The word global is presented as the final solution – when things become global our worries are over, the good world is near. But it is not so, and never will be!
The investors and financiers of the world are having a fine time. Money can be accumulated, moved around the world, invested in facilities, services, crops, minerals – all you can think of. Speculation is producing large profits, some few times huge losses, the chase for profit is the name of the game. Money are lent to governments, municipalities, public bodies who are good borrowers. They always pay back their debts so it is safe to let them have your money.
The problems of this method are becoming evident: 1%, 99%, joblessness, hunger, defaults.
The money system – global money system – is the system we live by. But nobody controls this system – it is out of control. There are no global political entities, no global financials – there is a bit of problemsolving when things go very wrong. There is the World Bank, the IMF that are not connected to the democratic systems of the world – they do things by some sort of negotiation and their authority is unclear.
The lenders lend without or with scant risk control – in the US lots of people lost their homes, in many countries public financial overextension is found in many places. For some reason the lenders shall not take their losses. We must all come together and help pay up. The lenders are let off when they make mistakes, the borrowers do not take responsibility for what they do, they just go on increasing their debts. Coupled with QE quantitative easing there is a balloon being filled with hot financial air. Add the system of fractional reserve banking and we are set up for failure.
Global systems leads to lack of understanding and transparency, and coupled wit advanced financial schemes we end up with deep problems.
Global solutions will never work, and there is no need for global solutions. Business should be about making a fair living where you are. The growth syndrome of states and businesses is clearly not sustainable. The modern system with huge production being sent back and forth here and there all over the world is clearly unsustainable – the thinking that everybody must export and import is silly.
We are ruled increasingly by a money system that is said to be global, but is full of confusing issues – the main one being that nobody is accountable for what happens, the size and extent of the problems are so large that everybody can be pulled down.
Financial globalism is bad in principle – it will never work: Will you let yourself be governed by somebody you did not elect, or even worse by somebody who has not been elected by anybody?
Other kinds of globalism might be a good idea – health, ethics, human rights, fair share and many others.
The lending and borrowing is out of control, and the only way back to sanity is to make lenders and borrowers take responsibility for what they do. If you fail to pay what you have borrowed, you suffer. If the lenders don’t get paid they suffer. They have to straighten things out between them. This must be done on the local level, and the transactions must be small, under good risk control, you should know where the money comes from and what it is used for, who the lenders and borrowers are.
So this is simplistic? Yes, and it should be – financial acrobatics are not what it all is about – it is about making a decent living where you are. So local, national, regional is good, split it up into units that we can handle, let politics do its job, let the financials follow, let the people responsible take resposibility – in a transparent environment.
It is all so easy – if we pull it down to basics which is where it belongs.
