The prophecy of doom continues . . . .

The prophecy of doom continues . . . .

. . . and there are no signs of it abating.  We rather see the unmistakable signs point to weightier coming conditions for the entire world.

We all started as disparate communities living as different countries with all our dissimilarities.  Differences not only in looks, but in values, goals, etc.

Then somehow in spite of widening chasms in divergence of thought and action, the drive toward globalization, and the anticipated forthcoming one world government, was imperceptibly initiated with many powerful advocates casting their lot on the efficacy and the suitable time for the ideology.

But we know we are nowhere near it and the friction points are so severe, the   chances are nil that that this desired option is available to humanity, not especially after we have been decimated by this pandemic.   Our differences continue to make that an almost impossibility.  And what is more is that many find that such change would not really redound to the benefit of the world, bit would widen the rifts already existing between countries.

Some caveats or premises before we can even hope to reorient ourselves to the path toward resolution of all the global problems now gripping the entire planet.

First, like it or not, the world has to be aligned, or at least not be obstructive, on the side of the US of A.  Aside from being unarguably the mightiest military power in the planet, it also has the biggest economy making all other countries not only interconnected with it, but also interdependent.

The US dollar is the reserve currency of practically every other nation in the world.  Thus, it is unthinkable to have people wish ill on the dollar without spiting themselves.  Those countries who hold US debt have this in their minds, too.  The US has to continue being what it is and doing what it does, or the world economy will be grossly affected.

Because it has the biggest economy it also is the biggest consumer in the planet.  75% of its GDP is consumer spending.  Because of this, those countries who produce and export have to reckon with the US.  Even China, a largely exporting country, understands this, and cannot disregard the US without jeopardizing its own existence.  This holds true to other nations in the world.

Which country has gone past this pandemic and having its economy already on the path to recovery?  Hard to name one, except maybe a little country like Taiwan.

But in spite all this, the US as the world leader and trailblazer has a lot to be accountable for the actions it has been taking to get past this pandemic.

With that explained and set aside, we turn our attention to what the world under this abnormal and entirely unfamiliar state of affairs has become.

 

Unemployment in the US has reached 20%. Unemployment ceiling for the US as far as we can reach back has only been at 10%, never more.  Its GDP has spiraled down to negative territory by as much as 33%. This because of the lockdowns, artificially slowed down by stimulus spending.  But for how long can this be sustained?

US FED policies have not only been unhelpful; it has exacerbated a deteriorating situation. And this has been so for quite a while, what with all these confusing QEs that they have employed and now, the country and the world with it are now being conditioned to the set of stimulus packages waiting in the pipeline. And as far as can be gleamed these amount to nothing more than printing more money and releasing them to the economy at large, albeit doing all this digitally.  But still mirroring the same effects.  So we have to ask, when can we expect runaway inflation?

Add to all this, the political chaos and destruction we have seen in the last months in US streets and government structures continue to consume whatever desirable advances the beleaguered administration has been able to garner the past three years.

All this points to a future that is not only uncertain, but undeniably gloomy for the entire planet.