The horizon is not so far as we can see, but as far as we can imagine

Category: Europe Page 1 of 15

Germany Honors Biden For Destroying Nordstream & Their Economy

I cannot believe this is happening:

Germany honored U.S. President Joe Biden for his contribution to trans-Atlantic relations on Friday, ahead of his meetings with European allies on Russia’s war in Ukraine and the conflict in the Middle East.

TIME Magazine: Germany Honors Biden for His Contribution to Trans-Atlantic Ties as the U.S. Election Looms

Germany Honors Biden for His Contribution to Trans-Atlantic Ties as the U.S. Election Looms

The sheer delight the pathetic “Traffic Light” coalition government takes in abasing itself before the US hegemon is pornographic in its shameless indecency. Especially the same week that the Danes reported this:

Just days before the Nord Stream gas pipeline attack in September 2022, warships belonging to the U.S. Navy were on the scene and ordered nearby officials to keep away.

That is according to John Anker Nielsen, who is harbour master at Christiansø, the easternmost part of Denmark in the Baltic Sea, northeast of the island of Bornholm and close to the sites of the Nord Stream explosions.

Map showing the route of Nord Stream 1 and 2 in the southern Baltic Sea and location of the leaks. AWZ=Exclusive Economic Zone
Map: AFP / Nadine EHRENBERG, adapted

Nielsen late last month told a reporter at Politiken, a major Danish daily, that he went out with a rescue team four or five days before the blast to check on nearby ships with switched-off radios, suspecting there might have been an accident, only to find U.S. warships, whose staff ordered the team to turn back immediately.

Never forget Biden threatened Nordstream:

Biden: If Russia invades uh that means tanks or troops crossing the uh the border of Ukraine again then uh there will be uh we there will be no longer a Nordstream 2. We will bring an end to it.
Reporter: What? How would you how will you do that exactly since the project and control of the project is within Germany’s control?

Biden: We will. I promise you we’ll be able to do it.

and Nuland did it too. This video is still up on the State Department’s official Facebook page because they’re proud of it:

“If Russia invades Ukraine, one way or another, Nord Stream 2 will not move forward.”

And Never forget what Nuland said at a Senate Foreign Relations Committee hearing on January 26, 2023:

“I am, and I think the administration is, very gratified to know that Nord Stream 2 is now, as you [Ted Cruz] like to say, a hunk of metal at the bottom of the sea.”

Blinken celebrated it as an economic opportunity:

“…ultimately this is also a tremendous opportunity.  It’s a tremendous opportunity to once and for all remove the dependence on Russian energy and thus to take away from Vladimir Putin the weaponization of energy as a means of advancing his imperial designs.  That’s very significant and that offers tremendous strategic opportunity for the years to come…”

And then there was this from Anne “It’s Time to Prepare for a Ukrainian Victory” Applebaum’s husband who’s a Polish official:

Former Polish FM thanks US for damaging Nord Stream pipeline

The consequences of this have been the deindustrialization of Germany:

German industry increasingly struggles to compete on the world stage. Particularly hard hit are its mighty chemical and heavy industry sectors, which are now in rapid decline. One of the main drivers is policies that have made energy costs skyrocket, and there Germany serves as a canary in the coal mine for other leading industrial nations.

It’s kind of grimly amusing that Forbes’ use of the euphemism “policies that have made energy costs skyrocket” rather than say “self-defeating sanctions on cheap Russian gas combined with the biggest act of industrial sabotage in modern history” and it also doesn’t mention that it’s been America’s policies that have deindustrialized Germany.

It’s also so humiliating as an American that the neo-conservative cabal of psychopathic nitwits has been in sole control of US foreign policy since the Clinton administration and now they have a lock on US corporate media as well.

The above mentioned Anne Applebaum provided the perfect example of their delusion and idiocy with her September, 2022 prediction that Ukrainian victories in Kharkov would bring down Putin.

But that brings me back to Germany’s pathetic ruling coalition. This is how well they’ve done in recent state elections:

In the eastern states of Saxony and Thuringia, the far-right AfD received more than double as many votes as the three parties which make up the federal coalition government — the center-left Social Democrats (SPD), environmentalist Greens and neoliberal Free Democrats (FDP) — combined. These parties’ results are each in the single digits. The Greens in Thuringia and the FDP in both states even failed to meet the 5% threshold to be represented in the state parliaments.

And on the left:

newly established populist party, the Sahra Wagenknecht Alliance (BSW), managed to score votes in the two-digit range in their very first election.

The German people are chomping at the bit to vote out the gang of traitors who have allowed the US to annihilate their economy.

Although in fairness, they also gave the last US President who walloped the Germany economy the same award:

“Biden received the highest class of Germany’s Order of Merit, which was also bestowed on former U.S. President George H.W. Bush for his support of German reunification.”

Kind of fitting that the era of American unipolarity is framed this way. Bush at the beginning. Biden at the end. The Germans footing the bill for American foreign policy.

 

 

 

Europe Is Turning Anti-Immigrant

Politico has a long article on it, and it’s hilarious. A border wall longer than Trump and Biden’s. “Return centers” in other countries, because they’re too gutless to say deportation, and so on. Complaining about Russia and Belarus’s immigration warfare (letting refugees thru Russia to get to Europe. Including, er, Afghan refugees.)

Let’s cut thru the bullshit.

The EU is in economic decline and can no longer afford refugees they can’t monetize.

Europe is also responsible for much of the refugee crisis, having enabled the destruction of Afghanistan and Iraq (Poland, one biggest criers, was part of the “coalition of the willing.”) Europe, with some honorable exceptions like Ireland and Spain, is behind the Israelis, who are about to institute a flood of Lebanese refugees. Europe, thru the world bank, IMF and various post-colonial policies has worked hard to keep third world nations in poverty, increasing refugee flows.

They have helped destroy or impoverish entire nations, then whine about how migrants come to them begging for safety or a decent life.

In humanitarian terms, and international law terms, what the EU is doing is wrong, but the simple truth is that they can’t afford immigration any more, and that mass immigration has exacerbated the right wing turn. Not that it had to, but if you have large numbers of immigrants into a bad economy, who are competing for jobs and housing and social welfare with the desperate, they will naturally blame the immigrants instead of purging the incompetent and corrupt elites who are managing the economy with eye only to benefit themselves.


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The Ukraine war has made this particularly bad, not just because of all the Ukrainian migrants, but because it has increased the de-industrialization of Europe’s industrial heart, Germany.

This is, again, a self-inflicted wound. If Europe had kept the Minsk accords, or, more long term, treated Russia and its security concerns seriously, there wouldn’t have been a war. If Europe did not insist on being subordinate to America, none of this would have happened.

But Euro elites can’t imagine taking actual responsibility for their own countries and telling the US to bugger off, then following something other than neoliberal politics and economic policies.

Reducing immigration makes some sense, even if it’s inhumane, but it’s very much a “treat the symptoms, not the problems” situation.

Europe’s decline will continue until they decide to take responsibility for themselves and to overthrow an ideology which prioritizes the rich and financial games over the entire population and the real economy.

Immigration is meaningless in comparison.

How Europe Could Reinvigorate Their Economy

Every once in a while it’s important to do a policy piece, to show how society could work if we wanted to do the right things. Not because I think anyone in the West will implement enough good policy to matter, but to show that it is possible.

Back at my last corporate job I did a major workflow redesign. In the notes to management, along with the technical details were two highlighted lists. I noted that in order to receive the benefits of the change:

  1. Do these things, and;
  2. Don’t do these things.

Management appears to have reversed the lists. I left not long thereafter, and I was one of only two people who understood the entire workflow of the department. (I accept plenty of the blame, I didn’t play politics well or understand the sheer cupidity of management. I should have understood the second at least.)

The point is that policy often requires a number of actions to be taken, and that opposing action not be taken. You can’t just pick and choose: policy actions must support each other.

Big Picture On The European Economy

Europe is in decline.

  • Energy costs are too high for their heavy industry and many modern internet and computer technologies.
  • They are not in play when it comes to scientific and technical research.

  • They don’t produce significant raw or refined resources compared to other regions, with the single exception of basic agricultural crops, and the end of AMOC will smash European agriculture, probably sometime between 2025 to 2075;
  • The Chinese are pulling ahead in major export fields, like automobiles;
  • They import much of what they need, and pay for it with exports;
  • They aren’t creating a lot of new companies with new products and are, generally, falling behind in old technology;
  • Much of their industrial base is moving out of Europe (Germany, mainly). Much of that to the US.
  • Their cost structure is too high,

European prosperity was based on being able to sell advanced tech to less-developed country. Until recently, if you wanted that tech you could get it from Europe, the US, or other Western allies like Japan, Taiwan and South Korea. But now that tech can be bought from China, who almost never sanction, don’t lecture and sell and finance for less while not telling less-developed countries how to run their internal economy.

The IMF was the main economic enforcer in Western hegemony. These austerity policies in developing countries were generally a direct result of IMF requirements, or undertaken due to general financial pressure:

But this ability to force the third world into selling cheap resources to the West in exchange for Western tech and finance is coming to an end. Burkini Faso recently declined an IMF loan which was contingent on austerity measures, for example.

So Europe is in serious decline, and the structure of the world economy is moving from one designed to support it to one that no longer needs it. To put it in market terms, they’re actually going to have to compete again, and can’t keep coasting on advantages created generations ago.

Like this lists I produced for my ex-bosses, the policies which follow are intended to work in concert. Each of them is required, not optional. It will be obvious that his wish list is politically impossible, which is part of why European decline will continue.

End Austerity

Europe still has a fair bit of room to maneuver. They produce plenty of food and they still have a fair bit of industry left. Austerity needs to end. Government needs to spend. What it should do is arrange that spending to be used mostly on internal goods: if you give money to people for food, you want them to buy what Europe produces. Domestic production must be ramped up for what people and companies need and the necessary tariffs, barriers and subsidies put in place so that government spending mostly creates European demand. (Many further policies are based around making this happen.)

End Neoliberal Taxation

This means high marginal tax rates on income, including corporate income. High estate taxes. High corporate taxes on profit not reinvested. End all stock buybacks and stock options and end the doctrine of shareholder supremacy.

Institute excess profit taxes on all old products, probably basing profit levels on 2019. New products will be allowed to make higher profits, perhaps as much as 30%, with the amount of time dependent on how new they are. A product which is only a minor upgrade or alteration will not qualify.

Understand that government’s job is to create positive externalities. Government can fund actions, like good education and health and industrial subsidies because it doesn’t care who makes money from them. But this is only true if it recaptures that money from whoever is making lots of money. You let ordinary people keep most of their income but you take most of the money back from winners, then plow that money into further policies which create positive externalities.

So high marginal tax rates are necessary to run good industrial and social policy.

You also need to ensure that companies are using their profits to reinvest into the business, especially with reference to creating new products.

While you’re at it, you must put an end to moving money offshore to avoid taxation. No significant amounts of money moves outside of Europe without being taxed first. Criminal sanctions for anyone who tries and anyone who makes it possible.

End Sanctions and Sanctimony

Unilaterally end all sanctions against China and other countries, including Russia. You need their cooperation to fix your economy. Stop lecturing other countries on human rights, unless they reach severe heights like genocide.

Cut deals with China and Russia

From Russia you need cheap resources. Force the Ukraine war to an end, fix the pipelines and be good business partners.

China’s a harder nut: China is now ahead of Europe. What Europe needs is deals to allow it to keep some of its advanced areas. To get these deals they’re going to need to let China into the European market in other areas. Where Europe is behind, but wants to catch back up (electric vehicles, for example) they should bargain for branch plants in exchange for market access.

End Imposed Third World Austerity and Forgive Debt

Since the ability to coerce the third world is ending relationships will have to fairer. Forgive most of their debt, get rid of the IMF as it now exists and reform the World Bank. Cut deals for needed resources without requiring control over internal politics. Europe now has to compete with China to buy what it needs from the third world and thus will need to offer actual good deals. An end to third world austerity will also lead to better markets for any European goods.

Reform World Trade Laws and Learn How to Tariff and Subsidy

Europe will need to produce what it can domestically because it isn’t going to be able to buy much of what it needs from foreign countries. To make European goods competitive will require tariffs and subsidies. This will have to be negotiated with other countries and if Europe wants to do it, they have to allow others to do it as well.  The idea that “foreign made” is cheaper is only true if you have enough money to buy foreign made and remember that they have to want your currency. The Euro is going to be worth less and less until or if Europe creates enough tech that others must have and can’t get cheaper elsewhere.

If you can’t reform the WTO and so on, then leave and make a new organization or bilateral treaties, especially with China.

And get rid of almost all ability for private companies to sue countries for domestic laws. Countries need to have policy freedom and other than branch plants and so on Europe will require that most business is domestic.

Reduce the Cost Structure

Economic rent must be hunted down and killed. Landlords should make a decent living but not get rich. Housing should be turned into a utility: relatively cheap and easy to afford. (Some European countries are close to this already, some aren’t.) High returns on financial games must be ended: move to public (postal) banking. End high returns on financial companies. Break up the big financial firms, and make the new smaller banks and finance companies loan to new businesses. End stock market bubbles and enforce 50s style financial regulation.

Where utilities, roads, trains and so on have moved into the private sector, nationalize them.

As a general rule no one gets wealthy without creating new products for export or creating products which reduce the need to import, and billionaires become a thing of a past.

Kill Admin Bloat

Pull out your favorite admin bloat chart, look at what the administrative percentage was back in the 60s, and aim for that. The teeth to tail ratio needs to become much higher. If you aren’t doing the actual work of an organization, what you do to support it must be actually necessary. In general to receive subsidies you must reduce this bloat or your funding is cut off. There are a lot of subsidies already and in such a regime there will be much more.

We don’t want to be paying for useless jobs.

Reform tax codes to make them far simpler. Go thru the extensive regulations Eurocrats love to much and change most of them to ends, not means, then hire lots of inspectors and auditors. “We don’t care how you achieve the following environmental or workplace safety metrics, but we will check to see if you do and if you don’t we’ll fine you first (actual decision makers, not the companies), then put you out of business and if you hurt people, put you in prison.”

End Corporate/University Research Partnerships

University researchers should be government funded. Corporations who want product research should pay for it themselves, and generous subsidies should exist.

Fix Universities and Colleges

A lot of this comes ending admin bloat. Start there. Faculty should teach, some should research as well as teach and faculty must be forced to take control of universities again, with significant power for students. Administrators must have no significant policy power.

Academic publishing as it exists now must end. All academic publishing must be free and online.

All patents that are a product of government funded research are free for domestic use and available for foreigners with a fee.

Academics must no longer be judged based on volume of research. Their work must actually be read, those who hire or promote them must sit in their classes and witness their teaching. Replication of results must be emphasized and funded.

Research funds must be spread around far more, with fewer and weaker “principal researchers.”

Ties with advanced universities in foreign countries must be emphasized and student exchanges encouraged. Yes, this means China, which has most of the world’s best universities for science and technology now.

Kick NATO out and Form a European military

If you want to avoid further forced centralization form it from national units. Europe needs to make policy America isn’t going to like, it can’t do that while occupied.

Force the US to reduce embassy staffs by 90% and remove all US NGOs and similar organizations.

Same reasons. As the joke runs, “why doesn’t America have coups? Because it doesn’t have an American embassy.” America has too much influence in Europe. Reduce it.

Vastly reduce lobbying

Entrenched interests can’t be allowed to control government

Allow national subsidies to Mitigate the Effects of the Euro

For some countries the Euro is too high, and that makes their industry uncompetitive. For others it is too low and this gives industry a subsidy. Allow countries to subsidize industry to make up the difference if necessary and perhaps tax countries which are benefiting.

Make Creating New Companies Easy

Easy business loans, easy registration and removal of barriers of industry are key here. The policy of regulation by results will also help, since it reduces the massive burden of endless regulation with a simple “make sure you’re meeting our regulatory goals.” Subsidize chosen industries and make those subsidies easy to get, but audit for results and cut off those who aren’t making it.

Subsidize new companies, reduce their subsidies over time.

Make bankruptcy easy, frequent and painless. If a company fails, it fails. You keep your home and enough money to get by on for a couple years.

Final Remarks

We could go on, or each point could have its own full article, in many cases an article many thousands of words long. There’s little point in doing all that work now, since implementation is impossible. But it’s important to lay down the marker that good policy is possible and to show, generally speaking, what it would look like.

By the time Europe is willing to consider good policy its position will be far worse and digging out of the hole (when in a hole, stop digging) will be far harder. The most likely outcome is that Europe returns to being what it has been for most of history: a backwards peninsula on the edge of Eurasia, largely meaningless to anyone but themselves.

The world is changing, in huge ways, bigger than any changes since the industrial revolution, most likely even bigger than those. Europe is no longer the world’s leader, nor is it any longer the favored vassal of a super-power. It can adapt or see an end to the European garden.

So for it is choosing to see an end to the “garden.”

So be it.


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Westphalia, Anarchy and Russian Grand Strategy

Jordaens Allegory of the Peace of Westphalia 1648

This is the second in a series of essays on Russia, war, grand strategy and history.

Diplomacy is the politics of anarchy.¹ Grand strategy usually manifests itself through diplomacy, but in failure, as Clausewitz instructs us, war. I wave this semaphore to avoid confusion by opening a discussion on Russian grand strategy with an overview of diplomatic history. No longer a superpower, the United States is now a great power primus inter pares. The US, no longer able to dictate the politics of anarchy must learn to appreciate the rising risk of general warfare among great powers. Such a conflict is now probable before my generation shuffles off our collective mortal coil. Maybe next year, maybe in twenty. But facts are stubborn and China has superseded the United States in all but two or three of the most important measures of economic and military power.

We live in a revolutionary diplomatic moment. First, the eminent collapse of the global diplomatic order created by Kissinger and Zhou En-lai with the Shanghai Communiqué in 1972 is, if not already dead, dying. America’s perplexing abandonment of the triangular diplomacy§ that kept the then Soviet Union and its successor state the Russian Federation and China closer to the US than to each other, has further eroded the global balance of power out of America’s favor. The American grand strategy of the 20th century—prevent any single power or coalition of hostile powers from dominating the Eurasian landmass—has been surrendered to a 21st century foreign policy of cobbled together, ill-thought out and impulsive moves, engineered by small-minded think tank ideologues and the little men of domestic politics hoping to ‘make America great again.’ I doubt three out of hundred Americans understand how seriously we torpedoed our own power by abandoning a successful grand strategy in favor of limited ideals like the “dual containment” of rogue states or the policy to fight “two and a half wars” simultaneously as Madeleine Albright’s “indispensable nation” during the Unipolar Moment of the 1990s. But, denial is not a river in Egypt and so Thucydides’ trap∇ patiently awaits an irresponsible United States like a Praying Mantis.

Chou En-Lai and Henry Kissinger enjoy a moment of levity in 1972.

Great power wars within the Westphalian system run in hundred year cycles.∅ The end of the Thirty-Years War in 1648 inaugurated the Westphalian world. Roughly a hundred years later the War of Austrian Succession begat the Seven-Years War, the first truly global war. The Treaties of Paris and Hubertusburg were signed in 1763, but left open more questions than the wars resolved.

Open diplomatic questions have a nasty tendency to war. Such were the misunderstood results of the 1763 peace, like the American struggle for Independence, arising out of England’s near bankruptcy. A reinvigorated French naval challenge to England and the domestic forces unleashed by French support of American independence attenuated the natural hundred-year gap between Great Power wars. These unintended consequences lit the French Revolutionary fuse that erupted in 1789 and ended in 1815. A renewed hundred-year gap ended with the Miracle on the Marne in September 1914. This Second Thirty-Years War, fought to settle Germany’s place in Mitteleuropa, ending in 1945 is a complete historical epoch. Taking the end of WWII in 1945 and subtracting the present year 2024 gives us an interval of 21 years in which the global balance of power continues to shift out of America’s favor and into China’s.

Chimpanzees and humans share a lot more than 98.8% of their DNA.

The balance of power is not some recondite or esoteric construct. It is a crucial gauge of power relations in an anarchic system. But it is a lagging indicator. Indeed, when the balance of power is re-established after wars or significant diplomatic denouements (e.g. the reordering of the European alliance system after the Diplomatic Revolution of 1756 or the combined effects of the Nixon-shocks that unraveled the post-WWII financial settlement of Bretton Woods in August 1971 and the subsequent rearrangement of the global order with the Shanghai Communiqué in February 1972) the results simply confirm what existed beforehand. The démarche or war confirms pre-existing facts on the ground, not as most believe, create new ones. Need I remind anyone of Dick Cheney’s Baudrillard-like post-modern comment on the Iraq war when he said, “we make the reality.” No, Dick, actually you do not. We lost in Iraq. But poor Dick’s limited horizons could not conceive that the politics of war are older than humanity itself. Our closest primate relatives, chimpanzees—not bonobos— play at politics identically. “[Primatologists have] concluded that rather than changing the social relationships, [chimpanzee] fights [and wars] tended to reflect changes that had already taken place,” remarks Lawrence Freedman in his book Strategy.”† A brilliant, if depressing, observation on the human condition.

Russian grand-strategy under Putin’s twenty-five year tenure has been quadripartite in nature. First, quash any and all separatist movements or insurgencies within the internationally recognized borders of the Russian Federation—to prevent a Soviet style dissolution of the entirety of Eurasia. Second, place all of Russia’s vast resources under the umbrella of state control. Third, subject to the completion of aim number two, Russia sought neocolonial controlling stakes over the vast majority of resources within the previous borders of the USSR—know as the Near Abroad. Putin’s fourth aim is to secure a non-NATO buffer zone, or sphere of influence, to the south and west large enough to keep Russia safe from invasion from those two cardinal points.

Brezhnev says to Nixon, “did you hear that?”

Of course, nuclear weapons do form a part of Russian grand strategy but they are a separate problem understood best within the context of the late 20th century arms control regime created by Nixon and Brezhnev, affirmed by Reagan and Gorbachev, and enlarged by Bush the Elder and Clinton with Yeltsin. For now, prudence dictates we proceed under the precondition that any war Russia fights will be conventional, that is until its existential interests have been breached. Adjacent threats are not direct, but there can be no denying (not-so) covert NATO, sorry, I mean Ukrainian attacks against Russian ballistic missile early warning radars are provocative in extremis. The Ukraine is not a nuclear power and without need or interest in destroying such radars. It’s NATO action.

Full stop.

Shrewd Putin shows more restraint than any contemporary Western leader possesses.² Just look at Macron flailing wildly about France fighting Russia—its historical ally! Or Polish President Andrzej Duda agitating direct NATO war against Russia. Sure, its lunacy but rational lunacy in a Polish context. But, with every new report of NATO, so sorry, I mean Ukrainian, skullduggery my sphincter tightens and I look to build a bomb shelter.

On 9 August 1999 Russian President Boris Yeltsin named then unknown Vladimir Putin as his prime minister. In September a series of apartment bombings, attributed to Chechen separatists, in Moscow and Volgodonsk killed over 300 people.‡ Most observers, including myself, believe this was a false-flag operation. Whatever the case, it succeeded in galvanizing the Russian people in advance of the Second Chechen War. Putin quickly eclipsed Yeltsin as president of the Russian Federation on December 31, 1999 and subsequently ordered the bombing of Grozny. Putin pursued the Second Chechen War with ruthlessness right up to its official non-official ending in 2009. For ten years Russia showed no mercy, raining destruction and death on Chechen town and village, combatant and civilian alike.

“Let them eat cookies,” Nuland says the Ukrainian Banderites.

Why? Because the consequences of failure were so grim, not just for the Russian Federation, but for the world. Herein lies a significant failure of American imagination. Try and visualize the chaos of a rump Russian state ending at the Ob River and a dozen more sovereignties existing across Eurasia. The resulting power vacuum and disruption to the balance of power would have made the Balkans look like a Sunday picnic. Make no mistake, this is the terminal goal of former Undersecretary of State for Revolution and Chaos, Victoria Nuland, wife of neocon éminence grise Robert Kagan, should the Ukraine prevail. It’s insanity equivalent to opening a can of baby sand-worms from Arrakis in the Gobi Desert just to see what happens. Neocons, like Nuland, suffer from what I call khaophilia, from the ancient Greek meaning love of chaos. They are rubberneckers on the interstate whose stupidity cause mass pileups. Or as my Turkish buddy Murat said one gorgeous spring day of a young ne’er do well on the streets of İstanbul, “he has an uncontrollable desire to throw rocks at hornet’s nests and watch what happens.” Think Libya. But I digress.

The second arc of Putin’s grand strategy was complete within four years of his accession and election to the Russian presidency. By 2003 he had dissolved every independent media outlet and stripped all but the most dangerous of oligarchs of their power and assets, exiling many. He reserved the most severe punishment for his most serious and worthy opponent, Mikhail Khodorkosky. At the time Khodorkovsky was worth an estimated $15 billion USD and was CEO of Yukos, Russia’s largest oil and gas company. Putin had his assets seized by and incorporated into the state oil company Rosneft. Khodorkovsky was jailed on trumped up charges of tax evasion and convicted in 2005. Russia’s vast national resources were now under the control of the государство—the state.

The third goal of his grand strategy was decidedly neocolonial and took longer to achieve. However, by 2016 when I visited all but one of the Central Asia republics (Tajikistan) the resources of Uzbekistan, Turkmenistan, a goodly portion of those in Kazakhstan (reliably pro-Russian), and Kyrgyzstan appeared under the control of the Russian Federation. Russian TV news was on in the hotels and airports and every ATMs but one dispensed rubles not dollars.⊕ Only Azerbaijan gained a measure of independence, but it came at an enormous cost.

Nagorno-Karabakh region, site of Armenian aggression and occupation deep inside Azerbaijan.

From 1991 forward Russia supported Armenia’s land-grab in Nagorno-Karabakh, a de jure part of Azerbaijan, but soon under de facto Armenian control. Following the first Nagorno-Karabakh War’s end in 1994 Armenia encouraged its citizens to populate the newly conquered territory, á la Israeli settlers gobbling up the West Bank. Russia’s aim to keep Azerbaijan divided and preoccupied had salutary second order effects, like limiting the interests of western oil companies in Azerbaijan. Not until 2023, after Turkey—infuriated by Russian attacks on its jets, soldiers and interests in Syrian Kurdistan—up-armed the Azeris with modern NATO armaments, were the Armenians summarily tossed out of Azeri territory. Claims of a second Armenian genocide are without merit. The Azeris committed no crimes against humanity. They waged war against an aggressor and ejected the occupier. Hyperbole is wasted on reality.

An orderly and peaceful exodus of illegal occupiers from Azeribaijani territory. Not genocide.

To Russia’s satisfaction the Transcaucasian nations remain divided. Azerbaijan, a Shi’ite nation, schizophrenically looks to both Iran and the US for guidance. Armenia, unwilling to accept defeat, choses selective outrage. Meanwhile an economic and demographic time bomb of its own making prepares to detonate. Then there is poor benighted Orthodox Christian Georgia. I recall sitting in Alex Rondeli’s Tbilisi office in 2003 discussing the future of Georgia and the possibility of joining NATO. This was in the immediate aftermath of Sheverdnadze’s ouster, the Rose Revolution, and Columbia University educated Mikhail Saakashvili’s presidency. Rondeli, to his credit, percolated ambivalence about NATO and American power. I perceived him as much more the pragmatist than romantic, as such terms relate to power politics. But his associate, one Timur Iakobashvili, was a strident true believer. He waxed poetic about America’s invasion of Iraq. He hectored me about our success at expeditionary warfare—the insurgency had yet to begin. And he was certain NATO would come calling.

“No, it won’t,” I said, “plus, á la perfide Albion, America will betray you the moment we lose interest in your part of the world.”◊ I fancy I got the last word but Iakobashvili got the Ambassadorship to the US.

Georgia divided.

Regardless, Abkhazia and Ossetia were shaved off of Georgia in the 2008 Russo-Georgian War. The nation, divided still, demonstrates the principle of divide and rule is as effective now as it was when the Hittites disastrously invaded Assyria in 1237 BC. Fortunately, most Georgian citizens have begrudgingly accepted this modus vivendi with the Russian Federation, much as Mexico accepts the giant of el Norte. Sometimes there is no choice. Sometimes you have to make the best bad choice. That’s the national interest in an anarchic world. Obviously, this suits Russia just fine, having the added benefit of a divided Georgia aligning with Russia’s interest in preventing NATO accession.

That brings us to the present moment. The matter at hand. Putin’s fourth and final grand strategic aim: carve out a large enough buffer between NATO and the Russian Federation that makes the costs of invasion from the south or west prohibitive. As I have shown, the Russian way of war is predicated on three easily comprehensible strategies. First, scorched earth tactics and the suffering of the Russian people.° Second, the ability to ‘spin up,’ recognize and promote learning generals while under distressing clouds of бардак—messiness.ƒ Finally, what has been left unsaid but demonstrated clearly in the three wars cited in my previous essay, is the Parthian, or steppe way of war: strategically trading space for time.

the Battlefield of Carrhae, where Crassus and his legions met their doom. Authors photo.

The Scythians first did this to Darius I of Persia in 513 BC, luring him ever deeper into the Pontic Steppe. The Parthians destroyed Crassus and his legions in 53 BC at Carrhae by trading space for time, suckering him down from the watered hills around Edessa onto the parched plains of Mesopotamia. The Seljuk Turks conquered half a world with such tactics first at the Battle of Dandanaqan in 1040 AD against the Ghaznavids, then at Manzikert in 1071 against the Byzantines. The Mongols won the greatest empire humanity has ever known on the backs of their horses, deep in the steppe, firing recurved bows. Even Tamerlane, scion of the Chingissid line and first of the gunpowder kings, defeated the Ottoman Sultan Yıldırım—the Lightningbolt—Bayezit at the Battle of Angora, leaving him to dash his brains out in a gilded cage as the Great Emir trudged back to Samarkand. Grant and his successors would call it the strategic defensive. This, combined with scorched earth tactics gives Russia enough time to marshal all her resources to mount a successful counter-offensive, as she did at Poltava, Borodino, and Stalingrad. The Ukraine (and Belarus) is simply the space Russia will trade for time.

Seljuk cemetery near the battlefield of Manzikert. Authors photo.

It is important to recall that all Russia asked of the Ukraine, before the war began, was neutrality. But the Brits suckered the Ukraine’s Comedian-in-Chief into fighting against Russia as a cat’s paw for NATO. Whiskey tango foxtrot!

So now Russia destroys the eastern part of Ukraine, not to conquer, but simply preserve a large enough buffer so that any would-be invader can be met in Russian time, not invader time, and whereby be destroyed. Space for time has been and will remain the single most important and historically relevant aspect of her grand strategy, barring a nuclear exchange and even then, who really knows? Russian Eurasia is vast. Space for time is a vital interest to Russia. Victorious, she will dictate the peace, annex all Ukrainian territories in a line from Sumi in the north through Poltava, Dnipro on the east bank of the Dnieper River, Zaporizhzhiya, then south across to Kherson, Mikolaiv and finally the entire Oblast of Odessa. What will remain is a landlocked rump, near-failed Ukrainian state ruled by a corrupt Comedian-cum-Dictator, dependent on Russian good-will. Sovereign neutrality versus suzerainty? I know what I would have chosen.

“что делать?”ξ What happens after Russia defeats the Ukraine? What of her increasingly tight-knit energy for cash rapprochement with China? The Russians have clearly entered one of their “Russians are an Asiatic people” phases that cycle through the Russian intelligentsia every few decades like a recurrent case of giardiasis. Does this mean we are we looking at an Asiatic version of the pre-WWI Антанта (entente)? I confess my crystal ball is getting a bit foggy.

What will an emboldened, revanchist Russian grand strategy look like? What kind of forward actions will it take? Will it revive its navy and utilize the harbors of Syria to pressure Israel and project power into the greater Middle East? If so, the results might be beneficial to peace in the region. At the very least it will piss the Israelis off. Will it revive its relationship with Egypt, Nasser-like, displacing American influence and subsidies? At risk of a two front conflict against Iran and Egypt? That might chasten the Israelis into some kind of acceptance of international norms. At the very least it’ll sober ‘em up from their decades long binge of oppression against the Palestinians. Will Russia super charge its submarine fleet in the North Atlantic? Threatening NATOs key re-supply line? Will it find a unique way to avoid war but pressure the Baltics into leaving NATO for a pre-World War One Belgian-like guaranteed neutrality? Will it support a Chinese invasion of Taiwan? There is a non-zero chance that each and all of these might happen and more. Russia has regained a decent share of the stature it lost globally when the USSR dissolved. Not all of it, however, and so she is a spoiler on the international stage, albeit a big one. Nor should she be underestimated.

And yet . . .

U.S. and USSR/Russian nuclear weapons stockpiles, 1945-2006 under the nuclear arms control regime of the late 20th century.

Of course, the majority fault lies with America. Presidents Bush the Younger, Obama, Trump and Biden foolishly drove a heavyweight continental power, former and potentially future ally into the arms of our biggest international competitor, China. I don’t know about you, but I would have preferred Russia on our side fighting the land war when the big show against China begins in earnest. With the right coalition, one including a Russian threat to China’s rear, the Middle Kingdom can be defeated. Sadly, the march of folly begun with the abrogation of the ABM Treaty by Bush the Younger in 2002 accelerated with the abeyance of the INF Treaty in 2018 by Trump, leaving the nuclear arms control regime began by Nixon and Brezhnev, solidified by Reagan and Gorbachev and expanded under Bush the Elder and Clinton, in tatters. We world citizens are left to live, once again, at very real risk of nuclear annihilation. What a shame small minds presided over such potential.

Obviously the horizons of American diplomats have never been very far or wide. Certainly not enlightened enough to embrace or understand men of foresight like Teddy Roosevelt, Henry Kissinger, and James A. Baker, III. After all, banality of banalities, the business of America is business. Let’s have featherweight Warren Christopher be our Secretary of State! How about Madeleine Albright or even cage-match Condi? Anthony wet-Blanket anyone? Such choices leave me disgusted.

What’s even more dangerous is American worship at the ‘Church of the Divine Belief in the Steadfastness of Our International Friends’. Does it have a pope? How many brigades does he have? Alas, nothing is sillier or more dangerous than such blind adherence. Our European allies are freeloaders, sipping their cafe au lait under an America tax-payer financed security umbrella while the sun sets on Western Civilization. Don’t misunderstand me, I get Europe’s reluctance to rearm and/or countenance war of any kind after the catastrophe of the early 20th century.

But, folks, let’s get real for a moment and recognize truth.

No nation has steadfast friends. Nations have only implacable, insatiable interests. When those interests align, you get harmony. When they do not, you get conflict, revolution or war. This is the way of the Westphalian system, established in 1648 and now global in scope. We fool ourselves trusting the panacea of international law and/or a rules based order.

In Westphalia there is only anarchy, self-interest and impermanent security. For if one nation has absolute security, then all others are absolutely insecure.


¹: In the Westphalian order there is no mutually agreed upon global government or mechanism with a monopoly on violence to enforce peace. There is a word for this: anarchy.

§: The Wikipedia entry on Triangular diplomacy is 85% rubbish and 15% cherry-picked quotes. The concept behind triangular diplomacy is simple, to paraphrase Kissinger: keep relations with our peer competitors closer to us than they are to each other. The Wikipedia entry is a self-fellating perversion of the original concept. Donald Trump wouldn’t know triangular diplomacy from a parallelogram, nor would Anthony Blinken.

∇: The Thucydides trap, a phrase coined by scholar Graham Allison, pertains to the challenge of a rising power opposing the defender of the status quo and the resultant breakdown of diplomacy, then almost universally followed by great power general warfare. For example, Athens rising, Sparta status quo. United Kingdom status quo, Germany rising. Dozens of other examples exist throughout history.

∅: It is crucial to note that I am discussing warfare and grand strategy within the Westphalian system, a system that now dominates the globe. There were plenty of devastating wars all over the world between 1648 and 1900. But, generalized global warfare under the Westphalian system is materially different and not all state actors were apart of the Westphalian system until the 20th century.

†: Freedman, 2013, p.4. I’d further highlight that chimpanzees and bonobos are the Yin and Yang of mankind’s warring sides.

²: this essay was written before NATO forces, French, Polish and Ukrainian made their incursion into the Kursk Oblast of Russia, which makes my comments even more appropriate and predictive.

‡: It’s September of 1999, I don’t recall the exact date, but it was around 11:30 pm or so, I was sitting in the original Moscow McDonald’s on the corner of Bronnaya and Tverskaya ulitsas. In 1999 McDonalds was still a status symbol to Russians so I humored my business associate, Volodya, with a Биг Мак. The moment we sat a boom rang out, followed by rattling windows and the soft shaking of the building. An earthquake in Moscow? Everyone except me hit the floor. The immediate danger gone, we all went outside looking up and down Tverskaya ulitsa. To the southeast a column of smoke rose, barely visible behind the Kremlin floodlights atop the Trinity tower. Volodya turned to me and said in Russian, “those fucking Chechens are all going to die now.” He was not far off the mark.

⊕: The sole holdout was an ATM in Osh, Kyrgyzstan that spit out Chinese Yuan. What do you think that presages?

◊: La perfide Albion, French for Perfidious Albion refers to the diplomatic treachery of England. And yes, I really said this to him. I would also note Scott Ritter made virtually identical comments about Georgia in a podcast yesterday. Fast forward to the last seven minutes.

°: “Shonik, don’t worry about us,” my Russian ex-wife used to say, “we’re used to it. We’ll endure.”

ƒ: Thank you reader ‘j’ for this wonderful concept.

ξ: “What is to be done?” Vladimir Lenin, Saint Petersburg, 1902.

Kelley lives in San Antonio, Texas. He has a Bachelor’s degree in European History, and two Master’s: International Relations and Political Economy and another in History, focusing on the medieval trade routes of Inner Asia.

Why Are the British Race Riots Happening?

We’ll start with the proximate:

As mobs attempt to burn down hotels housing asylum seekers, don’t forget Nigel Farage led a campaign to publicise these hotels. He recorded himself turning up at a series of them in 2020 and asked his followers to identify more hotels, saying some residents “might be ISIS”.

Then let’s move backwards:

First there’s been a lot of anti-Muslim propaganda thru the years, including entire TV and movie eras where the most common villains.

Second is a sustained right wing campaign complaining about demographic replacement and stating that immigrants are more likely be criminals than natives.

Third is the fact that Britain has been bringing in massive numbers of immigrants when there isn’t enough housing, driving up prices and leading to homelessness.

Fourth is that the the UK has been in decline for over forty years. A lot of people are hurting. There aren’t enough good jobs, yet somehow the government is allowing in record numbers of immigrants.

When I was young I said to my father that I didn’t see a lot of racism. He, a child of the Great Depression, replied, “wait till times are bad.”

The “other”, the immigrant, is always an easy target. The actual villains are the UK’s ruling class and if violence is the method then the correct response would be to Bastille them, but people are rarely capable of understanding that their most profound enemies are those who rule them. Putin is not a significant danger to Americans or Brits: their own politicians and corporate leaders are responsible for their poverty, increasing death rates, sickness and homelessness.

If you want a good country again, figure out a way to replace your leadership class wholesale. Nothing else will work, certainly not burning hotels with powerless immigrants in them. That’s pathetic and stupid, on top of being immoral.

Be better and be smarter.


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The Left’s “Victory” In France

The left coalition has won the most seats in France, but failed to get a majority. Macron’s party is second, with LaPen third, though with more seats than ever before.

This is a result of candidates who were in third or worse place dropping out so as to not split the vote.

As a result it’s unclear who will form the next government, and how. La Pen is correct in saying:

“National Rally leader Le Pen, expected to make a fourth run for the French presidency in 2027, said the elections laid the groundwork for “the victory of tomorrow.”

“The reality is that our victory is only deferred,” she added. But Le Pen’s older sister, Marie-Caroline, was among her party’s losers Sunday, defeated by a leftist candidate and just 225 votes in her district.

It’s clear that the Center can’t stop the right. Policies like increasing the retirement age and various other austerity measures aren’t popular and can’t fix France’s economy. Macron’s reign has seen repeated mass protests and strikes, often violent.

For the Left to take over in the next election they need to deliver at least a bit. It may not be impossible: the right might vote with them on some issues, such as rolling back the  pension age increase (which they opposed) and they may be able to convince the center to vote with them on other issues.

In addition, when they are stopped from pursuing popular policies like taxing the rich to pay for social programs, they need to scream to high heavens and make the case that with a majority they will be able to deliver their entire program.

Much of the problem in France has been that when Neoliberals want to do the right thing, like fight climate change, they do it in the most regressive way possible, hurting workers and farmers, rather than making the rich pay. Outlawing private jets and taxing the rich, then using the money to pay farmers to make necessary changes rather than forcing farmers to take the hit is a winning policy.

France now has a real chance to avoid fascism. Let’s hope the left can maneuver well enough to make it happen.

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Le Pen Is Delusional But Macron Deserves To Lose

So, Macron has dissolved his government and a French legislative election is on. The Harris Interactive June 9/10 poll shows La Pen with the highest support at 34%, with the left wing Nantes coalition at 22% and Macron’s ENS coalition at 19%. Macron is not on the ballot, but if his party loses power, the Prime Minister of whatever group has the majority will be in control of French domestic policy, leaving Macron to foreign affairs.

Macron has been a terrible President. He got in only because of strategic voting. In the second round, people were too scared to give Le Pen a chance, so they went for him. During his tenure France has been rocked by repeated and massive protests. Economic performance has been bad and his signature move was to increase the age at which people can retire.

This is the Brexit/Trump/Javier problem. To whit, when things are bad for a long time and nothing seems to help, people reach for something extreme. They know the status quo isn’t working and that things keep getting worse no matter who they vote for among the mainstream, so they look for someone or something completely different. Trump is a billionaire, but he doesn’t parse the same as normal politicians. The EU was adopted around about the time Britain went into a severe multi-generational slump manufactured to hurt the working class. The EU wasn’t mostly responsible for it, but the status quo was “things are going to get worse, but if you stay in the EU more slowly than if you leave” and people were willing to throw the dice.

Javier is a libertarian loon who looks and talks nothing like a normal politician, so Argentinians gave him a shot: neither ordinary right nor ordinary left had been able to fix Argentina.

Of course, Javier is a loon, so:

La Pen is delusional, and not a solution. As an illustration:

Le Pen – who calls wind turbines “horrors that cost us a fortune” – would end all subsidies to the solar and wind energy sector, apply a moratorium on both and dismantle already existing turbines.

Solar is substantially cheaper than fossil fuels. Wind varies, in France it seems to be slightly more expensive than fossil fuels, but prices continue to drop, and thanks to Europe’s geopolitical stance the price of fossil fuels is higher than it once was. Even if you don’t want to build more turbines, dismantling already existing turbines is expensive stupidity.

Ending subsidies is questionable, in the sense that if you want to end subsidies and allow “true” competition, you’d also have to end fossil fuel and nuclear subsidies.

But a moratorium is beyond stupid. If solar is cheaper, why not build it?

There’s a lot of this sort of nonsense on the right, “liberals and left wingers like renewable energy and acknowledge climate change, therefor we must oppose renewable energy and deny climate change.”

It’s driven by tribal nonsense, science denialism and desire to keep things the same.

But sticking your head in the sand doesn’t change the fact that climate change is real and happening, or that solar is now cheaper than fossil fuels in most cases.

We can’t fix our problems is we deny reality. It’s that simple. It afflicts the center as well, with their “we’ll win in Ukraine” nonsense and their complete unwillingness to recognize the consequences of austerity and neoliberal politics. They want lots of rich people, so anything that would mean less rich rich people is anathema.

But the right, like Le Pen, are equally delusional. She may do some good things. Perhaps she’ll undo the increase in pension ages, for example. I hope so.

But the right isn’t the answer to real problems. Everything but climate change and ecological collapse, in 20 years, will seem like a sideline, completely meaningless. Any politician who isn’t taking it seriously and preparing for it shouldn’t be in office. Macron was not doing enough, not even close. Le Pen wants to make it worse.

France’s only real chance is to go left: fix the social and economic problems at the same time as dealing realistically with environmental problems.

Perhaps that will happen. If it doesn’t, as with Britain rejecting Corbyn, they will pay a frightful price. The European era is over, but how well France adjusts to its new place in the world will matter a great deal to those who live there, and, indeed, to all of Europe.

Right now the French seem determined to accelerate their decline rather than adapt to new circumstance in a way which is beneficial to them.

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EU Delusion on Sanctions and Europe’s Future

While the EU was considering more sanctions against Iran because it attacked Israel in retaliation for Israel bombing its embassy, Russia is sending Iran:

Meanwhile America is threatening China that if they don’t stop sending Russia “dual use” goods, the US will slap on more sanctions.

Boo hoo.

Let us remember the results of chip sanctions. China now owns the legacy part of the industry, and is making progress western “experts” said would take decades in years. Huawei has recovered from the sanctions and created its own OS. It is now a massive electric vehicle manufacturer in addition to everything else. BYD will soon become the largest EV manufacturer in the world, eclipsing Tesla. Something about its cars being cheaper, and Tesla gave up on building a cheap version of their cars. Maybe Tesla will survive because the US keeps all Chinese EVs out, but my guess is that if Musk stays CEO, Tesla’s best possible future is as a luxury EV manufacturer. Their “Cyber Truck” is a disaster.

Iran has built a formidable military with hypersonic missiles while under sanctions, sanctions which started at the same time the Islamic Republic was created. But now, what I’m sure happens, is that China sells Russia goods and Russia trans-ships them to Iran. That hasn’t undone the sanctions completely, but as the world moves away from using the dollar as the medium of trade and routes around US, EU and anglosphere banks, the effects of the sanctions will continue to diminish.

There’s very little that Iran needs (though still some) that China and Russia don’t make. And anything sold to Russia by, say, India, can also make its way to Iran. Cutting Russia off almost entirely gives it no reason to play by Western rules, and it doesn’t.

This is especially true now that America has taken Russian reserves and will be giving them to Ukraine. Anyone who trusts the US with their money who isn’t a complete ally, or satrapy, is a fool. There’s a reason why money used to be frozen before, but not actually taken. There’s a big difference between the two.

But let’s move back to Europe. This article from FT is to the point, German gas prices are two-thirds higher, structurally, than they were before the Ukraine war.

That’s after prices dropped massively. The simple fact is that US natural gas costs a lot more. Russia was selling Europe and Germany oil and gas for bargain prices. Russia’s still willing to sell, but Europe has its head up its ass.

The recent history of European industry is simple. When the Euro came into effect, it raised everyone’s prices except Germany’s, pretty much. Industry in all of Europe except Germany was badly damaged (this was especially bad in Italy which was more of an industrial power than most realized.) Germany, in effect, received a subsidy: the Euro was worth less than the German Mark.

Germany has (had) a lot of heavy industry: a lot of energy intensive industry. To get energy for this, Germany got cheap, below market Russia oil and natural gas. Russia got bulk sales of one of the few things it had to sell and Germany kept its industry competitive.

Those days are over, essentially permanently.

And the problem is that Germany’s dominance was in legacy heavy industry and automobiles. They aren’t creating a lot of new tech and science. They don’t have large new industries developing. They don’t have scale costs like China does. They relied on being very efficient and already dominating industries.

But those industries are leaving. A lot of them are going to America, the actual company facilities, but the production is, effectively, also moving to China and other countries.

I know I’m a bit of a stuck record on this (do youngs understand that simile?) but Europe is walking into its decline with its leaders acting as if it’s no big deal, indeed as if they are, to use my father’s crude insult still “King shit of turd island.” Sanctioning Iran, lecturing Africans and acting as if they are superior in every way: the only truly civilized people in the world.

Even as they do, the foundations of their prosperity, their “garden” are eroding out from under them at the speed of soil blowing away during the Dust Bowl.

They’re insane. Completely detached from reality, and some of the stupidest elites in the world, even exceeding America’s very high bar.

The Sun always sets. European leaders seem determined to make it set as soon as possible.

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