Empires and the elite never relinquish power easily, and are often willing to cause extreme harm to the system itself to try to hold onto their control. And while we have seen this exhibited over the past few years in the form of economic sanctions (Russia), tariffs (China), sovereign overthrows (Libya, Syria, Ukraine), and secret trade agreements (TPP, TTIP), the fact of the matter is the world is in cyclical sea change which is very similar to previous times when empires like that of France and Britain lost their control to a new power.
Yet it appears that most of these offensive maneuvers by the United States against growing economic, political, and military powers are no longer working as Washington desires, and the administration is now resorting to begging to try to remain as top dog in dictating monetary policy.
The United States should be welcoming toward new economic players to ensure Washington keeps its leadership role in the global economy, US Secretary of the Treasury Jacob Lew said on Monday.
WASHINGTON (Sputnik) — The Treasury secretary added that the global economic landscape of the next century will significantly differ from the post-World War II era. Lew noted that the United States should continue to lead efforts to reform the international financial regulatory system, which would allow preventing a new financial crisis.
“We need to embrace new players on the global economic stage and make sure they meet the standards of the system we created, and that we have a strong say in any new standards,” Lew stated at the Council on Foreign Relations.
“The worst possible outcome would be to step away from our [US] leadership role and let others fill in behind us,” he added. – Sputnik News
Ironically, Secretary Lew’s words come a little more than a week after China announced they intend to supplant the U.S. and Wall Street as the world’s largest financial center, market, and economy by 2020. And with the Shanghai Gold Exchange set to announce a new gold pricing standard in about eight days, and the global alternative to SWIFT finalizing testing later this month, the game is fully on to see which authority the world will choose to lead the next financial system.
The United States no longer has a manufacturing base, nor the financial stability because of their debt, to help lead the world out of the quagmire of the next great credit event. And Lew’s words today to the CFR provide an clear indication that Washington is finally realizing that the days of dollar hegemony are coming to an end, and that they are in desperation mode to try to remain a power player in the evolution of tomorrow’s global economy.
Kenneth Schortgen Jr is a writer for Secretsofthefed.com, Examiner.com,Roguemoney.net, and To the Death Media, and hosts the popular web blog, The Daily Economist. Ken can also be heard Wednesday afternoons giving an weekly economic report on the Angel Clark radio show.