Iran Expands Exclusion Zone?

All right.

Before we get into the events themselves, I need to give you the framework.

Because without the framework, you're going to keep watching the news, and you're going to keep asking the wrong questions.

And if you're asking the wrong questions, it doesn't matter how much information you have.

You will never understand what is happening.

The wrong question is, who is winning? The right question is, who is controlling the cost? Okay? Those are not the same question.

In fact, and this is the whole point of today's lecture, those are opposite questions.

They point in completely different directions.

Let me explain what I mean.

I have talked before about what I call the law of escalation.

The core idea is very simple.

It is four words.

Control is more important than dominance.

Let that sit for a moment.

Dominance means you can hit harder than the other guy.

The United States military has dominance over Iran.

Full stop.

No contest.

The Americans have 11 carrier strike groups.

Iran has zero.

The Americans spend $850 billion a year on defense.

Iran spends about 10 billion.

That's a ratio of 85 to 1.

In a straight symmetrical fight, a fair fight, Iran gets obliterated.

Everybody knows this.