Cadence of Conflict: Asia, January 15, 2018

Jeffery Lewis at the Daily Beast has finally found a solution to the problem with North Korea: Kim Jong Un’s port-a-potty. By bombing the dynastic successor’s port-a-potty, the US would demonstrate both precision and presence. This would be the proverbial “arrow” from Robin Hood, conveniently shooting its way into the Sheriff’s chamber.

Though the “papers” have not been “supplied” to top “brass” at press time, the premise has merit: showing that the US means business by “denying entry” for Kim to do his. While the “move” would surely cause an “emergency”, their could be new security concerns about “individual privacy”. The strategic proposal does not clarify whether or not to strike the “facility” while it is “occupied” by Kim “forces”.

As for other port-a-potties in the region, China and Taiwan are deep in their own “potty” match. China is unilaterally opening new flight routs, reportedly in violation of agreements under the International Civil Aviation Organization. New flight routs are “required” to be coordinated first, but these were not. China simply “activated” them. The routs are very close to Taiwan airspace and Taiwan has made quite the buzz about it.

The US further complicated matters with a unanimously-passed bill from the House: the Taiwan Travel Act, which allows for high-level diplomatic visits between the US and Taiwan “under respectful conditions”. The bill serves to support a shared “commitment to democracy”. The House also passed HR 3320, which directs the Secretary of State to strategize for Taiwan to regain “observer status” at the World Health Assembly, which Taiwan failed to obtain in years past.

China made its own moves, particularly with doubts on the continued purchase of US Treasury bonds. That sent tremors through the markets in multiple directions.

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Encore of Revival: America, November 13, 2017

The vote swing in this week’s “off-year” election is not a referendum on Trump, but a referendum on a divided Republican party. The victories came largely from a state that twice elected Obama. The party will succeed in elections as much as it succeeds in unity. Disowning Trump has now proven that it only helps Democrats, which makes all the sense in the world.

Trump has every reason to continue to allow Mueller’s investigation. There doesn’t seem to be any dirt on Trump to find, Mueller keeps losing credibility, and Anti-Trumpists are well-distracted by the distant hope that Mueller might find something to warrant impeachment. While the Mueller drama continues, Trump can get legislation through Congress, many Anti-Trumpists are too tired to notice, and the press doesn’t have any ink left to report on it. That’s not to mention that the stronger the fruitless scrutiny, the stronger it makes Trump look, not to mention a 25% boom in stocks since Hillary conceded. If Mueller is part of a conspiracy, it almost seems that his “conspiracy” would be to help Trump. That’s what he is accomplishing, anyway.

Christians are getting even more guns. They are doing it legally and they are arming to the teeth. The Texas Church Massacre has opened many eyes to the vulnerability of certain traditions. “Conceal carry” seems to be a favored answer. Everyone is hardening their stance, the country is polarizing, and, thanks to social media, everyone’s political opinion is on record. This year, the country is getting some of the strongest—and most helpful—looks in the mirror we’ve gotten for a long while.

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Cadence of Conflict: Asia, September 18, 2017

China’s situation is growing more and more similar to North Korea’s. They seek to “match” the US in military strength, but aim to do so without US economics. Without the economics it will be hard to match anything. Slowly, but surely, the US is chipping away at money going into China.

Stocks were up in China, especially recently. Shenzhen is fairing quite well. But, Trump managed to block a Chinese company from buying a US chip maker, Lattice. This is just the beginning, not only for blocked deals both in the US and elsewhere, but also in bad international press against China.

Taiwan isn’t helping. 500 Taiwanese in New York protested the island not being a UN member, claiming that Palestine is not a state, but has a membership. If Taiwan were to join the UN, it would be in the top 25% largest populations. But, pushing these matters will likely have no impact, other than bad press against China.

This week, North Korea launched again, scaring Japanese even more, making it even harder to defend the Kim Dynasty. China doesn’t want to lose a “buffer” that would put a stronger US ally on its border, nor deal with an influx of refugees. But, China may have more than the situation with the US and North Korea to worry about. The dormant volcano on North Korea’s side of the China border has been rumbling.

There’s nothing like a small “act of God” to settle all disputes.

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Cadence of Conflict: Asia, April 24, 2017

All eyes on Korea means all eyes on China, which means all eyes on Trump. What’s at stake?—not nuclear war, not regional war, not freedom for northern Koreans, but a trade deal with China. At least, that’s the story if you ask the money channels.

China is a “gold mine for innovation”, the hope for breakthrough in the car crisis—in case you didn’t know there was a car crisis. Australia is partnering with—of all countries—China to address cyber theft. China is such a booming, excellent, most-happening place that Chinese investors have actually decided it’s a good idea to finally start reinvesting in their own country.

But, most importantly, Trump needs to be very, very careful in dealing with northern Korea. China even said so. They even made a phone call to say it.

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Cadence of Conflict: Asia, February 27, 2017

Americans love flags. The over-sized flag, the “Star Spangled Banner”, was a strategic tool of Fort McHenry at the Battle of Baltimore and the US national anthem itself is named after the flag. If the United States ever truly intended to communicate that it believes Beijing seats the rightful government over the island of Taiwan, then Washington DC would have demanded that Taiwan fly the Chinese Communist flag over its own flag, like Hong Kong does. But, it didn’t and they didn’t ask. The test of what Donald Trump thinks about China is not a question of how many times he sees the word “China” on his globe at home, but what flags he accepts flown where.

Is China wise to what’s going on? Perhaps money is making all the difference. China’s PLA Navy is headed for an increased budget. If money was China’s answer, perhaps money tipped-off Beijing in the first place.

According to Obama Treasury rules, China is only 1/3 of a “currency manipulator”, exceeding a $20B trade deficit with the States. The other two rules relate inflation to GDP and official currency purchases to GDP—two things where China plays by a different set of rules than American economics. China “declares” its own currency value, it is not determined by the markets, making what the US refers to as “inflation” irrelevant to China. The second irrelevant Obama rule relates to “official” currency purchases. If only economics were only affected by “official” purchases, many other economic problems would be solved. But, economies are affected by “actual” purchasing, not merely whatever we happen to label as “official” this decade. The Chinese, especially, are experts at looking good “officially” while doing the bulk of their work under the table. Why else would Asians be so focused on cram schools and testing?

Then, there is the task of calculating “GDP” in a heavy back-and-forth trade economy. In 2011, the US slapped tariffs on China-made solar panels, which were made with materials imported from the US, which China also slapped a tariff on. Not only is actual “domestic” product difficult to measure in a “Venn diagram” of overlapping markets, there is also the problem that China’s government behaves like a company itself—benefiting from tariff revenue, thereby triggering another slew of investing and purchasing opportunities. If economics were a pair of glasses, China operates in ultraviolet light that no pair of US lenses can detect.

So, not only were the Obama Treasury “currency manipulator” rules an attempt to measure the light with a wind sensor, Trump gets what Trump wants. If China is destined for the “currency manipulator” list, it will get on that list one way or another, and there is a laundry list of ways that can happen.

But, then, there is North Korea.

While the “experts” lecture the world about how “trade wars” always backfire, China harbors its own trade war with the government in Northern Korea. Kim Jong Un isn’t happy with Beijing and Beijing wants to talk about it with the US.

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