Tanveer Ahmad khan
The year 1945 is important not only because of its political relevance; it marked the end of second World War. It is also important from an economic point of view because two main institutions which led to the creation of the “death economy” were also created in the same year, that is, International Monetary Fund and World Bank. As allied powers were hopeful of a more stable world order with the creation of the UN, they also at the same time were very anxious of a more homogenous world economic order.
The US plan of creating the international monetary system was accepted at the Bretton woods, New Hampshire US by member nations almost without taking into account the broad national interests which US was trying to pursue. The US, after emerging as world leader, tried to put forward and propagate its ideology of capitalism throughout the world. Capitalism refers to an economic and political system in which trade and industry are controlled by private owners rather than the state. This was done by offering a kind of education which changed the mindset of people and made them to think on their lines.
But, in reality, the US better represents an example of crony capitalism than the pure theoretical concept and variety of capitalism. The big corporations enter into unholy alliances with the governments through lobbying and rent seeking activities. These corporations have their own trained professionals who are dispersed throughout the globe. Their job is to persuade the rest of the world to allow these corporate houses to enter into their countries. These strategies are well-supported by the US government. They use econometricians, statisticians and mathematicians to persuade other nations through their biased empirical estimation to allow Multinational corporations to enter their countries. They empirically demonstrate that allowing multinationals will have a significant impact on growth of economy. T
The developing countries who are in race of becoming developed fail to realize the costs of this growth process. The developing world looks upon these false theories led by crony capitalism as gospel truths. When adopted the policies of these economic hit men and jackals, these countries become ensnared. They then turn into economic slaves and loose sovereignty in their decision making processes. The poor countries are forced to take heavy loans from US and the twin institutions(IMF and World Bank). In the name of building infrastructure and strengthening growth institutions, the poor are being snatched their freedom. Their natural resources are marauded. The loans from US and t the win Institutions come usually with some structural adjustment programmes. The main aim of Structural Adjustment Programmes is to create free economies. These programmes are designed to serve the interests of capitalists in the US. The loans are mainly discriminatory in nature.. The Bretton woods twins coerce the under developed countries to go deeply into debt and it enslaves these countries.
The whole world today knows that the US is trying to conquer and colonize the whole world especially after the World War Second, since it became clear that war would not serve its purpose fully. The faltering of military might led them to change their strategy that suited their ends. They decided to create an international monetary system that would convert the whole globe into a single empire with the US as its leader. The important responsibility was entrusted to these newly created Twin institutions. Although the charter of the twin institutions seems to be beneficial and quite appealing to the Least Developed Countries, but when evaluated carefully , it turns out to be the total opposite.
These strategies of capitalist forces have created a “death economy”. The Death economy is characterized by wars or the threat of war, debt, and the rape and plunder of the earth’s resources. It is an unsound economy that depletes at ever increasing rates the very resources upon which it depends and at the same time poisons the air we breathe, the water we drink, and the foods we eat. These cancerous effects of crony capitalism may be designated as meteors from death economy because they serve as a premonition of a serious meltdown. The US has been the leader to spread this cancerous disease across the globe. The corporate hub which leads most of the multinational companies has done great havoc to the environment that we commonly share. Future generations of ours are in great danger. The blind destruction of ecological balance will have its effects on the whole humanity. So, if our boat sinks, theirs will not too be safe.
It will be imprudent for us to rely on these econometricians of the corporate world who definitely will falsely predict the future. It will be better for us to mend our ways and save our present and future generations. We need to look for an alternative system: may be an Islamic economic system may suffice our requirement and save us from the devaluing and degenerating capitalist system.
—The author is pursuing his Master’s in Economics from Kashmir University. He can be reached at: firstname.lastname@example.org