EIR LEAD EDITORIAL FOR TUESDAY, MAY 25, 2021
The Green New Deal and Financial Disaster
May 24, 2021 (EIRNS)—The global financial elite have only a shrinking time-frame in which to force all nations, and all of us, to stop resisting and accept their “Great Reset,” or “Green New Deal.” They are running out of time before a perhaps $100 trillion “everything bubble” of largely unpayable debts and derivatives exposures based on them, collapses or goes into a hyperinflationary explosion. It is that bubble they are trying to “roll over” by looting tens of trillions of dollars out of real industrial and agricultural production, household wealth and survival, and jamming it into a “green finance” bubble based on dolled-up throwback energy technologies.
Just listen to a Washington Post editorial today, commenting on the truly insane haste to eliminate all new fossil fuel investments this year and “green everything” to zero-carbon, which is demanded in the big May 5 report of the International Energy Agency (IEA)—essentially the energy branch of the Davos World Economic Forum. “Others Say: Net-Zero Is Plausible. But It Won’t Be Easy” is the headline. Installing the world’s biggest solar farm every day through 2030. Building 200 massive “gigafactories” during the decade to turn out electric vehicles. Controlling everything people do and forcing them to change immediately how they build buildings, heat homes, produce goods, commute, etc. “Singular, unwavering focus from all governments,” doing little else. “Today, the data shows a looming mismatch between the world’s strengthened climate ambitions and the availability of critical minerals that are essential to realizing those climate ambitions,” it quotes the IEA’s executive director Fatih Birol.
This is the desperation of imagining a new financial bubble immense enough to swallow up in oblivion and/or inflate away the tens of trillions of unpayable debt. It must involve unprecedented looting of human conditions and lives. So, they say, it demands “singular, unwavering focus from all governments.” Last week, G7 foreign and economic ministers said they agreed to this.
The last time such private financial conglomerates bent government policy to their will and dramatically shifted all GDP and economic activity to their goals, it was the financial powers of fascism between the world wars, acting especially through their central banks. Representing these powers, Germany’s central banker Hjalmar Schacht forced a 20% GDP shift to armaments production in just two years, by printing money and taking over government spending. As that shift continued, inflation came with it until it led to world war.
Here the IEA, the “Great Reset” financiers, are talking about a great technological leap backwards in all economic activity, forced again by central bank-led and -directed money-printing which has bypassed any and all historical scale in the past 18 months. This vast “green new deal” shift will cause loss of millions of lives in the developing countries until it leads to war against major powers—China and Russia—which resist the Malthusian policy.
And imminently now, it faces a hyperinflationary collapse. The former European Central Bank chief economist Jürgen Stark said yesterday, treading very carefully, “I do not want to provoke a crash, but it cannot be ruled out.” The respected veteran American economist John Williams, an expert on the real statistics behind government stats, said in an interview,
“I think we are eventually headed into a hyperinflationary economic collapse. It’s not that we haven’t been in an economic collapse already.... The Fed has been creating money at a pace that has never been seen before. You are basically up 75% (in money creation) year over year. This is unprecedented. Normally, it might be up 1% or 2% year over year. The exploding money supply will lead to inflation. I am not saying we are going to get to 75% inflation—yet. But you are getting up to the 4% or 5% range, and you are soon going to be seeing 10% range year over year.... The Fed has lost control of inflation.”
So we must become members and leaders of that global anti-Malthusian resistance: With Russia and China as allies in this resistance; nationalize those central banks; break up the Wall Street and London banks; and stop the Green New Deal before it brings on hyperinflationary collapse.