Global Economic Shifts and the New World Order

The First Global Revolution and the New World Order

The Club of Rome in 1991 published a report entitled The First Global Revolution, which set forth the characteristics of the NOM (New World Order) as follows:

1. A strong urban growth;
2. A population explosion of the PIAS South;
3. An awakening of minorities and nationalism;
4. A more intense interdependence of nations;
5. An extension of the market economy;
6. An uneven economic growth;
7. A financial globalization with speculative trends;
8. Profound changes to the environment;
9. Major advances in high technologies;
10. Loss of ethical values and the extension of new pests.

Neoliberalism and Historical Economic Models

Neoliberalism is a legacy of the economic and ideological model proposed by Adam Smith in 1776 in his book The Wealth of Nations. The events that occurred between 1989 and 1991 gave way to a major redistribution of territorial space in Europe. However, since 1991, national border conflicts and clashes have revived strongly in Europe and spread to other continents, replacing the threat of a third world war that once hung over the world.

Globalization and the Bretton Woods Agreements

Globalization is the process by which markets and production of various countries are increasingly intertwined because of the dynamism of trade in goods and services and the movement of capital and technology. To understand the current world crisis, it is necessary to go back to the Bretton Woods Agreements concluded in 1944, which set the rules for trade and financial relations among the leading industrialized countries.

These agreements led to the creation of the World Bank and the International Monetary Fund (IMF) and established the use of the dollar as the international currency. Its main objective was to launch the New International Economic Order, providing stability to commercial transactions through an international monetary system.

The Multi-Dimensional Nature of the Global Crisis

The global crisis is evident not only in economics but across a broad spectrum of consequences. According to psychologist Manuel Castells, these can be summarized into six groups:

• Financial crisis
• Economic crisis
• Demand shock
• Crisis of labor relations
• Ecological crisis
• Socio-political crisis

During the decade of the 1980s, there was a group of countries known as IAS (Industrialized Countries) and emerging markets, noted for the dynamism of their economies and the significant development potential they presented.