Casey Research: “There’s a Nationalization of Global Resources Occurring Now”
February 3rd, 2013
As economic conditions around the globe deteriorate and super powers vie for military, political and financial position, governments are increasingly putting their focus on the acquisition of resources.
In China, where the government essentially owns all aspects of the economy, national wealth funds are being rapidly diversified into everything from agricultural resources and international energy exploration, to precious metals and rare earth minerals. Take, for example, the Chinese invasion of Tibet in 2008, which the People’s Republic cited as a political annexation. While politics certainly played a role, there was a much more sinister and strategic power-play at the core of the military occupation. Tibet is rich in one key resource that China lacks for its 1 billion strong population – fresh, clean water. That alone is motivation enough to send in the army when your own rivers and eco-systems have been destroyed because of unsustainable manufacturing practices.
The U.S., for its part, is very much involved in similar strategic machinations. Given the trillions of dollars being generated, who could realistically deny that our primary purpose for military hegemony in the middle east is focused solely on the acquisition of cheap oil resources (Iraq) to keep the U.S. economy afloat and rare earth deposits like uranium (Afghanistan) that provide essential components for the defense industry?
Countries all over the world, large and small, are racing to get their hands on anything of value, and they are actively and without regret nationalizing once private industries across the board.
It’s happening as we speak.
You look at what’s just recently happened in Argentina. In 2012 Argentina basically nationalized the oil sector and with that it had a major spillover effect.