Home Les bulletins GEAB The seven facets of the world crisis in gestation

The seven facets of the world crisis in gestation

The American and Iranian decisions coming into effect the week of March 20-26, 2006 will catalyse seven sectoral crises into a total crisis, affecting the whole planet in the political, economic, financial and probably military fields: loss of confidence in the Dollar, explosion of the US financial imbalances, oil crisis, end of the US leadership, distrust towards the Arab-Muslim world, inefficiency of global governance and uncertainties as to the European governance. Of course these crises are interconnected, even if the actors in each sector have a tendency to take into consideration their sectoral datas only; it is precisely this feature which increases the risk of acceleration of the course of History at the end of March 2006. In the present issue, the first two sectoral crises are detailed. The other ones will be presented in the following issues.

2.1 From a « loss of confidence » in the Dollar to an era of « distrust » towards the Dollar With their decision to put an end to the publication of M3 and other indicators designed to measure the evolution of Dollar ownership worldwide, the US authorities initiated a policy of « hidden monetarisation » of the US debt. The Bush administration’s incapacity to handle the various deficits (budgetary, commercial) and the related debt, will result in a monetary creation of unequalled proportion, leading to a dilution of the American debt in an ocean of Dollars. The process has in fact already started: during the first three and a half months of the US fiscal year (beginning in October), the Federal Reserve has increased by 320 billion USD its stock of currency, that is 5 times more than it did over the same period last year…

Read more in the GEAB No 2 / 16.02.2006

You can not comment on this article
Related articles
Geta Grama-Moldovan
15 Nov 2019

Digital Euro: From Eurozone to Eurozon.com 

#cryptos #euro #Eurozone #finance #gafa #investment

We have been anticipating the arrival of central bank digital currencies (CBDCs) for a year. And it was Christine Lagarde's speeches at the IMF last November, in particular, that encouraged [...]

Geta Grama-Moldovan
15 Nov 2019

The anger of the people: “It’s politics, Stupid!”

#China #democracy #europe #geopolitics #society

Popular protests are growing and multiplying: from Arab spring, Occupy Wall Street, Indignados, Maidan, populist votes, to the yellow vests, Iraq, Algeria, demonstrations against global warming, Hong Kong, Lebanon, Venezuela, [...]

Geta Grama-Moldovan
15 Oct 2019

Focus on: Challenges for the chemical industry in Europe

#chemical industry #europe #governance

The chemical industry in Europe is facing many challenges resulting from changes in its competitive position, global and local environment issues, as well as regulatory and technological innovation. A priori, [...]