Photographer: Takaki Iwabu / Bloomberg
Photographer: Takaki Iwabu / Bloomberg
Ray Dalio used his latest installment The ongoing series in the order of the changing world, for the sake of recognizing clear red lines, if it is crossed, could lead to a deadly war between China and the US, but the real enemy of the conflict remains within it.
The billionaire founder of Bridgewater Associates wrote in the essay, ‘Our biggest battle is with us because we have the most control over how strong or weak we are.’ Published on LinkedIn. “Civil wars and challenges in both China and the US are more important and bigger than external wars and challenges.”
While Dalio does not believe that the current trade war has been “taken too far”, any attempt by China to ban American access to rare earth elements, or the U.S. By restricting China’s consumption to Taiwan or even the semiconductor of crude oil, for example, could signal that the current conflict is going to get much worse.
Culture, meanwhile, can be a border where both countries should try and some should be intertwined.
“The Chinese and Americans have faced a major challenge with each other, some of whom have failed to understand and empathize with each other’s values and ways of doing things, and not allow each other to do what they think is best.” A 17,000-word essay that also considered the future of the US dollar as a global reserve currency. “Some of these cultural differences are negligible and some of them are so big that many will fight to the death on them.”
Key quotes
- “The path of destiny and the global power cycle is now working United States In the unfortunate situation of choosing between tightening) to fight for the defense of its position and its current world order and b) to retreat ”
- “The success of all countries depends on maintaining strong forces without increasing their excesses which leads to their decline. Really successful people have been able to do it on a large scale for 200-300 years. No one could do it forever. “
- “In order to prevent this from spiraling out of control, it will be important for the leaders of both countries to be clear about what ‘red lines’ and ‘trip wires’ indicate in the seriousness of the conflict.”
- “In addition to the election, a lot depends on who wins and how they approach this conflict. How Americans and Chinese approach the big cycle rules that are in the process of opening will have a big impact. “
- “Regarding the trade war, I believe that we have seen the best trade agreement we are seeing and the risks of this war going beyond the prospect of improvement are greater.”
- “If United States Stopping Chinese use of essential technologies signaling a big step in the threat of war.
- “Sovereignty, especially as it relates to the Chinese mainland, Taiwan, Hong Kong and the East and South China Sea, is probably China’s biggest issue.”
- “Perhaps the most interesting relationship to watch is between China and Russia.”
- “The United States‘The great power is able to print the world’s money and all the operational powers that go with it. This United States There is a risk of losing some of this power when the Chinese are in a position to gain some of it. “
Read on: Dalio Shades Light on Chinese thinking on trade deals: China today
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