William J. Raynor III (December, 2023)
Global elites in North America and Europe implemented a Scorched-Earth strategy to protect their economic hegemony and a Unipolar World. Their delusional tactic: Ukraine. But their project has failed miserably, and the implications for the global economy are significant. Will the same globalists who failed to prevent so much war, destruction, and chaos over the past couple years make similar catastrophic economic decisions?
Many Western officials, corporate leaders, and NGO operatives thought they could use war and conflict to maintain economic supremacy. They thought they could use Ukraine (even with its infamous instability and corruption) to expand NATO and force unnecessary changes in Russia. This delusional move would advance economic interests and secure their Unipolar dominance. It would also teach the rest of the world a lesson: do not challenge the US / EU elite ruling establishment. But the militarization of foreign policy and domestic information control has backfired in an unprecedented way. And this doesn’t include their other recent management disasters (Middle East, Afghanistan withdrawal, global COVID response, immigration, energy, supply chains, inflation, de-dollariztion, etc.).
What are the new global economic implications from failed Ukraine decisions? Can the Administrative State and ‘global experts’ rebuild the world economic order in a more realistic and diplomatic way? Can the Western ‘professional managerial class’ find peaceful economic solutions with the rest of the world (BRICS-Plus, The Global South, etc.)? Any possible answer requires at least two things:
- Finally understanding truth and reality: something Western leaders and NATO never did with respect to the Ukraine / Russia conflict.
- A structure for reorienting their irrational thoughts back to economic reality. Globalists can no longer engage in fantasy, wishful thinking, and denial of truth.
One structure helpful to understanding these realities is The Catholic Framework for Economic Life (CFEL). The CFEL (not just for Catholics) was developed more than 25 years ago by the U.S. Conference of Catholic Bishops. It consists of ten points outlining essential protections, responsibilities, and opportunities for all economic stakeholders. The ten points of the CFEL follow (in bold), with examples of irrational Russia / Ukraine decisions made by Western globalists (underlined and in italics).
1) The economy exists for the person, not the person for the economy.
Ukraine CFEL Conflict – Russia-phobia and irrational hatred. The mismanagement and blindness of globalists on Ukraine is stunning. Residual effects from the Cold War, false Russia-gate allegations, demented beliefs in toppling the Russian government, delusional quest for regional resources, using Ukraine to weaken Russia – all had a devastating impact on objective evaluations and decision making. Clearly, North American and EU globalists do not have the skills, abilities or judgment to run the global economy. Western globalists will assure the person works for them – the leaders of the global economy (not the global economy for the person).
2) All economic life should be shaped by moral principles. Economic choices and institutions must be judged by how they protect, or undermine the life and dignity of the human person, support the family, and serve the common good.
Ukraine CFEL Conflict – prior to 2022, NATO and US / EU officials never had a realistic grasp of the operating environment and capabilities. They underestimated everything: Russian resolve on NATO expansion at their border, the 2008 memo on Ukraine (NYET Means NYET), the 2014 Maidan events, Minsk Accords, etc. How can those who were so wrong on basic assessments make moral world-wide economic decisions? Should Western globalists be making economic choices on life, families, and dignity of the human person?
3) A fundamental moral measure of any economy is how the poor and vulnerable are faring.
Ukraine CFEL Conflict – who is better off? With the exception of a few oligarchs, the Ukrainians who are still alive are definitely poorer and more vulnerable. In the US and Europe, taxpayers are poorer and more vulnerable. How will winter heating bills be? The military-industrial complex and some international corporations however, may have financially benefitted. Hopefully Western globalists do not implement a similar Scorched Earth economic approach on other poor and vulnerable people around the world.
4) All people have the right to life and to secure the basic necessities of life (e.g., food, clothing, shelter, education, health care, safe environment, economic security).
Ukraine CFEL Conflict – ‘For As Long As It Takes’. Or until we run out of money or political will – whatever comes first. The whole world watched when we foolishly made promises on Ukraine we could not keep. Do we even have a Ukraine plan? What is the goal now? A peaceful settlement is needed before losing more lives, money, and time. But most Western globalists won’t admit mistakes. Who would trust unipolar globalists on the basic economic necessities of life? Safer environment? Economic security?
5) All people have the right to economic initiative, to productive work, to just wages and benefits, to decent working conditions, as well as to organize and join unions or other associations.
Ukraine CFEL Conflict – In their zeal to expand NATO, globalists undermined NATO’s credibility and strength. There may be more members, but NATO is weaker today than it was a couple years ago. Does anybody believe the knowledge, assessments, and skills globalists demonstrated on the Ukrainian conflict will make the global economy stronger? Would Western globalists really improve economic working conditions, wages and improve living standards around the world?
6) All people, to the extent they are able, have a corresponding duty to work, a responsibility to provide for the needs of their families, and an obligation to contribute to the broader society
Ukraine CFEL Conflict – globalists and media oppression of those who disagree. The faith community is one example: whether it’s the Orthodox Church in Ukraine, targeting traditional Catholics here, or the current media obsession against Christian ‘nationalists’. Individuals around the world understand the Western hostility secular elites have towards groups holding different beliefs / views. Frequently, the international organizations the West created try to advance the West’s unipolar interests (like Ukraine). Economically, it makes trusting them on work, providing for families, and contributing to society difficult.
7) In economic life, free markets have both clear advantages and limits; government has essential responsibilities and limitations; voluntary groups have irreplaceable roles, but cannot substitute for the proper working of the market and the just policies of the state.
Ukraine CFEL Conflict – doubling down on war funding. Even with no current chance of winning the war militarily, many globalists do not want a political settlement. This is the worst possible logic because it continues to send so many young Ukrainians to die (now includes women and old men). These are the last individuals that should be in government, positions of power, or running the global economy. Doubling down to ‘save face’, or not using a reverse gear, when so many lives are at stake is unconscionable. The 2022 Istanbul peace proposal the Collective West disrupted, now seems almost unthinkable.
8) Society has a moral obligation, including governmental action, where necessary, to assure opportunity, meet basic human needs, and pursue justice in economic life.
Ukraine CFEL Conflict – redefining success. A few US / EU and NATO officials are walking back statements about a Ukrainian victory – now suggesting holding territory, symbolic wins, etc. If it leads to a peaceful war resolution it is preferable to doubling down on irrationality and illusion though (see #7 above). Could Western globalists make similar economic mistakes with this CFEL? Redefining what economic justice means? Or what human needs are, etc.?
9) Workers, owners, managers, stockholders, and consumers are moral agents in economic life. By our choices, initiative, creativity, and investment, we enhance or diminish economic opportunity, community life, and social justice.
Ukraine CFEL Conflict – unintended consequences: Example: economic sanctions. Instead of having an adverse impact on the Russian economy, sanctions provided a stimulus. And while the Global South over the past two years desired economic stability and expansion opportunities, Western globalists focused on war, conflict, and deindustrialization. These were terrible choices that diminished economic opportunity, life, and social justice.
10) The global economy has moral dimensions and human consequences. Decisions on investment, trade, aid, and development should protect human life and promote human rights, especially for those most in need wherever they might live on this globe.
Ukraine CFEL Conflict – What the rest of the world thinks / hears when globalists say:
- ‘International-rules-based-order’: Western globalists make the rules and then orders the rest of the world to follow. Ordering the world to tolerate the continued destruction of Ukraine (not to mention other global conflict areas).
- ‘Sustainable development goals’: sustainable development of the Western elite’s investment portfolios. Military contractors in Ukraine for destruction, followed by their corporate developers and construction contractors for rebuilding.
- ‘Diversity, Equity, and Inclusion’: sadly, inclusion and diversity among the dead will increase as more Ukrainian women and old men are sent to the front lines. An increase using these demographic groups is dreadful. And so is our support / funding for a war Ukraine cannot win militarily.
The mindset globalists used in Ukraine should not be applied to this CFEL point.
SUMMARY
The tragic Ukraine War could be an unfortunate barometer for future economic globalization. As some contemplate Ukraine rebuilding, so too will the world when the West looks at rebuilding its reputation. Unipolar / Western dominance, vs. a more inclusive system based on actual shared values. Calm dialog and reasonable solutions to conflicts, vs. escalation, provocation, and aggressiveness. Ukraine in the future may only exist as a fraction of what it used to be – and the jury is still out for the future global economy. Reversing some recent decisions however, could make the world more peaceful, stable, and prosperous for everyone.
PS – note to Billy Joel: maybe we didn’t start the fire, but in the last couple of years we poured a lot of gas on it.
REFERENCES
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“A Catholic Framework for Economic Life”. United States Conference of Catholic Bishops (2015). Retrieved 9/19/22
(https://www.usccborg/resources/catholic-framework-economic-life-0).
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Dr. William Raynor is a Retired Professor of Business – State University of New York
