World Economy in the 21st Century

On September 11, 1990, President Bush Senior announced the beginning of the New World Order of peaceful resolution of international conflicts, rapid scientific and technological progress and worldwide economic prosperity. His declaration was not accidental. It nearly coincided with two spectacular cosmic phenomena, Pluto perihelion in 1989 and Uranus/Neptune conjunction in 1991-94 marking the beginning of our new Globalization Era in 1989. Read more.

Century of the Oligarchs

About a century and a half ago, Karl Marx, the founder of “scientific” communism, predicted that the 19th century capitalism based on the low of the jungle transferred into economics will be replaced by a new economic order. This new order Marx called state capitalism based not on the “survival of the fittest,” but on the “survival of the adaptable.” According to Marx, government institutions will merge with large corporations, and a few super wealthy will be in total control of every nation. Unfortunately for most and fortunately for a very few, Marx’ prediction came true not only in the U.S., but also in most of the world. It is a historical irony that such an economic system also emerged in Russia, the country of the first successful proletarian revolution, and in China with its communist ideology. The power of the oligarchy worldwide does correspond to the planetary positions in the beginning of the Globalization Era. Read more. Pluto in Scorpio stands for banks and other financial institution as well as for the stock market, while Saturn in Capricorn—for all levels of government up to President. The sextile between these two planets points to the harmonious relationships between oligarchs who control the financial institutions and the government. Since 1989, oligarchs has gained enormous influence all over the world, and their influence continues to grow. The most outrageous excesses of the oligarchic rule are characteristic of the influence of Neptune/Pluto secondary septile in 1999-2016, while the most the desperate struggle against the oligarchic rule were caused by the influence of Uranus/Pluto square in 2011-16. So far, the oligarchs are clearly winning. The Arab Spring, Occupy Wall Street movement, two revolutions in Ukraine, mass protests in Bulgaria that lasted for almost a year and violent demonstrations against austerity measures in Greece, Italy, Portugal and Spain have succeeded only in removing a few oligarchs from power in Ukraine, Tunisia and Egypt, but failed to present any real challenge to the oligarchic rule. The struggle is far from over and it may even intensify during Uranus/Neptune semi-square in 2016-21, especially in Russia. Read More. However, it appears that the rule of the oligarchs is here to stay at least till the end of the current Pluto rotation cycle in 2113. There is no need to despair though. In antiquity, ancient Greece, the Roman Republic, Carthage and Phoenician city states, all were ruled by oligarchs; and the same was true for most Italian city states in times of renaissance. In spite of their obvious imperfections, all these states separated by time, religion, language and culture, managed to provide their citizens with the standards of living much higher than most of their neighbor states. When Neptune and Pluto begin to approach their sextile in 2021, the rule of the oligarchs will become quite benevolent, and humankind will resume its triumphant march through the Globalization Era under a cheerful tune.

Economic Stability

Pure capitalism based on fair competition never existed. There have always been government and special interest interferences with economy. In the past such interferences on a large scale occurred only in times of crisis. Thus, governments of all nations involved in WWII maintained very tight control of their economies. Now is the very first time in history when national governments attempt to control their nations’ economies in peaceful times. Born in the Soviet Union, a country with highly centralized economy, I can testify that the Soviet centralized economy was very stable. It was able to avoid all minor economic recessions that affected the West since 1922. However, this centralized economy did not save the Soviet Union from a worldwide economic depressions in 1921-22, 1930-37 and 1947-49 which occurred during severe stressful aspects between Uranus, Neptune and Pluto. As was the case with the Soviet Union, present day managed economies are able to successfully dodge mild to moderately stressful planetary influences. Thus, many of the world economies suffered from economic recessions in 2014-15, which did not occur in the U.S., Germany or China, nations with well managed economies. This economic contraction in most of the European Union, Russia, Ukraine and war-turn Middle East took place under fairly mild stressful aspects. Therefore, we may conclude that in managed economies of 21st century the alterations between economic booms and busts will be mostly avoided. Mostly, but not completely. Managed economies will be able to avoid or at least minimize the effect of minor stressful aspects. However, they will not be able to dodge the influence of severe stressful aspects such as Uranus/Neptune semi-square in 2016-21. Read more. Instead, the current irresponsible fiscal policies, many of them identical to those which led to the Great Recession, will make this incoming recession worse. After 2021, well managed economies, including ours, will grow steadily through most of the 21st century, but still experience 2-3 very severe economic contractions in this century.

Income Inequality

To summarize various economic research on the subject, about 10% of Americans live in poverty, and their number is growing; 80% constitute middle class, and their income has been steadily declining since the 1970s; 10% are wealthy, and their income remained essentially stable. Meanwhile, the super wealthy who constitute a fraction of 1% of the population have accumulated enormous wealth and, what is the most important, essentially gained control of the U.S. and government and its economy. It appears that similar situation exists all over the world, except in the most of Asia and Africa as well as in Russia the percentage of the very poor is far greater while the percentage of middle class and the wealthy are far smaller. Unfortunately, such income inequality will persist at least till the end of the first part of this new Globalization Era in 2113. Perhaps, it will continue much longer. However, the most blatant institutional corruption observed not only in Russia and in the 3rd world countries but also in China, and even in the U.S. and Northern Europe, which rigged the economy and politics in most of the world in favor of the super wealthy, will significantly diminish with the end of Neptune/Pluto septile in 2016. Uranus/Neptune semi-square in 2016-21 will bring mass protests against economic inequality as well as race riots Europe, Russia, China and the U.S. the like of which we have not seen since the 1970s. These protests and riots will not eliminate income inequality. Nevertheless, the middle class income adjusted for inflation will begin to rise after 2021. Even though, the income of the wealthy and, especially the super wealthy will be rising much faster. Also, we may expect the expansion of benefits to the very poor and even lower middle class. In spite of income inequality, developed economies of the new era will ensure that almost no one will go hungry and almost everyone will partake in the unprecedented economic expansion of the Globalization Era.

Upward Mobility

The greatest upward mobility always occurs in the beginning of a cycle formed by Uranus, Neptune and Pluto. Last time it took place during and shortly after Uranus/Neptune conjunction in 1991-94 which was the beginning of 173-year Uranus/Neptune cycle. In this period thousands of former “nobodies” became movers and shakers in Eastern Europe, China, South Africa and the republics of former U.S.S.R. A similar phenomenon, but of much lesser magnetite took place in the U.S. caused by the computer revolution of the 1990s. Alas, these times are gone and over. Unfortunately, economic and political stability leads to the reduction of upward mobility. Naturally, the talented, independent and ambitious from lower socio-economic classes will surely find their place under the Sun. However, almost no one will succeed on a grand scale by starting his or her own business in a garage like Steve Jobs did. Unlike him, future geniuses would have to get an advance college degree, be willing to relocate anywhere on the globe and then hold on to their jobs, if they aspire to succeed. Fortunately, stressful aspects between Uranus, Neptune and Pluto, also provide an opportunity for upward mobility. The only exception is Neptune/Pluto septile that significantly reduces upward mobility. Luckily, it ends in 2016, and Uranus/Neptune semi-square will begin same year. The latter aspect has high correlation with increased upward mobility. So, the period of 2016-21 will provide great opportunities to those with creative ideas. Good luck with it.