It might be a strange title, but we need to look at the Netherlands in the Golden Age.

The Netherlands was the most powerful state, had the most powerful navy, held the world currency, and Amsterdam was the center of the world. The Netherlands was where new technological developments took place.

Everyone with talent came to the Netherlands.

But 50 years later, the situation was completely different. That's where the US is now.

Manufacturing goods became too expensive in the Netherlands. Workers were paid well, and that made products expensive. The navy was large and powerful, but expensive. There was plenty of money, but all that money was looking for a return. There was profit to be made in England, just as the US saw that there was profit to be made in China. The Netherlands financed its future enemy with capital that couldn't generate sufficient returns in the Netherlands. Capital knows no flag or nationality. We see that in the US. Apple spent a lot of money educating the Chinese population. Meanwhile, in the US, virtually no money goes to schools anymore.

The Netherlands invested in the British version of our Dutch East India Company (VOC). After all, it generated higher returns because costs were lower there.

Even Warren Buffett invested in BYD, which is now bigger than Tesla.

Ultimately, the guilder was no longer the global currency. England had a large, modern navy, and it defeated the now outdated and obsolete Dutch navy. The Dutch generation that came after the working-class generation became lawyers or asset managers. Innovation in the Netherlands was lost because the next generation was well-off and wanted to provide services, not produce.

The shipyards went bankrupt in the Netherlands, while those in England flourished.

Look at the US. The shipyards are bankrupt, the car industry has moved to Canada and Mexico or is facing stiff competition from China. The global currency is under severe attack, and the American military leadership is practically unable to attract enough talented people. There's plenty of money in the US, but it's looking for returns elsewhere in the world.

The US is a declining global power. On the verge of losing its glory. It could still defeat Venezuela militarily, but that's about as far as it goes. It lacks the industrial strength to commit to a long war. It's on the verge of extinction.

Capital is either leaving or being invested in hard assets. US entrepreneurs are no longer investing domestically. Foreign investors are supposed to fill that void, but they're also pulling out because the US is fighting with everyone just to maintain its role as world leader. The beginning of the end has begun.


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