Recently, a report by the Group of Twenty (G20) recommended a minimum global tax on the richest.
With the exception of the United States, other countries support the idea of a global tax on the wealthy.
The rich are frantically grabbing "global wealth" without taking social responsibility
According to the report, billionaires currently pay only 0.3% of their wealth in taxes each year, and their wealth is growing rapidly.
The wealth owned by the richest 0.0001% of households has risen from 3% of global gross domestic product (GDP) in 1987 to nearly 14% today.
The report concludes that the wealthy derive the most wealth from globalization and pay the least taxes.
Looking at the overall distribution of wealth around the world, the proportion of taxes paid by the rich is much lower than that of the average person.
The Matthew effect has widened the gap between the rich and the poor in the world
The Matthew effect comes from a parable in the New Testament Gospel of Matthew, which means that "whoever has, give him twice as much, that he may be superfluous; and if he does not, he shall take all that he has."
In economics and sociology, the Matthew effect is used to describe the phenomenon of uneven distribution of resources, in which the strong get stronger and the weak get weaker, the rich get richer and the poor get poorer.
The richest 1% of the world's population already owns more wealth than the remaining 99% combined.
The global gap between rich and poor is too large and will drag humanity into war
When the gap between rich and poor is too large, the poor may feel deprived and neglected, which can lead to dissatisfaction with the government and social system.
When this discontent accumulates to a certain level, it can lead to social unrest, protests, and violence.
These turmoil and conflicts can sometimes escalate into larger-scale conflicts, or even into civil or regional wars.
A debt crisis can turn into an economic crisis, and an economic crisis can trigger a world war
Total global debt has reached a record high of $315 trillion in the first quarter of 2024, or 333% of GDP. Emerging-market debt has surged to more than $105 trillion, up $55 trillion from a decade ago.
In 2023, half of the indebted developing countries earmarked at least 8% of government revenues for debt servicing, a figure that has doubled in the past decade. Fifty-four developing countries, nearly half of which are in Africa, spend at least 10 per cent of their government funds on debt interest payments.
Even the U.S. debt has exceeded $34 trillion, and based on an average interest rate of 3%, the annual interest is $1 trillion.
In 2024, interest payments on U.S. federal government debt are expected to reach $892 billion, or 3.1% of GDP. Interest expenses have surpassed defense expenditures and become an important expenditure item in the federal budget.
By the end of 2024, the total federal debt held by the public is expected to reach $28.2 trillion, or 99% of GDP.
The United States is not all rich, most people are still poor
Now the gap between rich and poor in the United States has reached an extreme level. The richest 0.1% of the population in the United States owns 20% of the wealth in the United States; The wealthy 1% own more wealth than all middle-class households, which account for 60% of the population combined; 10% of the wealthy own 89% of the nation's stocks; The top 20 percent of households own 70 percent of the wealth in the United States.
The whole world is in debt, where does our wealth go?
Many people don't understand that in today's highly developed technology and economy, the overall wealth of human beings is increasing, but the debt of ordinary people is rising, what is the reason behind this?
The real reason is that the countries of the world are now controlled by the rich, and the social systems of the countries around the world are now for the rich.
The most typical example is the US dollar debt system.
The U.S. dollar is the world's most important reserve currency and international trading currency. The U.S. bond market is one of the largest and most active bond markets in the world, and its size and liquidity make it the cornerstone of the global financial system.
A brief introduction to the history of the birth of the US dollar, at the beginning of the United States also implemented the gold standard system, and the amount of gold needed as a guarantee for the issuance of US dollars. At the beginning, the U.S. dollar was also minted in a coinage situation, and it slowly developed into paper money in the later period.
The essence of the US dollar is and is only a kind of paper money, just a value symbol, it has no intrinsic value, its value comes from the authority and credibility of the state.
After the end of the American Civil War, the U.S. government no longer had much money to rebuild after the war, and it owed huge debts during the war. As for why the U.S. government owes huge debts, this is the masterpiece of American family capital.
The creation of the Federal Reserve and the right to issue the dollar are based on the Federal Reserve Act, which was passed by the U.S. Congress. The Act officially became law on December 23, 1913, establishing the Federal Reserve as the central bank of the United States.
What many people don't know is that the Federal Reserve is actually a private bank controlled by mysterious capital.
The Fed does not issue dollars directly in print, but through the purchase of US government debt, mainly Treasury bonds. This mechanism is known as "Open Market Operations".
The U.S. Treasury issues Treasury bonds and auctions them off on the open market. By buying these Treasuries, the Fed injects an equal amount of dollars into the economy.
This is the dollar bond system, and the U.S. government has to discover U.S. bonds in order to get dollars, and the Federal Reserve has become the largest holder of U.S. bonds.
The wonderful thing about this system is that the U.S. government can never pay back U.S. debt, and the more U.S. bonds are issued, the more the Fed earns.
In fact, the entire U.S. debt system is not only the U.S. government, but with the establishment of U.S. hegemony and the U.S. dollar's status as a world currency, U.S. debt is backed by governments and ordinary people around the world, including the United States.
That's why the global economy is booming, but most ordinary people are in debt.
Do you know why the world's richest people go to the United States? The purpose is simple, they all want to be the ones at the top of the pyramid.
In the eyes of the wealthy families of the top families, they only have family wealth and no concept of state.