The world economy is slowing towards the edge of recession with the European debt crisis and the American economy growing at a snail's pace.
Investors' hopes are on China and the emerging markets to be the new engines of growth but these markets do not have the credentials nor the global political power to take over the reins of the global economy.
China is not only too weak in per capita purchasing power, it is not transparent and a highly fragmented society with little democracy or corporate governance.
Investors' hopes are on China and the emerging markets to be the new engines of growth but these markets do not have the credentials nor the global political power to take over the reins of the global economy.
China is not only too weak in per capita purchasing power, it is not transparent and a highly fragmented society with little democracy or corporate governance.
The next credible candidate to take over the world economic dominance may be Europe if the Euro zone rises out of its current debt trap and transforms itself into a cohesive political union. This requires great political sacrifices, much negotiations between European powers and trickery of the electorate by the elite.Like the Pied Piper, who came back to ask for his payment, there is a payment for the folly of the European Euro project, and the people who have to pay up are the debtor members as well as the citizens of the creditor nations. The alternative is what the Pied Piper warns: a doomsday Global Depression..but is it a real threat or a bluff? We shall find out in the next few months as we enter 2012.
In fact, the global economic mismanagement by policymakers and governments looks increasingly like a twisted Pied Piper tale where the Pied Piper (the global elite/market manipulator) trained the rats (the financial crisis of 2008) to listen to the music, let the rats out on purpose on the city of Hamelin and then duped the citizens into entering a deal with him. When the mayor could and would not pay up for the services rendered, the threat is to put all their children into debt (i.e. take them away into slavery - although in the story, the children were led into a paradise).
Now the Pied Piper stands at the door of world governments to ask for payment - first the European countries, then the US and Japan will be next. Will citizens of the developed world call his bluff and risk a major financial meltdown? Will world leaders respond with more money printing and more manipulated financial meltdowns (rats) to be carried out with the Piper's magic pipe? And his price is: total political and economic power in the hands of a global elite starting with the besieged European Union. In fact, a new global currency based on the controlled supply and consumption of energy (carbon currency) is being planned according to a study by Michael S. Coffman, Ph.D. and Kristie Pelletier. http://newswithviews.com/Coffman/mike129.htm
