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Michael Hudson: The U.S. Plan to Revive Geoeconomic Dominance

The United States is shifting toward a rentier-based economic strategy, utilizing military force and geopolitical choke points to maintain global financial dominance and secure control over critical resource monopolies.

Key Points

  • The U.S. is pivoting from a globalization model based on industrial integration to one focused on controlling oil, information technology, and transportation corridors.
  • Economic warfare, including sanctions and the targeting of energy infrastructure, is being used to force allies and rivals into dollar-denominated trade and investment.
  • The U.S. aims to monopolize artificial intelligence and high-tech sectors by offshoring infrastructure to Middle Eastern partners in exchange for military and financial support.
  • Conflicts in West Asia and Eastern Europe are described as existential efforts to prevent the integration of the Eurasian landmass and maintain U.S. financial hegemony.
  • Analysts warn that these policies risk triggering global food and energy crises, potentially destabilizing the economies of U.S. allies and the Global South.

Why it Matters

This transition represents a fundamental shift in U.S. foreign policy from a "benign hegemon" to a system that demands increasing vassalage from its allies to sustain its own economy. The strategy risks long-term global instability as nations seek to bypass U.S.-controlled financial and transportation networks to protect their own economic sovereignty.
Nakedcapitalism.com Published by Yves Smith
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