Comment: "A controlled disintegration in the world economy.." Paul Volker

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"A controlled disintegration in the world economy.." Paul Volker

Read Paul Volker's speech of 9th November 1978. Governments (of Europe, UK and US) have been deeply involved in the disintegration of the global economy through the process of selective deregulation. I will try to incorporate the establishment of UNIDO and the efforts to stop 'integration' in the world economy by the Trilateral Commision in this article at a later date.

1978 – November 9th. Paul Volcker delivered the Fred Hirsch Memorial Lecture at Warwich University in England [entitled ‘The Political Economy of the Dollar’]. He stated: "A controlled disintegration in the world economy is a legitimate object for the 1980s." Freeman adds, "it was not by chance that starting the week of Oct. 6-12, 1979, Volcker began raising interest rates, by raising the federal funds rate and increasing certain categories of reserve requirements for commercial banks. He kept pushing rates upward, until, by December 1980, the prime lending rate of U.S. commercial banks reached 21.5%." [BR: see references to the Bonn Summit of July 1978 where the US agreed to reduce its dependence on imported oil in exchange for growth abroad.]

Volcker’s speech at: http://www.nyfedeconomists.org/research/quarterly_review/197...

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