Latin America in search of continental union in the context of a new international monetary system.
In this new environment, this new context, Latin America must raise its cry for liberation.
Next week, the president of Argentina, Alberto Fernandez, will be in Brazil to accelerate economic partnerships with Lula.
With 104% annual inflation behind him and the relentless, merciless imposition of the IMF, Fernandez, who dropped out of the election, is looking to Lula, who is riding high alongside Xi Jinping, as an alternative.
Therefore, their latest move is to seek an Argentina-Brazil union to ally with China in order to conduct business through currency exchanges outside of the dollar, which has become the nemesis of both countries.
Why? Because the hidden face of the drama is called the Independent Central Bank, an ally of the BIS, as macabre as the permanent shock of the American currency in the lives of Buenos Aires residents, preventing sustainable growth.
Both Lula and Fernandez are aware that they lead complementary economies that need to unite quickly to march alongside Beijing in order to escape the dollar.
The world's executioner, based in the White House and threatening everyone with his claws as an insatiable rentier, has nothing left to offer his allies but war, destruction, inflation, unemployment, and misery.
Imperialist Dominion with Wobbly Legs
Imperialist political, economic, and monetary dominance, in the context of the war in Ukraine between Russia and the US-NATO, has changed hands in the world.
In the 19th century, England, with the pound sterling and under global mercantilism, called the shots.
In the 20th century, with the shift away from mercantilist ideology, the United States predominated, synonymous with permanent war, driven by American public debt under the hegemony of the dollar.
In the 21st century, China has become the most powerful economy on the planet, now in a military alliance with Russia, drawing closer to the Middle East, where it promotes peace between historical religious adversaries (Iran-Saudi Arabia) and creates new historical expectations in the post-hegemonic dollar era, etc.
Under Xi Jinping's blessing, even Palestinians and Jews can unite!
The dominant money supply is no longer in the West; it's moving eastward, as even the Western media acknowledges.
Latin America Towards Liberation from the Dollar
In this new scenario, Latin America is condemned to unite in order to escape the dollar, which has enslaved it for a century, and create its own currency, joining the new powers that are moving towards new shared hegemonies.
The once-powerful City of London is now losing the race for money even to Paris, which, along with Frankfurt, is racing towards Shanghai, the new global financial mecca.
Europe cowardly surrendered to the United States, which lost the race for money to China.
That's where BRICS, the new major international development bank, will be, calling the shots in the monetary system anchored in a basket of currencies, leaving the World Bank and the IDB behind.
The dollar, that's the harsh reality for Uncle Sam's nephews, is already being monitored by China to ensure it doesn't spend more than it earns.
Dollar monitored by the Yuan
Isn't that the order that's emerging, with the American Congress considering a spending cap for the arms industry in the face of American voters' weariness with so many uninterrupted wars?
The war, with a new international monetary system led by China and its allies, will no longer be financed by the hegemonic dollar without real backing.
Simply put, unipolar hegemony has vanished.
Monetary emissions in US dollars will have to comply with a new consensus, that of Beijing, just as the world has long submitted to the Washington Consensus.
Uncle Sam, under the spending cap—a common topic of conversation in New York financial circles—will have to surrender to the old rules he imposed on the capitalist periphery, dictating imperial orders: primary surplus, floating exchange rate, and inflation targets.
The whip returns to the back of the one who ordered it to be given.
A concrete example of the impending collapse is Biden's inability to fulfill his campaign promise to raise the American minimum wage from $7 to $15.
SOCIAL ISSUES AND WAR IN PARLIAMENT
The Fed – which prints money, that is, the bankers, not the treasury – and its biggest ally, the arms industry, did not agree with this social electoral platform of the Democratic Party.
Therefore, they disagree, in parliament, through their servants, with a looser fiscal policy to implement social programs that distribute income.
War capitalism doesn't know how to distribute, only accumulate and destroy.
The large sums of money available must go towards weapons manufacturing so that the United States can continue to support its vast military bases scattered across five continents, with budgets in the trillions.
It is the workers who bear the consequences through wage cuts.
The purchasing power of wages in the United States is increasingly narrowing in the face of the purchasing power of the Chinese yuan.
Uncle Sam's economy, therefore, loses credibility to continue being hegemonic in the international monetary system anchored in the dollar.
Ultimately, those greenbacks don't have any real guarantee behind them, just painted paper.
Hegemony was previously achieved through uncontested military and space power, without rivals, but now the situation is much more complex.
"You lost, sucker!", as the popular saying goes.
Now, they have to consult the economic, commercial, and financial power of Shanghai and the Russian military power, united to impose defeat on the United States and NATO on Ukrainian territory, where the fascist Zelensky is hanging by a thread without a ladder.
European deindustrialization prepares for revolution.
Faced with this situation, Europe, the once-powerful nation, is left with nothing but talk: it has lost the cheap raw materials essential to its industrialization, supplied by Russia, in order to meet Washington's demands.
Putin, of course, prefers to negotiate with Xi Jinping a partnership to advance across Eurasia, along the Silk Road, the economic and financial platform of the 21st century.
The former financial power of the City of England and the financial power of Wall Street have lost their imperialist dominance.
Speculative financial funds are candidates for hyperinflationary implosion, as evidenced by the fragilities of American banks subjected to brutal speculation and fearful of bank runs.
LATIN WAR CRY
In this new environment, this context, Latin America has to raise its cry for liberation in the face of Anglo-Saxon imperialism, which dictated the rules of the Monroe Doctrine since 1823, treating Latin Americans as slaves in its own backyard.
Latin America is left with no choice but to do what Argentina is already doing: paying for its imports from China in pesos, exchanging them for yuan, because, after all, the dollar is no longer a viable option.
This is what is being disseminated to establish the new monetary system advocated by the liberators of the continent such as Tiradentes, José Bonifácio, Bolívar, José Martí, Getúlio Vargas, Fidel Castro, Perón, Cienfuegos, Che Guevara, Cárdenas, José Carlos Maríategui, Allende, etc.
* This is an opinion article, the responsibility of the author, and does not reflect the opinion of Brasil 247.
