Key Moments

Game Theory #14: The Law of Proximity

Predictive HistoryPredictive History
People & Blogs4 min read51 min video
Mar 19, 2026|667,111 views|25,684|4,458
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TL;DR

Internal conflicts in US, Israel, Iran drive foreign policy and wars, leading to potential theocratic global shifts.

Key Insights

1

Internal divisions within nations (US, Israel, Iran) are the primary drivers of their foreign policy and international conflicts.

2

The 'Law of Proximity' dictates that individuals and nations prioritize and are most influenced by their most immediate, internal conflicts.

3

The US is experiencing a deep divide between the elite (Democrats, finance) and the counter-elite (MAGA, AI), leading to policy battles and potential civil unrest.

4

Israel is profoundly divided between Tel Aviv (secular, Western) and Jerusalem (theocratic, religious), with theocracy gaining influence fueled by the war.

5

Iran faces a conflict between secular nationalists and the Islamic theocracy, with theocracy likely to become more extreme, escalating the war.

6

The assassination of leaders is a consequence of internal factionalism, where groups provide intelligence to external enemies to weaken internal rivals.

7

The ongoing wars are accelerating a global trend towards theocracy, potentially leading to the decline of secular, democratic orders worldwide.

ESCALATION OF THE MIDDLE EASTERN CONFLICT

The current conflict in the Middle East has seen a significant escalation, with Israel bombing Iranian oil fields and Iran retaliating by targeting the energy infrastructure of GCC countries, specifically Qatar. The assassination of a key Iranian leader, Ali Larijani, by Israel is highlighted as a critical turning point, eliminating a pragmatic figure crucial for potential ceasefires. This move, along with Iranian attacks on Tel Aviv using advanced weaponry, indicates maximalist objectives on both sides, aiming for economic destruction and leadership decapitation.

THE LAW OF PROXIMITY AND INTERNAL STRUGGLES

Professor Jiang introduces the 'Law of Proximity,' positing that individuals and nations are primarily driven by their most immediate and internal conflicts. This concept explains why external wars often stem from or are exacerbated by domestic divisions. The lecture uses the analogy of playing multiple games simultaneously, where the game closest to the player (their internal struggles) dictates their behavior and decision-making, even within broader international conflicts.

AMERICAN INTERNAL DIVISIONS AND POLITICAL STRATEGIES

The United States is deeply divided, not just between Democrats and Republicans, but more profoundly between the 'elite' (Democrats, finance) and the 'counter-elite' (MAGA, AI). Both parties support the current war, but with different strategic calculations related to elections and power. Democrats see the war potentially damaging Republicans, while Republicans may leverage emergency powers or election manipulation tactics. This internal conflict over power and differing visions for America (global order vs. national interest) is a primary driver of US foreign policy.

ISRAELI SOCIETAL FRACTURES AND THE RISE OF THEOCRACY

Israel is presented as a highly fragmented society, exemplified by the stark division between Tel Aviv and Jerusalem. Tel Aviv represents a secular, democratic, and cosmopolitan vision, while Jerusalem embodies a theocratic, conservative, and religious outlook. The ongoing war, particularly attacks on Tel Aviv, is viewed by some in Jerusalem not with sorrow, but as a necessary step towards a divine vision for Israel, potentially signaling the Messiah's imminent arrival. This internal schism fuels extreme religious fervor and a drive towards theocracy.

IRANIAN DUAL IDENTITY AND ESCALATING RADICALISM

Iran operates with a dual identity, balancing religious clerical rule with secular national aspirations. The country is divided between the Islamic theocracy and secular nationalists, with ethnic tensions also present. The current war is expected to radicalize both factions: the theocracy will embrace Shia eschatology and martyrdom, viewing the conflict as a divine war, while secular nationalists may adopt Persian exceptionalism. The key question for Iran is whether these factions can reconcile or if internal conflict will lead to civil war, which would be catastrophic given external pressures.

THE MECHANICS OF LEADERSHIP ASSASSINATION

The assassination of leaders on both sides is attributed to these pervasive internal conflicts. It is argued that factions within a nation provide intelligence to external enemies as a means to eliminate internal rivals. While signal intelligence plays a role, human intelligence, facilitated by spies embedded within local networks, is considered more crucial. This internal betrayal mechanism explains how adversaries become so effective at targeting top leadership, ensuring no 'off-ramp' or easy de-escalation for the war.

THE GLOBAL SHIFT TOWARDS THEOCRACY

The professor suggests that the current global geopolitical landscape, driven by internal conflicts and wars, is trending towards a theocratic world order. This involves a potential abandonment of secular democratic principles in favor of religious governance. The secular financial global order is seen as competing against a rising tide of nationalist theocracies. Over the next decade, we may witness a significant shift where Iran becomes more theocratic and extreme, Israel continues its embrace of theocracy, and even the United States might move in a similar, albeit less pronounced, direction.

SUFFERING AS A CATALYST FOR SPIRITUAL REDEMPTION

Drawing parallels from religious texts like the story of Job, the lecture suggests that significant suffering and loss can act as a catalyst for spiritual awakening and redemption. For some religious factions, particularly in Jerusalem, the current destruction and war are seen as necessary conditions for the Jewish people to rediscover their faith and achieve spiritual unity. This perspective views material comfort and individualism as detrimental, advocating for a return to spirituality and community, which may be accelerated by economic hardship and global instability.

Navigating Internal Conflicts

Practical takeaways from this episode

Do This

Recognize that internal conflicts often drive external actions, particularly in international relations.
Understand that different groups within a nation have competing logics and strategies, even when facing an external threat.
Consider how 'elite overproduction' can breed infighting and instability within a society.
Be aware that the 'law of proximity' dictates that immediate, internal issues often take precedence over distant global ones.
When analyzing conflicts, look beyond geopolitical narratives to the underlying societal divisions.

Avoid This

Assume that a nation's actions are solely dictated by external geopolitical factors without considering internal strife.
Underestimate the role of internal conflicts in escalating or prolonging international wars.
Ignore the motivations of different factions within a country, as these can lead to surprising alliances or intelligence leaks.
Focus only on the 'leader' figure without understanding the internal power dynamics and rivalries that shape their decisions.
Dismiss the possibility of nationalistic or religious fervor driving extreme ideologies and actions.

Common Questions

Iran's strategy is to destroy the global economy by attacking the energy infrastructure of the GCC (Gulf Cooperation Council states) and potentially other critical choke points.

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