement are not tied as strongly to stocks.
Or you can just see things in another way and realize that most former colonial countries have developed a lot, and that the US and Europe are no longer the former titans compared to what people sometimes call the global south.
What's your information source? Mine includes family in the Indian military.
> wouldn't call the government changes in India a masssive government change
South Africa. (India's government didn't change.)
> Neither china is in the shitter
Russia.
> the US and Europe are no longer the former titans compared to what people sometimes call the global south.
Correct. Look at with whom India, Eastern Europe and South-east Asia are allying.
Even if the US ultimately doesn't turn over Russian assets to Ukraine, just making the threat to do so is globally destructive to faith in the current system that greatly benefits the United States.
Also considering the state of most BRICS countries, it does not seem so certain that there will be viable alternatives to the current system.
People mistakenly think it is about Palestinans or Israelies.
If we used gold or yuan and the US froze those assets how would it devalue those currencies?
Said another way, if there is a backlash to these frozen accounts, shouldn't it be against swift and for swift alternatives instead of against the dollar?
I'm confused as to how this is a useful metric in the context of choice of currency in international trade.
You can't trade between countries in PPP currency.
The efforts started after weaponizing dollar.
Pan-African Payment and Settlement System, ASEAN QR settlement, Direct currency settlement. Even mBridge for settlement between BRICS was launched just a couple days before the end of petrodollar agreement.
Current SWIFT settlement is not going anywhere but everyone is starting to wait and see.
Really, you only need RIC and you'd be making a much stronger argument. The idea that all these countries work in unison to some end is weak.
