Governments rack up record debt as Great Reset seeks to ‘reimagine’ capitalism
July 14, 2021 (LifeSiteNews) — With global debt levels already at their highest point since the Second World War and predicted to increase by $92 trillion before the end of the year, the architects of the World Economic Forum’s “Great Reset” are poised to counter the economic crisis by enacting their plans to “reimagine” and “reset” capitalism.
According to the Wall Street Journal, measures implemented by governments around the world in response to COVID-19 have “pushed global government debt to the highest level since World War II, surpassing the world’s annual economic output.”
The Journal notes that despite the waning of the pandemic and the subsequent relaxation of many of the economy-crushing restrictions imposed upon profit-generating industries, “governments, especially in rich countries, are borrowing still more, partly to erase the damage of Covid-19.”
Massive spending programs like the Biden Administration’s recently announced six-trillion-dollar budget will test the ability of nations to adapt to changing market conditions amid massive government spending programs which may only “be absorbed only via inflation, high taxes or even default,” according to the Journal, even though advocates of the initiatives insist the borrowing might “usher in a period of robust global growth.”
Perhaps one of the biggest advocates of the big-government spending, World Economic Forum (WEF) founder and executive chairman Klaus Schwab anticipated and encouraged the unprecedented spending packages as long ago as June 2020.
In articles, talks, and a book entitled “Covid-19: The Great Reset” published last year, Schwab has persistently argued that the coronavirus pandemic ought to be used to instigate a “Great Reset” to “revamp all aspects of our societies and economies, from education to social contracts and working conditions.”
Noting that the public health response to COVID-19 “will have serious long-term consequences for economic growth, public debt, employment, and human wellbeing,” Schwab argued last year in favor of the kind of huge spending programs which have spiked global debt to unprecedented levels, calling them a “major opportunity for progress” in attaining “equality and sustainability.”
“The European Commission, for one, has unveiled plans for a €750 billion ($826 billion) recovery fund,” Schwab said approbatively. “The US, China, and Japan also have ambitious economic-stimulus plans.”
The 83-year-old’s foundation, which is funded by its more than 1,000 member companies (including the Bill and Melinda Gates Foundation), puts on yearly gatherings in Davos, Switzerland, at which wealthy celebrities, members of the media, and world leaders gather to discuss global “crises,” and seek to enact policies favorable to worldwide centralization of power, socialistic economics, and, recently, the integration of modern technology and human biology.
Architects and proponents of the WEF’s “Great Reset” have been clear about the purpose and scope of their plans.
According to the organization’s founder, “[e]very country, from the United States to China, must participate, and every industry, from oil and gas to tech, must be transformed. In short, we need a ‘Great Reset’ of capitalism.
While promoting massive spending, Schwab has advocated against using the money for traditional programs which he said would only “fill cracks in the old system.”
Instead, Schwab argued, “we should use them to create a new [system] that is more resilient, equitable, and sustainable in the long run. This means, for example, building ‘green’ urban infrastructure and creating incentives for industries to improve their track record on environmental, social, and governance (ESG) metrics.”
Schwab’s reference to “green urban infrastructure” mirrors the “Green New Deal” agenda advanced by leftist politicians in the U.S. in response to the allegedly existential threat of “climate change.”
The plan would obliterate the fossil fuel industry, destroy reliable access to electricity, implement a “universal basic income,” and replace traditional energy industry jobs with guaranteed government positions protected by unions.
If implemented, the American Action Forum estimates the plan would cost between $51 and $93 trillion dollars.
At present, the debt held by the world’s governments is already at a startling high. With $24 trillion added to the global debt since last year, the worldwide tab now stands at just over $228 trillion, according to the global debt monitor from The Institute of International Finance (IIF).
The IIF said it expects “global government debt to increase by another $10 trillion this year and surpass $92 trillion” in added debt by the end of 2021, Reuters reported.
According to Reuters, “the rapid build-up was mostly driven by governments” rather than private spending, “particularly in Greece, Spain, Britain and Canada.”
“In emerging markets, China saw the biggest rise in debt ratios excluding banks, followed by Turkey, Korea, and the United Arab Emirates. South Africa and India recorded the largest increases just in terms of government debt ratios,” the report said.
Meanwhile, in the United States, the “national debt is rising at a pace never seen,” according to an article published by Forbes in May.
“With a current debt exceeding $28 trillion – an increase of nearly $5 trillion in 14 short months… the national debt will approach $89 trillion by 2029,” Forbes reported. “This would put the country’s debt-to-GDP ratio at 277%, surpassing Japan’s current 272% debt-to-GDP ratio.”
According to Klaus Schwab, the financial crisis brought about by massive government spending due to COVID-19, combined with other so-called crises such as “climate change,” means world governments “must build entirely new foundations for our economic and social systems.”
“There are many reasons to pursue a Great Reset,” Schwab alleged, “but the most urgent is COVID-19.”
“[T]he pandemic represents a rare but narrow window of opportunity to reflect, reimagine, and reset our world to create a healthier, more equitable, and more prosperous future,” Schwab said.