The Rise of Patriotic Capitalism

Published on
November 27th, 2018
Topic
Macro, Financial System, Geopolitics
Duration
33 minutes
Asset class
Bonds/Rates/Credit, Equities

The Rise of Patriotic Capitalism

The Exchange ·
Featuring Dee Smith, Peter Atwater, Professor Edward Goldberg

Published on: November 27th, 2018 • Duration: 33 minutes • Asset Class: Bonds/Rates/Credit, Equities • Topic: Macro, Financial System, Geopolitics

The growth of global supply chains and its benefits for consumers has stalled and may have gone into reverse as geopolitical tensions rise. In this episode of “The Exchange,” Dee Smith of Strategic Insights Group, Peter Atwater of Financial Insyghts LLC and Professor Edward Goldberg of the NYU Center for Global Affairs debate whether we have witnessed a peak in global interconnectivity and are now turning inwards toward domestic supply chains and the rise of patriotic capitalism. Filmed on October 30, 2018 in New York.

Comments

  • my
    markettaker y.
    17 December 2018 @ 02:23
    eh... we can get the globalist doxa anywhere we want — it's *the* norm at the moment. We don't need or want RV to be too one-sided against that, but nor do we just need the bromides repeated once again in a new way. A lot of this is just hot air; the rest just rambling whatever. Simon F sums it up perfectly below.
  • F
    Floyd .
    4 December 2018 @ 23:34
    Much could be said about this video but I will stick to the urban/rural discussion. I spend time in both. The old generalizations and stereotypical comments reflect more the speakers biases and isolation than what is the true reality. To the contrary I find some of the poorest educated and socially challenged people in the cities.
  • JL
    John L.
    4 December 2018 @ 02:15
    anyone that quotes Paul Krugman is not worth watching....
  • SS
    Sean S.
    1 December 2018 @ 04:59
    Food looks good
  • CC
    Chris C.
    30 November 2018 @ 10:26
    Had to turn these clowns off. Academia is so enamored with itself it can’t see the trees through the forest. These guys are no different. And clearly the lack of EVER running their own business shows. Exporting production from Western countries to the cheapest labor markets around the world has CRUSHED Western cities, communities, states etc. Don’t think so? Ask the mayors and former mayors of Detroit, Cleveland, Allentown, London and cities all over Europe. Yea, let’s play business as usual with China who steals anywhere from $200-600 BILLION per year in intellectual property alone from just the US! More from Europe and others.
  • SL
    Steven L.
    29 November 2018 @ 18:54
    I wish Pippa Malmgren were picking the guests and doing the interviews for this series. I know she's probably too busy but the content would be 1,000 times more interesting and useful. This piece reminds me of the talking heads on MSM.
  • SW
    Steven W.
    29 November 2018 @ 13:46
    The example regarding Britain moving its food supply to the most efficient area is a poor one. The decision to outsource their food supply nearly destroyed the country during WWII and represented a major weakness that the Nazi's exploited. They had to, during wartime, impose extreme rationing and till up and plant every usable acre on the island to produce food to feed themselves while fighting the war. Second, the idea that interconnectedness provides geopolitical stability is also a very old argument. The Guns of August points out that the pre-WWI the common thinking of the time was that the large European wars were over because it would be irrational to go to war against one's trading partners. Cue back-to-back world wars. I think it is more correct that interconnectedness during good economic times (time of plenty) results in stability, but when instability rears its head, either politically or as a result of reduced energy or raw material access or even the normal debt cycle that interconnectedness, from the standpoint of an individual country, is an extreme vulnerability. Also, please tell me someone takes all that food home and eats it. Drives me nuts watching the Exchange and the food looks barely picked at.
    • SW
      Steven W.
      29 November 2018 @ 13:49
      Also worth mentioning, that during WWII, the country that produced it's own energy, raw materials, and food won the war.
  • MZ
    Martin Z.
    29 November 2018 @ 06:41
    Starting out with yet another dire warning about the economic (read military) threat from China - including one from no less than the U.S. military itself - which seem to be coming on almost a daily basis these days, I was prepared for a half hour of mainstream propaganda, intellectual rambling, and academic posturing. Apart from Grant Williams' terrific interviews, this is my favorite series on RV, but I can't say my worst expectations weren't met.....And why did I feel like I was watching an early-career Woody Allen movie? ; - )
  • BB
    Benjamin B.
    28 November 2018 @ 20:13
    I'm not sure they had enough food...
  • IF
    Ian F.
    28 November 2018 @ 18:23
    Ricardo didn't say manufacturing is done in the most efficient (most profitable) place. The theory of comparative advantage stated its done where is the lowest opportunity cost. Professor if you're going to quote outdated clearly bunk theories at least quote them correctly.
    • IF
      Ian F.
      28 November 2018 @ 18:39
      Professor is in fire; "urban cities like NY, SF, or London sucking in all the best and brightest from rural areas". Translated = deep blue cities are are intellectually superior to the rural red = Trump voters.
    • DS
      David S.
      28 November 2018 @ 22:02
      I agree the best and the brightest is not accurate. Urban cities attract all types, especially ones who are not happy with their current prospects. DLS
  • BY
    Bowie Y.
    28 November 2018 @ 13:51
    I enjoyed the exchange. Always great to have people from different end of the spectrum to discuss about different stuff in the world. I can see a lot of your customer do not like this video, but I do think it's a great variation on the existing program. Hopefully realvision does not end up being an echo chamber like MSM or Zerohedge.
    • DT
      Delvix T.
      28 November 2018 @ 14:02
      I agree that it is very important (and a real added value) that Realvision does not end being an echo chamber... Intelligent and dissenting discourse is generally a big plus at the end of the day.
  • AC
    Andrew C.
    28 November 2018 @ 10:22
    When I see discussions like this, I recall It's Difficult to Make Predictions, Especially About the Future. These rambling predictions are directionless and next-to-useless
  • SF
    Simon F.
    28 November 2018 @ 08:20
    The best of RV gives us clear views expressed coherently and with enough time to see whether they stand up to scrutiny. This is what the mainstream media doesn’t or can’t do. It is a truly valuable and important contribution to a world of noise, sound bite, and hidden agendas. Sadly, this was an incoherent ramble that never got further than repeating various snippets of tenuously connected “common knowledge”. I think part of the problem is the piece was too ambitious in conception but too sloppy in its execution. It didn’t help that the participants didn’t display a capacity to incisively mine the topics. The best of RV is when we see someone who really makes us sit bolt upright and pay attention as they pull together threads that we have struggled to do ourselves. The best part is that RV pull this off so often! Finally, the really great part is that RV isn’t scared to push the boundaries and always uses the learnings to continually iterate. This makes RV a genuinely powerful force for our futures.
    • my
      markettaker y.
      17 December 2018 @ 02:22
      You said it perfectly. @Milton, please highlight this comment!
  • MW
    Myron W.
    28 November 2018 @ 03:09
    Well, you can't win them all. This is the first RV production that I've ever felt was a waste of time. And it's not that I disagree - I love thoughtful provocation. It's that they seemed unprepared. (I know, because they sound like me BS-ing my way through a few college classes back in the day.) A couple examples: * They kept falling back on the "Tribe" buzzword, leading to PA talking about us all being a global tribe - without realizing the oxymoronic nature of the statement. If it's global... it's not a tribe! * EG invokes Ricardo to rebuff Trump, but forgets Ricardo when talking about AI and automation - superficial mention of truck drivers out of work with no explanation of why comparative advantage will not apply. * I apologize if I'm wrong about this, but based on their caricature of rural folks, I'm guessing they are all city boys. * Capping it all off was PA stretching a really bad overview of teen lit to make a predetermined point, and DS stumbling through a closing, determined to say "hopeful." Obviously there have been several episodes on China recently, and I appreciate the attempt to bring some more perspectives. It was just poorly executed.
  • VS
    Victor S. | Contributor
    27 November 2018 @ 23:34
    Bryan C’s comments are exactly correct ! Ditto x’s 10 ... these are the the dumbest “smart” men i have ever witnessed.
  • VS
    Victor S. | Contributor
    27 November 2018 @ 23:34
    Bryan C’s comments are exactly correct ! Ditto x’s 10 ... these are the the dumbest “smart” men i have ever witnessed.
  • BC
    Bryan C.
    27 November 2018 @ 22:20
    I usually like the exchange. But this episode was the least intellectually rigorous program I think I’ve seen on Real Vision thus far. There was no consistent theme. And it sounded like a bunch of liberal mobile list personal opinions not backed up by any consistent research or reason.
  • DS
    David S.
    27 November 2018 @ 21:33
    It is interesting that there is hope with the millennial generation when we have already tied their hands and feet behind their backs with the debt super cycle all over the world. Some of the millennial will get a pass with their inheritances, if they can hang on to them. DLS
  • DS
    David S.
    27 November 2018 @ 21:26
    I enjoyed and voted for all the previous Dee Smith interviews. I gave a thumbs down on this one. All lines of inquiry fell short of any development. Even a cubist painter could not make a composition. It might have been better to choose one topic and flesh it. A simple example is inferring why are Americans fearful with such a low level of unemployment. If the scholars would speak to workers, they would see the fear is founded in low paying jobs vis-a-vis the last fifty years. In addition, the question of the risk for them and their children not having even low-paying jobs in the future. The effects of the internet, globalization and robots could then show why this angst exists. How these trends can be mitigated both in corporations and governments. What can be done and what is beyond the control of corporations and/or governments. What individuals can do like start gardening. During the war victory gardens were promoted. This may seem a long way from why Boeing needs to be international, but it will make major changes in stock markets all over the world. DLS
  • PW
    Phil W.
    27 November 2018 @ 20:23
    1984 or until the pitch forks come out! Overall good vid
  • MM
    Mike M.
    27 November 2018 @ 19:54
    Nothing of the sort, luck? Sophistry. What you would expect to hear from academia.
    • DS
      David S.
      28 November 2018 @ 22:23
      I expect a great deal from academia and from the Exchange. I always look forward to Dee Smith's interviews. Let's not give a final semester grade on one paper. The next one will be better. DLS
  • TE
    Tito E.
    27 November 2018 @ 19:02
    Some smart chaps pontificating on the very big picture. I learned something. Not a waste of my time at all.
    • PU
      Peter U.
      27 November 2018 @ 19:59
      Well, we all start from a different place . . .
    • TE
      Tito E.
      1 December 2018 @ 12:01
      A little humility goes a long way
  • AB
    AJ B.
    27 November 2018 @ 18:42
    The "Lucky" country. THESE ARE THE PEOPLE TEACHING IN U.S. UNIVERSITIES. We aren't lucky buddy. You make your own "luck".
  • DV
    David V.
    27 November 2018 @ 17:08
    Time to nitpick. As a lifelong professional in the food and beverage industry, I have to call you out on the food displays used in The Exchange episodes. The food is always visually attractive and I imagine it's put together to feed the entire crew. Three "normal" people would consume less than 10% of those two platters, and this seems to be the standard based on previous episodes. It's essentially the same as setting two huge cheesecakes on the table. It's not a big deal...but it does look ridiculous. The solution is simple, just rearrange the food on smaller platters, or skip the food and use a fresh flower arrangement. All that said, two cheesecakes on pedestal stands in a future episode is actually something I'd love to see.
  • SS
    Steve S.
    27 November 2018 @ 13:14
    Genuinely disappointed with this as I am with the ones Dee has been involved in as I find them too political & general. Hope it was just a blip. The best exchange I have watched is with Tony Greer, Tommy Thornton & Dave Floyd along with Raoul Pal and Julien Brigden and of course Grant Williams, Simon and Dan Oliver. Those were amazing and actionable.
  • av
    aleksandar v.
    27 November 2018 @ 12:53
    in short, i would like my 20 min back (this time, i just couldn’t watch it in full). while i learned a lot from the “world on the brink” series which truly made me think and i watched it repeatedely, i also suffered from the continuous underlying tone and high moral ground from western experts, who just don’t seem to be capable of moving away from seeing a black/light gray = east/west = all bad/much less bad world. it is just so overwhelming to see those volks believing that they have everone and everything figured out. the same repeats in “the exchange” series. i just don’t want to watch any more academics or whatever they believe they are naming anybody “reptilian brain”, be it trump, putin , or zi.... , suggesting that they know what all those gents are thinking and that they know their intentions. that kind of guests are plentiful in bloomberg, cnn.... sorry rv, i really believe that. i suggest to continue topics/interviews/documentaries covered by dee, but perhaps not covered BY dee. maybe the interviewer/interviewees should be younger, maybe not. but i would surely appreciate volks with a much more fresh world view, starting from a clean slate in terms of history, politics, policies, who are more willing to listen and observe (without reaching conclusions and verdicts), rather than pass down old thoughts and frustrations.
    • DS
      David S.
      27 November 2018 @ 22:53
      I am looking forward to future interviews with Mr. Smith as I have learned a great deal from him. They just need to be more insightful and focused as I have mentioned in other comments. I really became tired of all the academic tropes being tossed around and agreed to without thought or discussion. Metaphors and analogies are starting points not just a reason for a nod of approval each time someone says Thucydides trap. This is academia at its worst. As Derrida showed us the meaning of a trope slips away even before it is uttered. DLS
  • av
    aleksandar v.
    27 November 2018 @ 12:53
    in short, i would like my 20 min back (this time, i just couldn’t watch it in full). while i learned a lot from the “world on the brink” series which truly made me think and i watched it repeatedely, i also suffered from the continuous underlying tone and high moral ground from western experts, who just don’t seem to be capable of moving away from seeing a black/light gray = east/west = all bad/much less bad world. it is just so overwhelming to see those volks believing that they have everone and everything figured out. the same repeats in “the exchange” series. i just don’t want to watch any more academics or whatever they believe they are naming anybody “reptilian brain”, be it trump, putin , or zi.... , suggesting that they know what all those gents are thinking and that they know their intentions. that kind of guests are plentiful in bloomberg, cnn.... sorry rv, i really believe that. i suggest to continue topics/interviews/documentaries covered by dee, but perhaps not covered BY dee. maybe the interviewer/interviewees should be younger, maybe not. but i would surely appreciate volks with a much more fresh world view, starting from a clean slate in terms of history, politics, policies, who are more willing to listen and observe (without reaching conclusions and verdicts), rather than pass down old thoughts and frustrations.
  • PU
    Peter U.
    27 November 2018 @ 11:16
    in short, I would like my 32 minutes back.
    • RP
      Raoul P. | Founder
      27 November 2018 @ 11:20
      Out of genuine interest, for what reason? I didn't agree with a lot of this piece but it was thought provoking, which is what Im after with The Exchange series.
    • PU
      Peter U.
      27 November 2018 @ 11:42
      The conversation was steeped in verbiage that detracted from the salient points under discussion, which is a classic trap from consultants and academicians. The salient points are already known and the conversation, imo, did not further either the understanding or the implications of such issues. It seemed like more energy and thought was put into how the discussion was going to be expressed while sacrificing the potential depth and analysis of the discussion points. In short, nobody had much to add to what is already known. If I offended anybody, I apologize. I have high expectations from Dee and RV, as both deliver the goods most of the time.
    • CC
      Christopher C.
      27 November 2018 @ 17:37
      I see your point Peter in regards to the salient points being already "known" by some folks. Personally I thought the video put on fine display, “The best and brightest” of the good and the great’s hive dwellers thoughts. That being said I sure wish my backward’s thinking, misanthropic, deplorable, potato, soybean, and wheat farming cousin would have been invited to have a seat at the table. In the true and ancient spirit of Greek democracy and all. As you would expect, if you drove west on state highway 82 and looked North after passing the sprawling metropolis of Nelson, Minnesota (Population 191) you would see the word “TRUMP” emblazoned on my cousin’s barn in 14 foot tall, red letters. Perhaps less predictably, on the built in bookcase next to the small but neatly kept farmhouse’s fireplace, among others, you would find thumb worn copies of Solzhenitsyn’s “The Gulag Archipelago”, Friedman's “The World is flat”, Jaynes’ “The Origin of Consciousness in the Breakdown of the Bicameral Mind”, and perhaps a printed white paper or ten on such wide ranging topics as gauge theory electromagnetic duality, which seems to call into question the idea of Bohr’s valence electron model still being taught in the world’s finest erudite global hive universities. Don’t know if those fellas way up high in their ivory towers built on the bullshit foundations of mathematically tortured formulas that spit out chained CPI and the U3 unemployment number could hear him, but he might ask, “Gentlemen you say unemployment is low, but I’ve been following this fella John Williams, over at shadowstats for a while now, and he says U3 ain’t the right way to measure unemployment.” He might also indelicately ask if it was true that it was a bunch of fellas from the US Treasury paid (All proper and such with research grants for the tenured (bribes by another name?)) some fellow hive dwelling senior economists at Harvard and Yale to publish some studies with the preordained conclusion that chained CPI was an honest way to look at inflation. Or whether the outcome of that study was gerrymandered to lower outflows from the debt broke national treasury as a way to stem the flow of red ink that is resulting in the beginning of what is surely going to be the first of many broken promises in regards to unmet social contract obligations. He might also ask those fellas what they thought of the finer points and predictions Sir James Goldsmith made in his 1994 interview with Charlie Rose in regards to the foreseeable national and global macro effects of international corporations stealing local labor’s share of the value add proposition by offshoring production in search of increased shareholder value. Why they laughed at the man way back then, and what they have to say for themselves 24 years on, when every single one of Sir Goldsmith’s predictions have come true. My Tolstoy reading farmer cousin, he ain’t the brightest. Can’t be given these fine gentlemen are convinced the best and brightest flock to the skinny jean wearing, patriarchal hating global hives. But he knows the difference between the apocryphal and (un)common sense. He’ll say the darndest things, like its real hard to get a man to see things his salary depends on him not seeing. And if you try to cheat a farm like those New York Bankers and rating agencies cheated investors with CDO’s filled with tranches of liar’s loans filled mortgages, you’ll damn sure starve come winter time. And if winter does come, not that cheating a farm could be anything metaphorically like cheating a country’s treasury or financial system, (those fine fellas in the video will tell you it just ain’t so), my dumb country bumpkin farming cousin will have a cellar full of dry aged beef, more than few cans of ammo and iron to shoot it with, and a goodly stock of dry firewood covering up a healthy pile of useless pet rocks. Ignorant Trump voters. What do they know anyway.
    • PU
      Peter U.
      27 November 2018 @ 19:51
      Wow . . . Christopher C. that is pure poetry! Well done! To add to the truth is to subtract from it!
    • SS
      Steven S.
      27 November 2018 @ 21:24
      https://www.theglobalist.com/contributors/edward-goldberg/ - this bio explains A LOT.....
    • SS
      Steven S.
      27 November 2018 @ 21:59
      Hey Raoul -Out of genuine interest, any comments on this developing story maybe an RV followup is in order ----> may I suggest with Martin Armstrong? ----->> https://www.youtube.com/watch?v=MI8eVe8fTAA ...............................................................................................................................................................................................Now that would be an /👁️\ eye /👁️\ opening rebuttal to RV's original pulpit piece on the topic !
    • DS
      David S.
      27 November 2018 @ 23:42
      Christopher C. – Two thumbs up on your comment. Maybe the pro-Trump and anti-Trump supporters can find a great middle ground in your response of 11/27/18 founded on mutual respect. (Of course there would be a lot less wealthy journalist on both sides.) One thing that would improve the country's future is common sense. I had a professor who said the that this world is a little strange where common sense passes for genius. Academia is just as much self-interested and tribal as anyone else. There is rarely any high moral ground anymore. In the best days of our Republic we benefited from the middle left working with the middle right to compromise and govern. It is the bifurcation of the far-right and the far-left that makes the Republic ungovernable. I am envious of your writing style. Is it possible that you hail from a little town on the Mississippi named Hannibal? DLS
    • sm
      stephane m.
      29 November 2018 @ 23:51
      Way to go Steven S.!1 I hope RV will wake up someday with their Browder interview... One day, this guy will have what he deserves
    • WM
      Will M.
      27 December 2018 @ 18:23
      Great response from Christopher and Armstrong seems to have the facts on Browder. RV should revisit his bullshit article and ask some deeper questions.