Aug 22, 2020
The current global economic system is based on the hyperglobalism and selective capitalism that has evolved from Adam Smith’s classic emancipatory capitalism into selective globalism that is supported by the IMF, the World Bank, and WTO and is dominated by the neo-imperial elite. This neo-imperial elite that is less than 1% of the global population owns most of the global economy and orchestrates sinister designs to dominate global politics, mold social values, and control the economic system. This elite creates recessions, initiates wars, fund global conflicts, and coordinates revolutions across the globe. On several occasions, this elite seems to defy each other but this is just a phantasm to cheat the world, it works in a close-knitted global network that secures their interests and helps them to scratch each other’s back. They have dexterously exploited the COVID-19 global pandemic lockdowns to oppress the small businesses that have limited resources and cannot endure the shockwaves of indefinite lockdown. The 2 trillion US Federal Bailout signed by President Trump, is the largest in the US history, yet small business owners who were supposed to get the lion’s share are exempted in the first round of disbursement. (Diaz 2020) This research is the out-and-out analysis of the contemporary global economic structure; how it works; who are its key players; and how this financial system has damaged the planet and its inhabitants. Moreover, this document critically analyzes the damage that has already been done and proposes a solution that may replace the current financial malpractices. It may also bring transparency, equality, and equal opportunities for small businesses against multinational giants and thus establish freedom, justice, and equality at the workplace.
COVID-19 and the Upcoming Economic Model
Gradually, conventional war and its artillery are being replaced by psychological media warfare, and this time its artillery is COVID-19. It is impossible to believe that all this noise in the news is true because everyone knows that news produced by media companies is controlled by central banks and pharmaceutical companies. Our common-sense questions that how could a virus travel around the world and hit hard all countries without affecting the two biggest cities besides Wuhan, Beijing, and Shanghai? The Chinese government did not close the country on the first day of the virus’s discovery. If this virus is as dangerous and contagious as the media keeps telling us, then why has it not spread to all the regions of China, especially when China has the fastest and transportation networks in the world. Every day, this virus kills thousands of people around the world! This is nothing new, influenza viruses have been doing this for very long.
The lockdowns are directly in the interest of the global elite because since 2009 global economy is contracting and the fiat financial system is doomed to fail sooner or later. The current lockdown situation would create a global food crisis, governments would have no option but to resort to blame-game for governance failure, for example, America is blaming China for the spread of the virus and China is doing exactly the opposite. A recent report presented to Chinese President Xi Jinping reveals that anti-China sentiments have risen to an unprecedented scale and have never been this high since the Tiananmen Square Massacre of 1989. The report has anticipated that this could lead China to an armed conflict with America. So the war is the only escape but as both superpowers have developed enormous military bases across the globe, the war would be the deadliest war of human history with the possibility of nuclear carnage that would surely endanger the prime interests of the global elite. So they would not let countries resort to violence instead they would psychologically motivate the global leadership to introduce the new economic model that would give them unprecedented power. The economic model would be followed by the number of legislations across the globe that would force every citizen to be vaccinated at gunpoint. This fifth-generation cutting-edge nanotechnology might bring Nano-chips with them that would have the two-way communication and might give colossal control over human lives. It might transmit our life information, what we like, what we don’t like, what we want, and what we don’t want. Ghost servers placed overseas may record all this information and sell it to multinational companies that unleash directed ads and products in our lives, limited our ability to think, decide, progress, and enjoy the natural freedom. So, it can be said that this virus is considered as “Joha’s Nail” and carries out the currently required duty.
The global elite is 1% of the world’s population and owns 99% of central banks and shares of global stock exchanges, which qualifies them to own different kinds of companies. For example, they own large shares in the Military-Industrial Complex corporations, Pharmaceutical Industrial Complex corporations in all its aspects, especially the vaccines sector. Besides, they own a lot of shares in Google, Facebook, Twitter, YouTube, Instagram, CNN, MSNBC plus all news channels that are censoring dissent, independent research, and new information on COVID-19. Moreover, this elite owns the technology companies including up-to-date communication nanotechnology that would be operated through 5G technology.
The Unprecedented Scam
This neo-imperial elite has extended its long tentacles to every corner of the world, they have established a neo-feudal global empire where a few controls the global production, labor, and trade. This pandemic lockdown is an opportunity to critically analyze and smash this brutal capitalism that has environed our lives, for example, we can present a novel global economic model that could help the running of the global economy in a more inclusive and egalitarian fashion. Humans have not been moved by fancy dialectic arguments and speeches but have always learned from major disasters, for example, the World Wars, the Great Depression, and the Black Death.
The global elite class that includes Chinese and the western investors who own banks, global business, and the stock market, are the ones who committed the crime and the deceit of “COVID-19”, simply because all of their interests have become so intertwined. Think for a while, China discovered the COVID-19 in December 2019. The imposed countrywide lockdown throughout the first three months of 2020, they had around a hundred thousand COVID-19 patients, why CIA and NSA did not convince the Trump administration that they should impose immediate lockdown in New York, the house of Wall Street parasites? Because they did not let it happen, they simply did not allow the lockdown. This is one of the critical decisions that should have been taken beforehand that could have saved hundreds of thousands of civilians. Should not this utter negligence and mismanagement be investigated? Should not the responsible people be brought to justice? It was allowed to increase numbers that would psychologically convince the American public that the new financial measures were necessary and inevitable against the COVID-19 global pandemic that allegedly had destroyed the whole global economy. This is the masterplan of the upcoming sinister global order.
Let’s discuss here a very unusual incident to support our argument. Tanzanian President John Magufuli, having a university master’s degree in chemistry, doubted the testing process and imported kits when positive cases rose from a few hundred to several thousand within a few days. To check the credibility of the testing process and kits, he deliberately sent some animal blood samples to the biggest and most credible lab of the country without exposing the origin of the samples. The results were astonishing, all animals were COVID-19 positive, he ordered the army to confiscate all testing kits and exposed the scam on global media but mainstream media ignored this big scam that was desired to increase the numbers of the patients to psychologically choke the global community. (Al-Jazeera 2020) If this is true for one country then this can be true for the whole world as there are a few service providers who export medical equipment and testing kits, mostly based in China and the United States of America. It is worth noting that the tool and the front end of this crime are the so-called “World Health Organization” hence the event is given a formal and legal character. The activities of this organization and its direct or indirect funding must be investigated. All this noise and hysteria underlying this virus is essentially psychological warfare for an economic purpose whose aims are: A) Exploit the rest of the real economy in the hands of small stakeholders, b) Exploit the remaining livelihoods of people like farmers, c) and the most important is to restart their criminal usurious financial system for the benefit of global feudalism that hasn’t been seen in the history of mankind.
The Building of the Neo-Imperial Global Empire
After the end of the Thirty Years’ War in Europe, the Peace of Westphalia was signed in 1648 that gave birth to the modern nation-states, most of the economy at the time was based on agrarian feudalism and state-sponsored mercantile enterprises. After the imperial onslaught and conquering of the new worlds in the Americas and Australia, the global economy shifted from feudalism to imperial capitalism that gave birth to the new middle-class bourgeoisie who emerged as major entrepreneurs. This era was characterized by a free global economy that had little or no trading barriers, this gave birth to a new elite who relied on global trade. (Heywood 2011, 29-32) In the second half of the eighteenth century the concept of perpetual peace forwarded by German philosopher Emmanuel Kant, the free market economy, and the classic capitalism proposed by David Ricardo and the Scottish economist Adam Smith, revolutionized the global politics and trade.
The late 18th century was characterized by the American and French Revolutions which gave birth to the modern world which had core human values of freedom, justice, and equality. The nineteenth century was overwhelmed by imperial conflicts so the national borders and trade routes were ever-changing and dynamic. The socialist creed which has been evolving throughout the 17th and 18th century took the concrete form when Karl Marx wrote Communist Manifesto followed by his Das Kapital, he proposed the concept of division of labor and alienation of production. (Skidelsky 2016, 28-34) He urged the workers of the world to unite against persecution because they had nothing to lose but their chains, this initiated the global age of communism. The early 20th century saw massive imperial wars like the Opium Wars, Sino-Japanese conflict, Balkan Wars, and the imperial enterprises of Italy in northwestern Africa. But the initiation of World War I shocked everyone which unleashed the unimagined havoc on humankind, the end of this conflict was supposed to end all future global conflicts but the controversial and humiliating Versailles Treaty not only sowed the seed for the future conflicts but also sealed the human fate for another fifty years. Communism emerged as a force to be reckoned with in the USSR under the leadership of Vladimir Lenin in 1917. President Woodrow Wilson urged his European colleagues to follow the fancy ideals of freedom, justice, and equality but failed to convince his Congress to join the League of Nations. The Great Depression (1929) which was initiated on the Black Tuesday, when millions of shares changed hands in a single day, destroyed the whole global economy and plunged humankind throughout the 1930s.
The So-Called Modern Free Market Economy
President Roosevelt introduced his New Deal (1933-1939) in 1933 which was supposed to bail out small businesses by giving them the loans at lower interest rates, the New Deal increased the government spending by manifolds. This so-called New Deal was a major blow to small businesses as it strengthened and equipped big Wall Street sharks, it further laid the foundation of the military-industrial complex in the United States.
World War II (1939-1945) was another dreadful event of human history that inspired the establishment of the United Nations in October 1945. The UN, IMF, and the World were supposed to keep a balance but they failed against the ruthless onslaught of neo-feudalism, these institutions often served as handmaiden of these new feudal lords who aspired to overshadow the whole world. The post-war era was characterized by capital-communist tussle which preoccupied the western economic lords who started a new cold war that aimed to defeat communism. After the fall of the Berlin Wall and collapse of the Soviet Union in the 1990s, the World Trade Organization along with major economic groups like the G7 and G20 established a new imperial empire or the new world order which serves the interest of its brutal neo-feudal masters. President Eisenhower and President Kennedy warned us about the sinister designs of the military-industrial complex and secret societies who were planning to enslave the whole capitalist economy. This is now an open secret that a neo-feudal club of elite rules the globe, this global elite destabilize countries, wage wars, and fuel conflicts to secure their interests. (Chomsky 2017)
Making of the Modern Kings
This neo-feudal onslaught of brutal capitalism that has swallowed several million people and destroyed almost half of the globe’s resources is unstoppable. The annual GDP of several multinational corporations surpasses the total GDP of many developing countries, for example, Apple, Microsoft, and Walmart have earned more than half of the world’s developing countries’ annual GDP. (Fernando Belinchon 2018) Global leaders need to act to narrow the gap between the haves and have nots, they should urge the global institutions and enterprises to follow balanced trade policy. They should renew the trade agreements that facilitate the small businesses and force the global elite to play by the rules and follow international standards. Multinational companies are mostly owned by Wall Street tycoons who invest in developing countries with loose regulation to huge capital by damaging the environment that in return causes colossal climate change that respects no boundaries. The influential banking system and global politics are designed to secure better fiefs for themselves. The United Nations report indicates that globalization, led by neo-feudal elite and imperial multinational companies, is not working for most of the planet. World’s 20% rich people enjoy 86% of world resources and create 85% of world pollution while the rest 80% have only 14% of the world’s resources and contribute only 15% in global pollution. The social security and welfare policies of developing countries are molded by the IMF and the World Bank that put the working class at great risk. (Collins 2015)
Wall Street Parasites
The prominent political philosopher Noam Chomsky in his book “Who Rules the World” critically examined and explained that who pulls the string from behind the curtain and rules the world through politicians. He says that the Wall Street parasites are the real culprits who own everything we have and everything we can have. (Chomsky 2017) As Noam Chomsky puts it, they have enormous resources and colossal political power at their disposal, there is nothing they cannot achieve; they control world media, banking system, financial transactions, military, and trade agreements. They can wage wars, destroy nations, and create new realities, in short, they have godly powers and they use them to achieve their goals.
The Evil of the Worn
The investment bankers and our new kings are the masters of money represented by private banks and their tyrannical companies in the stock exchange. They are mysterious people who have no identity or homeland, and most of the temptations of the land and its wars are funded by them. Disorganized and divided, we cannot stand up to such an evil, unless we introduce a system that administrates by justice and equality for all humanity, especially in the workplace. The perpetual solution, again, is democracy in the workplace.
“The first thing you need to know about Goldman Sachs is that it’s everywhere. The world’s most powerful investment bank is a great vampire squid wrapped around the face of humanity, relentlessly jamming its blood funnel into anything that smells like money.” Matt Taibbi (Award-winning investigative journalist)
You are a den of vipers. I intend to rout you out and by the Eternal God I will rout you out. If the people only understood the rank injustice of our money and banking system, there would be a revolution before morning. – Andrew Jackson
The Assessment of the Damage Done
The laissez-faire of capitalism was supposed to encourage free trade while the developed countries have placed the number of restrictive taxes that paralyze the so-called free economy. The global economy is delightful for investors and managers but it is increasing the gap between the rich and the poor. It steals away millions of jobs from developing countries, for example, America lost 3 million jobs and billions of dollars to the economy because of global trade. The workers in the developing countries work in substandard conditions with no proper tools and safety measures, they are under constant fear of losing their job as they have no job security. Workers fail to make living in developing and developed countries while the managers, investors, and CEOs have unrestrained power and boundless money to control everything. (Saval 2017) They have no regard for environmental degradation, for example, Europe has banned coal production but China and India have live coal mines and coal power plants so they provide the cheaper power supply.
Gear up for the Great Economic Disaster
Before World War I, the American currency was supported by the gold standard, every one dollar note was a receipt for the same amount of gold that could be exchanged in the bank any moment you want. Then, World War I started on July 28, 1914, and the US Congress passed the Federal Reserve Act of 1913 that allowed the debasement of the US currency. Now, every 50 dollars currency note was backed by 20 dollars worth of gold that was almost 40% of the original value. In 1939, Hitler annexed Czechoslovakia then few months later Austria, and finally, in September 1939, he ordered to conquer Poland that initiated World War II. During the war, America, except minor skirmishes, was not practically into the Great War until the Operation Torch of conquering French Africa in November 1942, eleven months after the Pearl Harbor Attack. During the unbiasedness period, America sold goods and services to European powers and acquired gold in exchange that devastated the global economic balance and now the gold standard or gold transactions were not viable anymore. At the end of the war, a new monetary system was introduced which is called the Bretton Wood model. This model allowed all Fiat currencies of the world except a few to balance against the US dollar currency while US 35 dollar claim bill was balanced by 1-ounce gold, this gave economic confidence and stability and pegged all currencies against US dollar and US dollar against gold and currency exchange rates were fixed that resulted into US economic boom. Then the US started relentless printing of US dollars without any fixed gold ratio, French President Charles de Gaulle sensed it and he asked America to trade in gold against dollar. He sent dollars to the US and bought back his gold, other countries followed the French model and within a couple of years, America lost 50% of its gold reserves. Knowing that gold standard could not be maintained and could turn into a global economic disaster, President Nixon in August 1971 was forced to introduce a new economic model that converted all global currencies into fiat currency.
Every thirty to forty years the world had an entirely new monetary system, there was the classical gold standard before World War, one the Gold Exchange standard between the wars, the Bretton Woods system from World War two to 1971, and the global dollar standard from 1971 until today. The reason, there have been so many monetary systems, is that they are all man-made and not a product of the free market because they cannot possibly account for all of the forces in the free market, they build up imbalances and pressure develops stress cracks and then implode. The financialization of the US government before 2000, if we had a recession and the stock market fell, tax revenues would just fall a tiny percentage or just go flat. But since the year 2000 federal tax revenues rise and fall with the stock markets. In 2008, the stock market crashed by more than 50% and federal tax revenues fell by 28%, this means that from now on because of the crushing debt and future obligations the Federal Reserve and the government must come to the rescue of Wall Street every time there is a stock market crash or risk of their demise. Since 1971, every fiat currency is losing its purchase power and value.
Remember that in order to levitate the stock markets from the crash of 08, it took a 400% increase in base currency. Each time they do this, their power is diminished, so the next time we suffer a downturn they aren’t going to get the same economic pop from creating another 3.2 trillion. In the next crash, it will probably take a similar percentage increase or more but this time instead of starting from a base of 0.8 trillion, we’re starting from a base of four trillion a 400% increase would mean the creation of 16 trillion, which would bring the total monetary base to 20 trillion. The problem is that according to the Federal Reserve M2 currently stands at 11.8 trillion, it’s now about 15.8 trillion. So the next time the stock market crashes, to save the government the Federal Reserve may have to create more currency than currently exists and that is the hyperinflationary end to our economic roller-coaster ride. When a wealth transfer of such scale is perpetrated by the Central Bank, the governments, and the financial sector to enrich themselves it’s nothing but the legalized theft.
History in the Making
Throughout history none of the fiat currency could sustain whether it was Athenian, Roman, Chinese, or Indian, there has been 0% success in this regard. All western currencies whether it is US dollar, British pound, or Euro of European Union have been losing their purchase power, the global economic system has already reached on the verge of collapse and we can anticipate a new global economic system right after the COVID-19 pandemic. So we should be physically and mentally prepared to contribute our share to the new global economic model that should reflect the true democratic values with increased liberty and democracy at our workplaces. And we should think for a while that why this upcoming global economic model cannot be a cooperative model that may work for the wellbeing of the working class, which is the greatest global producer. This COVID-19 disaster is an opportunity to critically examine and reject the brutal global economy where a few have everything while the rest of the humankind have nothing. We can utilize this quarantine time to innovate some groundbreaking economic model, just like Karl Marx did in the 1840s, but this time we would not foolishly pursue the fancy ideas of communism or socialism because we know that both did not work in the recent past. We aspire to create a cooperative capital global economy that is based on true freedom, justice, and equality at the workplace.
What do We Need to do to stop this Economic Carnage?
History teaches us that absolute power corrupts absolutely that is why the old imperial system failed that was followed by freedom, justice, and equality secured through the American Revolution (1776) and the French Revolution (1789). We need to re-establish our economy, workplace, and social structure on the golden principles of freedom, justice, and equality. In the following passages, we would try to examine how we can renovate and rebuild this world on these principles.
Pillars of Justice
The architects of the new modern world envisioned building it on the principles of social justice, equality, and democracy but unfortunately, these core values have not been secured at the workplace yet. American politics is reverberated by the slogans of justice, equality, and liberty but the American neo-feudal lords and king CEOs have absolute power and resources to control anything they want, they do not allow workers to enjoy these values at their workplace where they spent most of their lifetime. We need to establish these core humane values at the workplace and secure democratic rights, freedom, and equality for workers at workplaces. Workers should have the liberty to choose their profession, they should be treated with the utmost respect and their voices should be considered in the policy making process.
Establishing Parallel Public Banking System
We don’t need to fear this mighty brutal elite because we have a solution to curtail their influence. We need to introduce a new economic global system that is similar to the World Wide Web, which should not be controlled by one country or one institution. We need to build a network of broad-based public banks that should not be controlled by any company or group. They should operate on egalitarian principles and should secure the rights of workers. This would require unprecedented political will and courage to fundamentally reform the global economic system. Currently, the stock exchange shareholder financing mechanism and the private banking sector fund the corporations. This mechanism must be replaced by public banks owned by worker cooperatives that should serve the interests of the workers. The current economic system, with its private banking, is serving only the crooks of Wall Street.
The Free and Healthy Markets
It is believed that capitalism and the free market are controlling the global economy. Capitalism, as we know it, has been gone for decades; it is now a sham, and the reality is we have a controlled market that is monopolized by stock exchange corporations. Small businesses that represent healthy capitalism and a healthy free market are swallowed up by the Wall Street sharks, simply due to the lack of freedom and democracy in the workplace. Workers wouldn’t accept selling their company to the stock exchange if it was subject to their vote. The only work that can survive the Wall Street parasites is Workers’ Cooperative Corporations since they are funded by public banks rather than private banks. In Spain and Italy, Workers’ Cooperatives built their public banks to serve their workers. It is worth noting that the CEO’s cannot earn higher than seven times the salary of an average worker. Such environments won’t allow the forming of brutal capitalism to exploit humanity and nature. This is possible only if we have justice, freedom, equality, and democracy at our workplaces.
True Pulse of Power
It’s worth noting that this cooperative structure is not traditional socialism and certainly it is not communism. There is not a single company or institution in the communist or the socialist countries that regard freedom and democracy at the workplace. It’s quite the opposite. The communist and socialist regimes have strict laws for workers and they have developed sophisticated enslaving mechanisms. There is no difference between brutal capitalism and brutal communism, they secure the interests of the same brutal elite. Until we establish democracy in the workplace, we would not be able to secure economic prosperity for our working class.
We highly recommend that you research Dr. Richard Wolff’s Democracy at Work. Dr. Wolff believes in the Workers’ cooperatives principles and free-market economy run by demand and supply. Dr. Wolff’s best example of Workers’ cooperatives is Mondragon, a Spanish multinational workers’ cooperative federation which was founded in 1956 by Jose Maria Arizmendiarrieta, this unique organization has more than 100,000 workers. Mondragon Corporation is a broad-based worker’s cooperative federation that directly serves its workers who have a prime share in its policy making and profit. It is one of the most efficient and first of its kind cooperation which has set new standards for worker’s cooperative economy. It’s the largest and most successful Workers’ cooperative in the world! It’s a great example of Freedom and Democracy in the workplace.
Making of Hearty Nations and Healthy Humans
If we could achieve freedom, justice, and equality at the workplace then we can develop a broad cooperative global economic system that would benefit the poor working class, which constitutes the major part of the world population. As everything grows out of the economy, the cooperative economy would lead to a healthy social organization and will reduce the tussle between the haves and have nots. The working class would not be enslaved by the private banks and corporations, they would be masters of their destiny.
Breakdown and Transform
If we carefully examine the big economies of the world, for example, the US economy, the European Economy, and the Chines economy, they are all failing because they have not established their economic system based on freedom, justice, and equality. The gulf between the rich and the poor in these countries is widening day by day. They are heading towards an economic catastrophe that sooner or later would shatter these economies. If we want to get rid of the danger of brutal capitalism or neo-feudalism, we must rebuild a fair economic system to form healthy political parties, an unbiased educational system, effective healthcare, and social welfare systems. The damage done by the brutal capitalism would slowly recover, thus we would have a healthy cooperative economy in place that would secure the rights of the people.
Conclusion
I sincerely hope that this message reaches everyone in the world, people should discuss it with their loved ones; their neighbors, their friends, and their teammates at the workplace. I request you to share this message with your counselors, congressmen, governors, and presidents. Keep on reminding yourselves and your loved ones that we are sailing the same boat if the boat sinks then we all sink together.
Heroes, who made history, were the few freemen and women who dared to transform and build regardless of popular opinion. Now, the rest just follow them.
Thus, since the beginning of history, few people have dared to unite to change the global path to write honorable history. They have not been afraid of obstacles, opposition, controversies, or death. If a few of us unite and provide the appropriate knowledge, we can be among those a few who will turn the world into a better place to secure the future generations.
We face an unprecedented threat against humanity. Try to understand the challenge with awareness and high spirit, then contribute positively as much as you can. It is a valuable opportunity to write your chapter of history that is now being made! The clock is ticking and we don’t have time to waste, do something and participate now, before it is too late!
Prepared by:
- Imad Naaman Daou
- Awais Ahmed Azad
- Sr. Lecturer School of Art, Design, and Architecture – University of Gujrat, Pakistan
Bibliography
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- Chomsky, Noam. 2017. Who Rules the World. New York: Penguin Books.
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- Diaz, Andres. 2020. I’m a small business owner. Where’s my Coronavirus Bailout. April 21. Accessed April 22, 2020. https://amp.theguardian.com/commentidfree/2020/apr/21/small-business-us-congress-coronavirus-bailout.
- Fernando Belinchon, Ruqayya Moynihan. 2018. 25 Giant Companies that are Bigger than Entire Countries. July 18. Accessed April 2020, 2020. https://businessinsider.com/25-giant-companies-that-earn-more-than-entire-contries-2018-7.
- Heywood, Andrew. 2011. Global Politics. New York: Palgrave Foundation.
- Saval, Nikil. 2017. Globalization: the rise and fall of an idea that swept the world. July 17. Accessed April 22, 2020. https://www.theguardian.com/world/2017/jul/14/globalisation-the-rise-and-fall-of-an-idea-that-swept-the-world.
- Skidelsky, Robert. 2016. Who Runs the Economy. London: Palgrave Macmillan.
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