Prof. Murilo Resende Ferreira - Overview

Join Richard in a deep dive into the geopolitical, economic and financial reality following the second World War. In a recent interview with Francis Hunt, Richard pulls back the curtain on: 1️⃣ Japan's post-war economic transformation, their "two truths" cultural approach and how that plays out in the wider world 2️⃣ The US Dollar off the gold standard - the impact it had on global monetary systems 3️⃣ The emergency of the Petrodollar system and how Saudi Arabia helped create massive demand for it 4️⃣ The suspect timing behind the official narratives of energy embargoes and wars causing inflation in the 1970s 5️⃣ Will Saudi Arabia indulge in a geopolitical change of partners? 6️⃣ Does the future of finance lie with Central Bank Digital Currencies (CBDCs)? 7️⃣ Are we entering a world of diminishing freedoms, Soviet-style cities, and digital cages? 8️⃣ How decentralisation is the future we should all be aiming at! Watch 👇 https://youtu.be/cOsin-YCQZo?si=oSBSiUNZD6GWKdVk

Convite atualizado com o palestrante estrangeiro .

[23/8 16:05] Whois: Smart people alone are not enough to generate huge profits though. McKinsey’s secret sauce is that they have figured out how to strip these smart, young, idealistic people of ethics over the course of a few years and turn them into stone cold killers on behalf of capital. McKinsey’s pitch to recruits is filled with high-minded rhetoric about changing the world for the better. But performance is measured by revenue generated… and the worst clients (tobacco, opioids, Saudi Arabia’s Mohammed bin Salman, etc.) pay the highest fees. Consultants are told that they can refuse any project that might conflict with their values. But consultants who spend too much time “on the beach” waiting for the next assignment end up being “encourage to leave” at their annual performance review. McKinsey claims that when it advises companies, governments, NGOs, etc. “we don’t do policy, we do execution.” That allows them to work for anyone while sidestepping any questions of conscience or morality. [23/8 16:05] Whois: The McKinsey business model I just finished reading When McKinsey Comes to Town: The Hidden Influence of the World’s Most Powerful Consulting Firm. It’s a revelation. The authors, Walt Bogdanich and Michael Forsythe, investigative reporters for the NY Times, break new ground by interviewing whistleblowers inside the company, obtaining previously unseen internal documents, and reviewing legal filings in connection with one of the world’s most secretive companies. I’m particularly interested in this book as a work of political economy that explains how our society got turned into a hyper-competitive neoliberal hellscape engaged in genocide against its own citizens. [23/8 16:05] Whois: The business model of McKinsey is wild — it’s a cartel, but the product that they monopolize in order to restrict supply and drive up prices is smart people. McKinsey has an elaborate recruitment process, interviewing and hiring the best-of-the-best from the nation’s elite colleges and business schools. McKinsey is looking for Brahmins — those for whom solving complex problems and excelling in athletics comes easily. To secure their top picks, McKinsey interviews early in the fall semester of a student’s final year, makes the largest monetary offers, and is skilled at closing the recruits they have selected. [23/8 16:05] Whois: Think about how this leads to the hollowing out of society. In a former era, managers and workers lived in the same community, making it difficult to lay off people one sees every day and goes to church with on Sunday. But with the emergence of management consultants, CEOs can bring in McKinsey, have them lay people off, cut salaries, and contract out core services without ever having to look their employees in the eyes. The Board of Directors is delighted. No one takes responsibility for the cuts. Everyone takes credit for the increased share price. Ethics and empathy are a distant memory. Lest any CEO think that they can resist these pressures to maximize profits by any means necessary, McKinsey makes it clear that they will sell their services to any company in that industry — so CEOs who do not utilize their talents may soon be shown the door by their boards. Beneath any high-minded talk about efficiency, the pitch from McKinsey to CEOs also contains an unspoken threat, ‘That’s a nice corner office you’ve got there, it’d be a shame if someone else was sitting in it.’

In the 20th century, there were three theories of banking (credit creation arguing banks individually create credit, fractional reserve arguing that only the banking system as a whole creates credit, and financial intermediation theory arguing banks are unimportant and do not create credit). Today, mainstream economics, such as neoclassical economics, teach us that banks are purely financial intermediaries providing a middleman between lender (those who deposit) and borrower (those who take out a loan) and are not 'special'. In 2014, Prof. Richard Werner conducted the first ever empirical test in the 2000-yr history of banking to determine which theory is correct. Since publishing his findings, Central Banks have been forced to openly admit that banks are not merely financial intermediaries and do create credit. https://www.sciencedirect.com/science/article/pii/S1057521914001070

So it's clear that interest rate is not the key monetary policy tool used by Central Bankers, 'window guidance' (or macroprudential regulations in Europe) is. Why do CBs make such a big deal about the interest rate and why are neoclassical economists fixated on it? Is it a smokescreen to hide their real tool, perhaps it's to avoid accountability?

Virtually all economics since Ricardo have been based on equilibrium paradigm. But, do lower interest rates lead to higher economic growth? The 1st empirical test of all classical, neoclassical, Keynesian, post-Keynesian, and monetary economics: https://www.sciencedirect.com/science/article/pii/S0921800916307510