in crisis is billions of given wages. lensky, 40000000 in the usa cannot eat tonight without federal age and the form of food stamps. germany, the east pa houses in recession and in brittany death is moving, u. k. g d. p. for the 1st time since 1961 this old while the global south is beginning to organize a new global architecture away from the dollar and for some even away from a brutal new level model that has impoverished, killed, wounded, or displaced hundreds of millions. joining me now for new york city's award winning university of massachusetts. i'm a professor, jackie, gosh, thank you so much for of as of are coming on, you know, if you shoot into circles corporate uh, mainstream, meet here in the nato nations. they say the food crisis is to, is russia. i mean, it's a, it's a russian to blame in ukraine. the grain deal in the bread basket of the world. that's a story on the media. is that the whole story, or is the 783000000 hungry tonight? not about supply. just i would say it's not even thought of the story. i would say

that's what's going on. in fact, in the global we've market, the green market is much lot to do with profiteering by logic business, a speculation in the financial markets. because if you look at the bottoms of demand and supply, i even changed over 2022. you find that there's no real global change. in other words, yes, there was a decline in production in the ukraine, not really so much at all in russia. global exports have gone up to the production has gone up and global demand, which is, well, just utilization. the difference between that is around the same. so it's really, that's the fact of the ukraine war and the fact that russia and ukraine such as logic sports us, was made into this big thing to terrify everyone and provide a very convenient cover for other businesses to raise the prices. it is also meant that especially in the busy between february and june 2022, there was

a massive increase in financial speculation and product markets and we commodities to adjust. this happened in the us in chicago. it happened, and that is the lead exchange is the biggest one in europe. and you find all kinds of financial play of hedge funds, pension funds, getting big done into these i'm leaving often. so it's important because they knew that in fact, it isn't really a big shortage in supply. and so by on september the price is a back to the pre war levels in the reach markets in the futures market. but developing countries fast, much higher prices, because meanwhile, debt currencies have depreciated and they are facing really a major crisis. i know you know, and advocating profiteering, but there is lots of money to be made is, is hey, in short selling and long selling. but then why is, is that people don't actually know around the world where the prices for breads

that they eat come from. i mean, how, how does the media manage to distort the mechanisms of the economies is something to do with it? is for universities, you teach and universities. is that something to do with the trickle down economics theory? what i want to just go trickle down economics here. do you see it's a v. i didn't mean to trickle down economics, is it where i'm in? the ferry, is it coming down from the academy? yeah, yes. you're right. the series are coming down, but i would say that this is not really a box theories. it's taking a basic idea that everybody knows demand and supply, right? the do mind if advises and supply doesn't change, then prices will go up on a supply, falls and demand doesn't change, the price is gonna go up, right? that's a basic thing. anybody understands? it states that and then taking any unexpected events to claim that this is going to have dramatic effect. one of the 2. so this actually happened already. we've been

to this particular we've had the best movies to play out already in 2007, 2008. when there was another global sold crisis. at that time everybody said, oh it's because demand has increased, china and india are growing and they're eating much more. i mean, they basically pres, made out that it was because supplier of the same. but the southern increased demand from china and india that causes the prices to go up. but in fact, we know, but that didn't happen to be increasing demand from china and india was a day. it was just going of the same rate as it always grow in the last few years. it wasn't, there wasn't knowing balance. and then they said, oh, but there's a hobby stranger in canada, the australian wheat crop is affected. so they, they bring out the news as if it's going to be a big, massive impact on the supply. but the thing about something like we, it's produced all over the world. so if there's a harvest page or something like that, as it could be compensated for by an increase production,

somebody this. and that's really the story of what's happened even in 2022. obviously, all these news organizations deny they're being controlled and some style in this couple involving profiteering hedge funds and private which accompanies shown i'm saying, i'm saying that it's the simple answer which extends to them including buy agribusiness. you know, if you're a good reporter looking at the weight market of cost, you wouldn't talk to some of the big green changes and they lose it. oh my god, it's a mess. you know, i mean ukraine is love exporting. it's a disaster isn't good to me. you know, 20 percent rise in prices, so they believe it. well, russia is saying that it's uh, the goal of the deal is to head off with the food crisis. it's ready to supply nations free, but the us is given quarterly $1000000000.00 extra. does the landscaping loss of both of export? so maybe it wasn't about poor people and oh,

you written the lesser or you sign the lesser along with 236 other economists to un secretary general antonio gutierrez and the world bank was a banga. i don't know how it goes down to the world bank or the i m f. tell me, i'm have this letter that you've signed, co signed. so this is actually the, the immediate context is the fact that the u. n. is in the process of a mid term review of the sustainable development goals. ok, and going number 10 is reducing any quality. so we have been on doing that. if you hear that, that's the goal. that has been marginalized completely. it's really the often child of all the s d t is there is nobody taking that out, but emphasizing it. and yet we've been a professor just eclipse and now we were involved in failing the letter. we feel that if you do not actually address any quality, you're not going to meet any of the articles and to address it equally, do you have to begin by measuring it proper properly?

so letter saying, well, no one problem with this goal is that you have the wrong measure. the measure is what is called shed prosperity. loved to do right? and if looking at where the bottom 40 percent of the population is going faster than the average gdp. so if that's the case, then this is oh yes, fine shed prosperity and no, not looking at any of the any quantity indicated. but in fact, we know in countries that you really have to look at the genie go efficient. you have to look at, let's say, the bottom of the issue, which is the ratio of the income of the top 10 percent of the population to the bottom, 40 percent of the population. if it gives you a kind of, you know, the rates. what does the book relative ratio? and you have to look at these indicate just for doctors income, but also went because we know where it's in the quality of exploding. so what we're saying is, listen, you cannot go by an indicator that doesn't tell you what the real estate of any

quality they are claiming that more than half the countries are showing progress. but if you look at the genie or you look at the bottom ratio only about 20 percent of the country that showing progress, in other words, 80 percent of countries are regressing, they getting less on these out there to indicate just, well, i don't know about you but i mean, when you go to all these conferences have, if they're big management consultants, they're advising developing nations. they're talking about and those kind of go officials, they're talking about reversing a statistical analysis to be talking about absolute poverty and getting away from even in poverty. at all, in the face of a i think you probably describe as a catastrophe for the boys, people around the world as well. yes. you know, i mean, these blue book consultants, so as you perceive, rushing around the globe, advising countries and multinational institutions are, i would argue, or v a, b to any kind of progressive economic ideas. my friend, my,

the must have got to having to do it in the past. as of it, in the recent book about this, it's called the big gun, which is looking at the consulting industry and the role that they play. but i think the real point is best, but you know, when you get extreme and ecology like this of cost, relative measures are very important. but they in eventually also needs to absolute increase in poverty. and that's what i've seen today. and yes, thing the rest of the top 10 percent, it's loading. and yet more people in absence number forwarding into poverty. and especially after always, we've actually seen more hungry people. the number of hungry have increased by more than a 120000000. according to the fios estimation, i mean, i want to get back to those consultants in the 2nd, but you wrote the letter to the uh, well, bank is partner institution, obviously dominique stress khan and christine the god where i am f managing direct is guilty of con for rape, the gods, or negligence, the actual crimes,

or the gods. a negligence was a, she didn't take up or one year a prison sentence. but you know, as an institution, a $155000000000.00 is owed to it. countries do take the i m f seriously. how do you characterize the i m f, and i don't know whether you want to give advice to any will meet as a developing countries about what to say in a meeting if they have one coming up with an i. m f representative to renegotiate their loans as well where it just stopped. so, you know, i think it smells fairly clear to most sensible people that these global institutions i no longer fit for purpose. they were created in a very different was with very different deal. political circumstances was very different, politically got me would differentiate as of economic followup. and the world has changed very dramatically, but the i m f and the world bank persist in is structure. that is,

does not represent the was as it is today, or the global economy. and that gives disproportionate power to the u. s. and the european countries, which they have not used in the most desirable ways. so they're also very clunky institutions. they take forever to do anything useful. they are supposed to provide the i'm f as in jobs are providing tetra me. we have a debt crisis by their own admission. more than 70 countries. i mean what severe or multitude that stress? they do nothing for. yes, i mean the country is the approach them for the different day, 3 years before they get get a result and does that, but really is so niggling is it's so stingy that it's a milestone. you know, it actually doesn't really have the so off to venture nice but examples i'm yeah, has just managed didn't agreement in zambia and she's got to be sent to jump to i'm actually pretty much i'm going to continue to pay spot due to 50 percent of the

budget's on deadly on debt servicing. this is off to the so called relief. so you can see how these are institutions that are not really taking the concerns of different countries. seriously. progressive driving, gosh, i'll stop you. the more from the renown professor regan nomics at the university of massachusetts that i'm has after this break, the the

of the buys administration in nature world are fascinating with soft power and rhetorical ships. remember, ukraine will win, and ukraine is winning. now we hear rush, it is lucy and stephen brushing his last narrative. manipulations do not change hearts. we all the welcome back to going underground. i'm still here with professor dry, the gosh, reservation nomics at the university of massachusetts, and i'm just, we were talking about the v i m f in the alarming statistics like 50 percent. the developing countries been tied budgets being paid to the debt relief. ukraine actually said the item that we either that servicing, i mean you said the slow, they give $10000000000.00. do you agree? uh, quite quickly. uh, give me, do you think uh, one psychological lemme element in the war is that uh, they don't seem to be any war bonds, any war taxes have to pay. i mean,

previous was the populations of get tired of having to pay for was there seems to be unlimited amounts of money in your up in the united states. and where's the money coming from as the your gives it away and is the united states because of the way? you know, one of the biggest joke the p v is in so many of these various countries is that there is no money we have seen, but when they want to spend can produce money out of a hat. right? during coleridge, the us spent an additional $50000.00 but got but we're talking to use of dollars. just imagine suddenly to be for the go into the packages. okay. your opinion? yes, very, very large increases. i mean, all the countries increase the deficit additional spending by between 10 to 30 percent of the b. ok. by contrast, 1000000 don't countries, low income countries, they can bury the country, spent about 5 percent of gdp, low income countries,

to percent, or to to give you the difference. the us spends $2000.00 addition. i mean, the bus, the low income countries spent $2.00, but by some additional that's the kind of difference we're talking about. but the point is that when these countries won't be, can spend money, they can simply print and produce and spend the money. and they've done that during the pandemic. they've done that for any further stimulus packages. they've done it for the green war. it is very, very large. this is going to a relatively small economy, massive amounts of defense spending going to ukraine. they've done that to save their own backs and they can work on the weekends and be very flexible if it's something like silicon valley bank cost and to get bank that does that stay southern and you find no rules or nothing. the same thing in europe when it's a 53 switches at stake, southern need, they will go back on everything but all the regulations that they have declared

well in, you know, inviolable. and they will provide relief and assistance and come to a team over the weekend. a country like gone, i've got 2 legs and the country like, oh, the country's jobs that are distorted for that to be a waiting. yes. i need to jump through endless hoops before they gets even in the direction of some money. well, if the money is being recycled through arms companies and so on, and it's being printed, why is it that the bank of england, the fed these if you don't think it, they don't think about inflation. is inflation pos of this? because why is it say food inflation say the past month or so in britain is 20 percent food evasion in india or it's only 5 percent in china, one and a half. so that for good. okay, 11 brazil, 6. is that why is inflation for food going up in the countries that are at war and ukraine and not so much for the global south? this is very much to do. this is all retail inflation. this is a whole,

there's the money that consumers face in the shops and that, you know, there's a very long distribution chain. so the real story here is, it's not because of what's happening to the global reach price. it's really about what's happening in that distribution chain. so when i say that, i mean, you know, governments in the, in farms i've got to have to, i think, the, the boss, the companies or, you know, the companies that produce all of those basic when they go to basic food items. because they are charging excessively high prices, even when there is nothing really in terms of the costs to justify that. so a lot of it has to do with the distribution to that. okay. well, as soon as i know what you're here on this, i will go mainstream media from the economists and the economies that are being shown in 3 digital britain, i should say, add to it, saying is, may have to reverse. and a lot of these saturated privatization is, i mean the main big as was a company in london times water might have to be naturalized. they've obviously

like, uh, in europe and in the united states. it's a nationalized bank stuff. that's the 28 prizes. why is it developing countries is still being advised and it relates to what the i may have presented. we say is part of that conditional am if a loans and loan servicing, why they still being told to privatize even here in the u. a. i mean, every country in the, in the developing world and emerging economies, those big consultancies are hired and so on to privatize not democratize a. yes. and in fact, the advanced was, is recognizing more and more that you need the public sector that you need to probably control over critical institutions including and find that, but also in a whole range of utilities and other things. however, bad big business still wants to make money out of all of these things in the rest of the world. and the reason why it's and got his daughter loud is because it, it actually is extremely profitable for global big businesses,

especially the multinational, based in the us and europe and japan as the way to actually make money from these privatization. so a lot of this reflects being just a big business. i'm not being conspiracy theorist. i'm not saying that they ask the thing in the backroom and say, oh let's do this. i'm just saying that the whole process works out in such a way that the major beneficiaries are in fact, big business. i want to emphasize to that, you know, people in the rich countries are generally ignorant about all this. i don't think that people would actually be supporting these kinds of things big. they don't realize what's going on. big are all spend this idea of private sector efficiency. they also fence the idea that bureaucracies in the global south of bloated and they're all these people sitting around in offices picking their noses and not doing any work. and so they feel that yes, it's ok to privatize because it would make them more efficient. people actually feel this, they are not informed about the actual processes that are going on and what it's

doing to living standards. and actually just a 5 or a whole many people in, in the global majority. i mean, currently it's not conspiratorial. i mean, idea, logically it's taught at business schools and it to universities do these are leads . but why is it that governments in the global south haven't gotten onto what people in the developed world already know? i mean, i can understand zelinski selling to black, or y'all, can jp morgan most of ukraine or was of ukraine. but why is it the global south, the still enjoying the delay d, y k b m g p, w. you see the big for about how to change their entire economy is to make them better. according to them you don't. government in the developing world also are very complex creatures. they'd be reflective, particularly political economy, and often they reflect the interest. so bear on edits, and sometimes those are, these are what we used to in the old days called comfort, or that is that interest that tied up with multinational capital as well. so it's

not, but the governments are representing really the interest of the people. i would say that's true, even in the globe or not. i mean, this whole thing about giving so much about was what was so many subsidies and been power to pharmaceutical companies that produce the vaccines entirely above the cost . but then we're allowed to judge really prove it to prizes and retain the fidgets that didn't tend to benefit anyone other than the pharma companies and the finance companies that had invested in them. it didn't affect it didn't benefit, don't many people in the, in the goal does not, but so governments on operating ways but don't reflect the interest of their own people and it's not being transmitted to the people, even as they suffer through this. that's right. i, i'm ditching into us now. i'm stunned at the nuns about this, even in a, in a university down in the progressive body of the us. be most of the, don't know,

they're all the big finalized me. they live with extraordinary high cost of drugs. i mean, the insulin, a essential life saving drug for diabetes is actually prohibitively expensive and you'll find it instance of the old people going without it. because if they can't afford to have a few more than a few dozes a month and so on. yes, all of this is somehow accepted and i find that extraordinary because it's a real lack of knowledge about how governments have created the regulations that would benefit large companies rather than the people that i remember when dr. saying that in the develop world things are bad, but developing well there things are bad, but there is hope i don't know after having and what 35 years experience teaching in india versus easing in the united states. is it some of the levels apology? i know in india they have the same amount of poverty as the oldest of our and have her go put together. but there's hope in the developing world, where is it with develop? will they have it? and they, they have a crisis of malnutrition and lack of food security without any seeming hope to

eradicate the way you know. no, i would disagree. i think the degree of poverty in the developing world and suddenly in india and south asia, that it does not seem to come back in the us. yes, that is o g b s that is hung up and just not interested in the us. but the level of destitution that you find in india is way beyond india that that's why the us have a snap food stamp program to protect the 40000000. yes, we can't afford to eat tonight then. yes. so you know, the us does program which objects to other countries doing it. so it's, it brought to jason the w t o against the indian national forest to get it yet we just just providing for the green to the board has filled up. what is they have a food stamp program, which is w t o compatible, simply because they made the w to a rules in a way that would make it compatible. i mean, it's really shocking that we find such egregious examples of the not

pushing policies, but it's been would never apply in their own countries. course, there are some of the say the w t o is on the way out now, and that the error of the video from you can jot the timings from the seattle riots and uprising to, to now, what, how tricky will it be for developing countries to the dollar eyes, the couple from new liberalism in western europe, in the united states. i mean, they come, they have investments in dollars they have solving well the funds. uh, what's the future going to be like, as they trying divest themselves of the connection to the united states in europe and become independent future will be messy. the future has got to be extremely messy because as you said, that so many lakes also because let's face it, the needs in all of our countries are very closely integrated with the us and europe. and so they want to keep all those things as well. so it's going to be very

complicated and messy, but i do. the process has already started. i mean, you've gone tab, i think the global north and g 7 in particular. they don't previously utilize the extent to which the rest of the was lost. faith lost draft of defend demick was a real eye opener for many countries, especially in africa because it was so blatant self interest was so exposed the nationalism in terms of the vaccine grabbing the resistance to having eclipse weavers in w deal to allow other countries to produce the offer of vaccines when the 2 weeks before the expiring date so that they can be used. and then all of that is classified as for an aide. all of these have been such a extreme and soft as a betrayal because very that your trust and so best for when the us and you're surprised that, oh, why isn't everything mr. quoting us about that you paid was the initial be because

most countries now feed with these a not visit g 7 does not need to. so the what they need is of themselves and they will only push their own interest. so why should the rest of the world going on with them on everything they want? well, so it says silicon valley very powerful. we go out and multiple platforms, some of them don't mind, but others even raising the question of profiteering of, of accedes in the, the iniquity of the whole cove and crisis is enough to get from band in a sense of the country like the united states or or in west new york, just quickly the only environment because they talk a lot about the environment in the you and in washington, we had small hash on talking about the by the ministrations of destruction, the north stream pipeline law. just as a means, a mission events, a man made in history. so is the environment and leveling the facts gas now being sent to your how seriously do you think the western countries are taking the wisdom of leads and taking the environmental crisis?

had a comp $28.00 here in dubai. you know, i am in despair about the environment. i really see you that the needs across the was not just in the west and it's across the world and not taking this time of crisis seriously enough. and everybody's persisting with more efforts of field investment and all some fuel subsidies. the direct and indirect subsidies given to fossil fuels were estimated not by me by the i mass right at about 65 on each trillion and 2020. since then, we know they've gone out, but because of the ukraine war. so in fact, we are getting an extraordinary persistence of fossil fuels, which we know opening the cabinet. whatever green investment is coming is really at the margins of slight increase as net pushes chime. that's probably the most advanced and pushing towards renewable. but across the world, better still heavy reliance and supposed to feelings and the new gold investments

which are coming up in menu in the country. so i am really in despair about the lack of any realism forget, you know, that this genuine concern, they just, that's just unrealistic about how they're approaching. but like the drop, the price of china goes. thank you. thank you. and that's it for the show. keep watching, going on the ground every saturday and monday. you can keep in touch with us why i roll out social media. if it's not senses in your country and had to channel going underground tv on normal dot com to watch new and old episodes of going underground season, the blue i knew the distance of the hold up to

the series 20th, which was for you. and you have them by see the display of this, of the property, but even the way needs. yeah, you're saying you missed us and you to see that few those him but the installment the village doesn't notice. we are gambling with the future of all mankind and we're, we're risking it for not the the, by the administration in nature, world are fascinated with soft power and rhetorical ships. remember, ukraine will wind and ukraine is winning. now we hear rush, it is loosing and even brushes as last. narrative manipulations do not change hard . we the,

the, [000:00:00;00] the, the number of casualties. the policy is $100.00. as they were trained asylum seekers and police clash and television also ahead the thousands of protest. it's floods me, jazz campus, it was the front swimming, big stripes of the powers refuses to record and send boy that also recognize the name. and it's highly government who has a local on good 5 french policy. they're all lens that belong to the german. then the french name stokes it to the visit. we respect the french and the only one