One point for the admission :
World Bank admits globalization leads to inequality
According to an internal memo from the Washington-based organization seen by the British broadcaster BBC, the side effects “may have led to rising wage inequality.”
The document, written by World Bank economists, says “trade has played a powerful role in creating jobs and contributing to rising incomes in advanced economies,” but also highlights its cons.
“Recent evidence from the US suggests that adjustment costs for those employed in sectors exposed to import competition from China are much higher than previously thought. While trade may have contributed to rising inequality in high income economies, so has technological change and the weakening of institutions that used to represent the interests of labor,” the report said.
Creating jobs? – In China and other low wage economies, not in ‘advanced economies’. These have lost skills, equipment and deprived the economies of locally made quality products in favour of the cheap imported junk.
Does this matter?
Yes, because :
- We no longer have the skills
- We no longer have the machinery
- We no longer have quality products
- Our R&D has been stolen, so no more R&D will be done
- Innovators have given up as their work is plagiarised and stolen
- Workers incomes and spending has dropped
- Less money in circulation equals an eternal depression in the economy
- Workers are now in casual, zero hours contracts as businesses ‘adjust’
- Nobody can buy houses because their income is insecure and too low
You guessed right – the top 1% like the owners of Walmart, who post record profits.
This June’s Boston Consulting Group Global Wealth report said that millionaires will control more than half of the world’s wealth by 2020. In particular, people who are worth more than $20 million in the United States will control 29 percent of the country’s wealth by 2020, compared to 20 percent in 2010.
That is 3 years from now!
World Bank president Jim Yong Kim :
“So there is a real concern but the answer is to have more robust social security programs, so you have a safety net. And then you need to get serious about getting the skills you need for the jobs of the future,” he added.
So, we all live on welfare and get ‘retrained’?
Who is paying for this welfare? It is already underfunded and homelessness is rising rapidly.
How can you buy an education when you are on welfare and both trade schools and universities are run for profit?
I call Bullshit!
Civil war will be the outcome as the 99% fight over the scraps. Europe already has over 1 million undocumented terrorists and economic migrants posing as war refugees.
Are these million paying tax?
Are they ever going to contribute to the economy?
Note : Although tax is paid on benefits according to the paperwork, it isn’t because beneficiaries receive an amount each week and create nothing in return, it just reduces the headline amount they receive ‘in theory’ and the ‘tax’ percentage is actually recycled into the next payment.
$300 received on paper, $250 ‘in the hand’ and the ‘tax’ recycles. Therefore a net $250 outflow per person with no inflow.
With Sweden and Germany due to run out of money within 10-15 years, there will be no ‘robust social security programs’. Because there is no more money! DUH.
The plan is to return the ‘advanced economies’ to serfdom, with the 1% expecting 7 day workweeks of 12 hours per day for an existence ‘wage’.
But that truth is unpalatable and might cause an uprising, so the 1% are slowly boiling the frog until it is too late.