Armstrong Economics Blog/Civil Unrest Re-Posted Aug 3, 2022 by Martin Armstrong
Klaus Schwab does not understand human nature or how the world economy functions. He preaches Stakeholder Economics which failed and was instituted during the Depression BECAUSE there were no government programs. The theory then was that companies should contribute to saving society. It failed because there was no coordination, for every company was independent, and they would contribute to what they saw or had a bias toward. His “Stakeholder Economics” is not his own idea. He took it from Berle and Means.
Milton Friedman, back in 1970, exposed how Stakeholder Economics was inefficient and stupid. He laid out that such a role was that of government, not corporations, whose #1 fiduciary obligation was to its shareholder. Under Schwab, I could say, “OK I will go public; everyone sends in money. I will give you shares in return and then say — OMG, there are people starving in Africa!” So, I decide to give 50% of all the profits to them and not my investors. This is Stakeholder Economics.
The history of the Volkswagen brand began with the “Käfer”; development work on this Nazi prestige project began in 1934. On May 28, 1937, it was formally established. The name was changed to “Volkswagenwerk GmbH” in 1938. With the outbreak of war, it became the arms industry. But it was produced under the direction of Hitler was called the Volkswagen (“people’s car”). This is the Stakeholder Economics of Schwab today. I can tell you that, personally, Schwab is a control freak. He runs the WEF with an Iron Fist. Errors are not tolerated.
Schwab is actually advocating fascism where he wants to control the future by controlling the production of all corporations. His dream of world domination is much deeper than simply communism, where his hero remains Lenin.
Lenin nationalized all manufacturing and industry throughout Soviet Russia. This is what Schwab is advocating to get them to “voluntarily” surrender their fiduciary duty to his one-world government to end the potential war as was structured in the EU. Schwab pushed for that and his bedfellows, George Soros, poured money into Britain to try to storm BREXIT.
The one-world government of the Roman Empire did not prevent civil war and uprisings. Julius Caesar said men believe what they want to believe. That certainly applies to Schwab and Soros. They only look at what they want to hear from the dead economic theories.
Lenin failed to understand human nature. He requisitioned surplus grain from peasant farmers to feed his Red Army in addition to nationalizing all manufacturing. These measures proved disastrous. Under the new state-owned economy, both industrial and agricultural output completely plummeted. The very people who understood how to run their companies or when to plant crops were capitalists who were typically killed or imprisoned. This policy led to an estimated five million Russians who died of famine in 1921 alone. The living standards across Russia plunged into abject poverty. This is the hero worshiped by Schwab!
There began a massive uprising, as we see in Sir Lanka. The civil unrest threatened the very existence of Lenin’s Soviet government. Lenin used the secret police (Cheka) to silence all political opposition. This was a rein of terror targeting both his opponents and challengers within his own political party. Schwab sees this as a necessary tool, and thus this is why he wants total digital ID to restrict movement using pandemics that will most likely be created for control. What they did with COVID may not have established a precedent. It may have hurt so many people that the attempt to initiate a repeat performance itself is more likely to erupt in civil unrest next year on a major scale.
Indeed, there was an attempted assassination on Lenin by Fanya Kaplan, who shot him in the shoulder and neck as he was leaving a Moscow factory in August 1918. Lenin was badly injured. This unleashed the Red Terror carried out by his secret police. They unleashed a campaign of mass executions against supporters of anyone who supported the czar. Russia’s upper classes and any Socialists who weren’t loyal to Lenin’s Communist Party found themselves on the target list.
Augustus (27 BC-14 AD) established the Praetorian Guard to protect the emperor. When Caligula was assassinated on January 24, 41 AD, the Praetorian Guard made Claudius Emperor, who had always been a Republican and played the role of the fool. He did not want to take the throne. He was advised by his Jewish friend Herod Agrippa to take it or he would be killed, for there were those in the Senate who would love to be emperor. So here you see a gold aureus of Claudius with the reverse showing the Praetorian camp. For you see, without an emperor, they were unemployed. They made Claudius emperor, and neither he nor the Senate had any choice.
Consequently, once Lenin created his Secret Police (Cheka), they were not about to let Russia slip back into a monarchy or a democracy, for that would have ended their power, as was the case with the Praetorian Guard upon the assassination of Caligula. The Cheka (Secret Police) is believed to have executed at least 100,000 so-called “class enemies” during the Red Terror between September and October 1918 following the assassination attempt of Lenin.
As a result, Lenin was forced to back down from his authoritarian government, instituting his New Economic Policy, which was a temporary retreat from complete nationalization. The New Economic Policy created a more market-oriented economic system, “a free market and capitalism, both subject to state control.” Lenin’s Red Army eventually won Russia’s civil war, and then in 1922, he formed the USSR with a treaty between Russia, Ukraine, Belarus, and the Transcaucasus (now Georgia, Armenia and Azerbaijan). Lenin thus became the first head of the USSR.
Between 1922 and his death in 1924, Lenin suffered a series of strokes that impacted his ability to speak, and it had been his charismatic delivery of speeches that gave him power, as was the case for Adolf Hitler. Both spoke with a passion that moved the crowds. This opened the door for Joseph Stalin, who was the Communist Party’s new General Secretary, and he quickly began to consolidate his power. Lenin resented Stalin’s growing political power and saw his ascendency as a threat to the USSR. Lenin’s Treaty for the USSR was one built upon mutual respect, whereas Stalin saw it all as one nation with all power at his fingertips.
Lenin died on January 21, 1924, at the age of 53. Knowledge of his death came after Stalin had already come to power. It was Stalin who stole all the food from Ukraine, killing some seven million, and he unleashed the Great Purge of 1936-38. He strengthened the Cheka (Secret Police) to firmly retain power in the same fashion that the Roman Praetorian Guard supported the emperor to retain their jobs.
Beware, this is the same power being crafted by Klaus Schwab. The digital ID for everyone and to create a “social” index of people is the exact way to instill control as well as fear.