“Can you clarify how globalisation has been established through the 'barrel of a gun' ?”
The entire way of life in America can only exist as a result of the US selling its debt in the form of US Treasuries, debt that now stands at almost 25 trillion and growing more rapidly every year.
This creates an imperative whereby large scale trades, particularly oil, must be conducted in US dollars, a status quo that has existed since the gold window closed in 1971 thereby turning the US dollar into a de facto oil backed currency.
This recycling of petrodollars provides oil producing countries such as Saudi Arabia with weapons, expertise and training on the clear understanding that all oil will enter the market priced in US dollars. The proceeds of these sales will be returned to the US in the purchase of US treasuries thus enabling US debt to grow without inflation affecting domestic consumers with the bulk of inflation being exported to countries with fixed exchange rates.
Hence the term coined by then Treasury Secretary John Connally in 1971 “The dollar is our currency, but it’s your problem”.
Its a false economy whereby American citizens are easily swayed into thinking the spoils of western capitalism are the result of a clever, innovative hard working society when it is in fact far from it.
Any country attempting to solve this “problem” by dedollarization will be met with force or as history has shown, all fiat hegemonic currencies are backed up by men with guns.
Iraq, Libya, Venezuela, Iran and possibly Saudi Arabia if they don’t continue to play the game have or will be subject to this show of force when having the arrogance to leave the reservation and become independent of the greenback.
Were global financial markets permitted to freely operate then US fiat would slowly return to the value of zero, which historically every fiat currency has done and the US consumer would see a considerable drop in lifestyle as a result.
Conflict in the Persian Gulf is largely about defending the dollar and is just one example of how the US and its allies employ force in order to coerce the global market into operating in a US friendly manner.
To quote Professor Michael Hudson, an authority on the history of debt:
“The solution [to the problem of maintaining the demand for dollars] turned out to be to replace gold with U.S. Treasury securities (IOUs) as the basis of foreign central bank reserves. After 1971, foreign central banks had little option for what to do with their continuing dollar inflows except to recycle them to the U.S. economy by buying U.S. Treasury securities. The effect of U.S. foreign military spending thus did not undercut the dollar’s exchange rate, and did not even force the Treasury and Federal Reserve to raise interest rates to attract foreign exchange to offset the dollar outflows on military account. In fact, U.S. foreign military spending helped finance the domestic U.S. federal budget deficit.”
Maybe next time we can talk about how the US uses its military to access natural resources, cheap labor and to create markets for US products. Think about South America.
“Is this the same as the racist policy that has locked out global business establishing companies without submitting to handing over intellectual property, or agreeing to joint ventures where the state takes effective control of any foreign investment?”.
You may notice at no stage have I suggested that China is not racist, merely that they are no more racist than we are.
“Should we discuss Uighurs and their non racist handling by China? I don't see many western governments adapting this policy.”
I suggest you take a look at the criticism leveled at the Australian Government handling of boat people recently and of the US Government handling of refugees at the border where asylum seekers, some young children, have literally died in cages.