Volume 9, Issue 22
It is interesting that Queen Elizabeth still holds parochial sway over the proceedings when held in the United Kingdom. She is the head of state of Great Britain and the British Commonwealth. Prime Minister Boris Johnson is seated at her left. He is ceremonially tasked by the Queen to form a government as the leader of the majority party of Parliament. However, the respect for the throne is more than just ceremonial tradition. The English crown represents, in reflection, the composite of what mankind has learned, both good and bad, in the governance of people. Even President Biden, honored to be seated on the front row, holds respect for the Queen and what she represents in integrity of governance. The premise of this alliance, therefore, is bound in over one thousand years of history as a remnant reliance for freedom in process.
One extraordinary and unexpected accomplishment of the G-7 summit was the jointly signed resolution declaring China a threat to the world. Even China was surprised by the clarity and commitment of the statement.
Next, President Biden met with the North Atlantic Treaty Organization (NATO) the following day. He was successful in getting the thirty members of NATO to declare a similar resolve proclaiming China a threat.
Why this sudden unity in common purpose and defense with America? Because China is implementing an economic policy that enslaves people. American economic policy sets people free.
When China emerged from behind the bamboo curtain in 1991, they were a developing country without world economic presence. The West believed that China would evolve, like Japan and South Korea, into a compatible sovereign nation integrated into the world’s free trade and enterprise system. Leaders then underestimated China’s determination as a communist country to control their people for the benefit of the state at the expense of their citizens’ freedom. China never intended to conform to the laws, regulations, and protocols of the world’s post-World War II trading system.
The United States and the Western world have operated under the rules, laws, and regulations of the World Trade Organization for free and open economic competition to allow citizens to make free economic choices. China has never recognized the rules of international trade and has achieved economic progress by unfairly controlling the economic playing field to their advantage. Europe has slipped globally as a percent of the world’s Gross Domestic Product (GDP). There are many reasons for this, but primarily the European managed system was at a disadvantage for economic output in competition with a totalitarian state. The United States, on the other hand, has competed with China, proving that a free and open system will outperform a communist command economy.
The result of Chinese government management seems to be startling economic growth. Simply looking at percentages only of world economic activity appears to support this conclusion.
In actuality, what has occurred is that America and China have dominated other countries in comparison to shares of world output. America has achieved this by new startups and growing industries. China has achieved this by limiting access to their markets and capturing status quo industries from Europe. “Business activity (defined as the average of a country’s share of global stock market capitalization, public offering proceeds, venture capital funding, and “unicorns”— or larger private startups…”) is one measure of economic production. “By this yardstick, America accounts for 24% of global GDP, but 48% of business activity. China accounts for 18% of GDP and 20% of business. Other countries, with 77% of the world’s people, punch well below their weight.” The Economist.
The United States has continued over the last thirty years to lead the world economically. China has made gains largely by Europe’s lack of success in keeping pace with China’s command economy.
In 2000, the 100 largest European firms were worth $4.6 trillion, rising to $8.9 trillion today. In that same time period, the United States started at $7.4 trillion and has now grown to $26 trillion. In comparison, China’s top 100 corporations are currently worth $8.8 trillion.
What has caused this economic realignment?
The answer is simple. The United States does not regulate freedom. It protects and enhances it. The United States is the only country in the world where you can get up in the morning and do most anything you want, without government permission, or over regulation as long as it is not against the law, no matter how crazy the idea may seem. Also in America, one has the right to try, fail and try again. Steven Jobs recapitalized several times before Apple Computer, Inc., became a success. A person is free to invest in anything he or she wants, including a restructured, bankrupt company. In China, a bloc of bureaucrats would never have seen the vision of Apple, let alone given it the opportunity to try again. They would have used the first failure as evidence that the concept was a bad idea.
Is there any question, then, why the top five innovative technical firms in the world (Facebook, Google, Apple, Microsoft and Amazon) are all American? Steven Jobs’ estate is worth more today than the combined value of the thirty firms in the German blue chip DAX index.
Freedom honors and respects the opportunity of the second chance.
China has been successful economically today by stealing technology and eliminating competition. By government dictate, they direct the population on what to buy and how much to save. Freedom of choice is limited. Because of the size of their country, resources, and their population of 1.4 billion, they have been able to modernize their economic infrastructure without fair remuneration to their trading partners.
China copies and controls. The United States innovates and frees.
Europe and the rest of the world have come to realize that China’s economic system of government can only be maintained by controlling countries beyond their borders and by the taking of citizens’ individual freedoms. A closer look exposes the fact that China’s economic growth is not sustainable without threatening other countries’ independence.
China now threatens the world militarily to enforce their economic dictates. There is no Bill of Rights for Chinese citizens, nor will there be for countries who submit to China’s economic demands. Members of the G-7 and NATO respect America for its defense of rights of freedom of speech, freedom of assembly, freedom of religion, free press, independent courts, transparency, due process, and the rule of law. They have faith in economic truth, proven in its entirety.
The United States has become the wealthiest and most prosperous nation in the history of the world by protecting and advancing freedom unequivocally. This foundation of individual freedom is the energy of an economic system proven to be a principle of truth referenced in history by the manifestation of consummate economic prosperity.
Tomorrow President Biden meets with President Putin. He will deliver the same stern message of act properly or pay the consequences. Russia and China may try to form their own alliance of economic lies. It will not matter as long as the world confronts the lies. Two bad apples cannot merge to form one ripe apple.
The G-7 and NATO, with leadership from the United States, are engaging in an alliance of economic truth. The coalition members have seen the price paid by citizens of Hong Kong to become part of the Chinese economic system. The ransom is too high.
The United States affords all economic partners the opportunity to define their own destiny.
Economic freedom insures individual liberty.
My name is Marc Nuttle and this is what I believe.
What do you believe?