The world is an ever changing organism which will either sustain itself or will become an un-inhabitable planet in future times. This part of the Newsletter will therefore look at major issues that will influence the destiny of humankind.
China and the East Asian economies are developing at a phenomenal rate compared to the industrialised economies of the West. Listed below are some key indicators( which are self evident)
The Economist - August 14th - 20th 1999
|% change on year ago||last 12 months $bn
|Nation||GDP||Industrial Production||trade balance||foreign reserves
|latest||12 months ago
|China ||+6.9 Q2 ||+9.3 Jul ||+28.3 Jul||150.4 May||144.3
|Indonesia||+1.8 Q2 ||+0.1 Q1 ||+20.6 Jun||26.3 Jun ||18.0
|India ||+5.0 (1997)||+5.5 Jun ||-7.9 Jun ||31.2 Jul ||24.3
|Malaysia ||-1.3 Q1 ||+8.3 Jun ||+18.1 Jun ||30.6 Jun ||19.7
|Taiwan ||+4.3 Q1 ||+10.0 Jun ||+10.5 Jul||98.6 Jul ||83.6
The Banks and Institutions are Failing the World’s People:
THE ECONOMICS OF THE 21st CENTURY
These are the new economics of the 21st century brought into being through the creative thoughts of Xanthos Menelaou,
deputy chief executive of the WIF. In essence they work on the simple principal that if you continually put something in,
you will continuously get something out. In this way you preserve the balance of the peaceful progress of the world.
Can we predict the future and what will be in the next 10,20 or 50 years time? One thing is for sure, isolation will develop
a death culture as the many are subdued. Therefore we have to open up wealth creation so that even more wealth is indeed
created. This intricate but in many ways very simple new world order is a necessity if the planet is to survive. In this
respect our grandchildren will ask in 50 years time, why did we create a world at odds with itself when we could have quite
easily have created one where everyone helps each other? They will be the ones who will suffer, and suffer they
unfortunately will if we do not change our present ways!
Reciprocal economics is the universal economics of all creation. They start at the beginning and end at the beginning and
in this way they are self-perpetuating. Wealth is created to sustain the world-at-large and so it has to be. Great wealth is
currently extracted but very little is put back in replacing what is worn out and technologically obsolete. The creation of a
new order by the few is therefore not a priority. This must be changed so that all our people can make great progress
throughout the next century. This cannot be achieved through an increase in the market forces philosophy but only through
reciprocal economics. Governments and industry have to realise what this will mean for peace in the world and for far
greater wealth creation. Those who do not understand this new requirement will eventually live to regret their reticence to
change and their dire complacency.
The Paradox of the People's Money:
All that the Banks, Insurance companies, Pension companies and our Finance Houses possess is down to the people of the
world. Indeed, without the people's input there would also not be the major businesses, nor any business whatsoever for
that matter. It is the people and their money who purchase all the goods and services of the world that companies sell.
Therefore without the input of the people and their money, created through jobs of work,
there would be no banks, insurance companies, finance houses or businesses. It seems unreal therefore that the people's
money harms themselves without them really knowing.
As we are aware, the Insurance companies and Pension companies et al who use the people's financial contributions and
savings (in terms of pensions and life assurance investments) to derive the best return for the retirement years and death,
invest in the stock markets. Indeed, they are now the most powerful players on all the stock exchanges around the world
and wield great socio-economic power. Unfortunately, these companies invest in the listed companies that have the best
short-term returns (year-to-year, month-to-month and in some cases week-to-week) without looking at the long-term
effects that these company investments will create for employment and unemployment for the people and their children in
the future. Overridingly, there has been a constant decline in jobs and wealth creation through this continual short-term
option, defeating the whole object of the people's money to create and sustain jobs for future generations - a paradox - as
the people's money is given to companies that destroy our children’s future jobs to derive the best possible pensions and
life assurance for themselves. As a single example of this and what is happening throughout the world, we quote
the following article that appeared in the Huddersfield Daily Examiner on 16 August 1999 - ‘BA will Axe
Jobs in a Bid to Cut Costs: British Airways is planning to axe 1,000 managers in a bid to cut costs...aimed at
saving £225million by next April...Mervyn Walker, BA’s director of human resources, said “Nobody
anticipated market conditions to be as bad as this. As a result we will find additional savings of £225million
this year in order to deliver the profits that the ‘CITY’ expects”. Unfortunately this monster
that has been created is the general system of relativity by which the markets operate and which will
continue to do so until the governments of the world see what great damage that this system bestows
on mankind. Until then, the world’s progress will be stifled and its people will continue to suffer.
(Continued page 3)