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THE CAUSES OF CHAOS IN THE WORLD ECONOMY AND HOW TO
ELIMINATE THEM
Fernando Alcoforado*
This article aims to present the causes of the chaos that has prevailed in the world
economy for centuries and how to eliminate them. These causes are explained by the
absence of feedback and control mechanisms in the world capitalist system that would
allow mitigating the harmful consequences generated by long waves or long economic
cycles of the world economy presented by Russian economist Nikolai Dimitrievitch
Kondratieff who shows how the world capitalist system has evolved with cycles that go
from prosperity to economic decline from 1780 to 2010, as well as mitigating the harmful
consequences generated by waves of innovation by Austrian economist Joseph
Schumpeter who shows how technological innovations introduced into production
processes in each Kondratieff cycle are responsible for expansion and decline of the world
capitalist economy. To deal with the cyclical crises of capitalism and put an end to global
economic chaos, as well as ensuring that technological advancement does not cease and
contributes to the progress of humanity, the only solutions for stabilizing the global
economy are the adoption of Keynesianism in each country and globally and the existence
of a world government.
Kondratieff's long waves of prosperity and decline of capitalism from 1780 to 2010
Russian economist Nikolai Dimitrievitch Kondratieff presented in his book Les grands
cycles de la conjoncture (Economica, 1992) the so-called supercycles, great waves, long
waves or long economic cycles of the modern capitalist world economy. Kondratieff was
the Russian economist, tasked with planning the Soviet economy in the 1920s, who
theorized that capitalist economies move in a great cycle that became known as a
Kondratieff wave that lasts about 50 years. A Kondratieff wave consists of a period of
strong growth followed by slowing growth. Figure 1 shows that there were five economic
cycles from 1780 to 2010.
Figure 1- Kondratieff's major cycles from 1780 to 2010
Source: https://emgotas.com/2016/11/07/os-ciclos-de-kondratiev-e-o-estudo-de-hans-rosling/
2
Kondratieff identified, in 1920, 3 phases in each capitalist economic cycle: expansion,
stagnation, recession. This wave theory was based on 19th century price data that also
included wages, interest rates, and commodity prices. A Kondratieff wave begins with a
rise when prices are rising and the economy is expanding. The rise ends when rising
inflation causes a recession. Kondratieff's thesis is that economic cycles consist of
alternating periods of high growth and periods of relatively slow growth with waves
ranging from 40 to 60 years. In his research on the 19th century, Kondratieff found the
existence of two cycles (the first cycle from 1780 to 1830 lasting 50 years whose
economic expansion occurred with the introduction of the steam engine to production
processes and the second cycle from 1830 to 1880 lasting 50 years whose economic
expansion occurred with the development of the railroad and manufacturing of steel. In
the cycle from 1780 to 1830, the expansion of the world economy occurred until its
collapse or stagnation in 1815, which coincided with the fall of the Napoleonic Empire,
followed by recession until 1829. From September 1814 to June 1815, the great powers
of the big four (England, Prussia, Russia and Austria) met at the Congress of Vienna
seeking to rebuild the old European order and redraw the European political map after the
Napoleonic wars. The cycle from 1830 to 1880 occurred until its collapse with the global
economic depression of 1873, 58 years after the crisis of 1815, followed by the recession
until 1890. It should be noted that the global economic depression of 1873 contributed to
intensifying competition between powers European imperialists that led to the First
World War (1914-1918).
In the third cycle from 1880 to 1930, lasting 50 years, the expansion of the world economy
occurred when the use of electricity was widespread and the chemical industry developed,
which evolved until its collapse with the Great Depression of 1929, 56 years after the
economic crisis of 1873. The global economic depression of 1929 contributed decisively
to the outbreak of the Second World War (1939-1945). The fourth Kondratieff cycle,
which began in 1930 and ended in 1970, after the Second World War, lasted 40 years,
whose expansion occurred with the high development of the automobile and
petrochemical industries until the oil crisis of 1974 to 1980 that occurred 45 years after
the Great Depression of 1929. The fifth Kondratieff cycle began in 1970 and ended in
2010, lasting 40 years, whose expansion occurred with the development of information
and communications technology until the financial crisis of 2007-2009, which occurred
33 years after the oil crises between 1974 and 1980.
Schumpeter's innovation waves of capitalism's prosperity and decline from 1785 to
2020
Kondratieff's studies on long economic cycles were taken up by the Austrian economist
Joseph Schumpeter, one of the most important economists of the first half of the 20th
century, who interpreted that these cycles are not repetitive. Schumpeter stated that the
constant and increasingly frequent innovations in capitalism make Kondratieff cycles
progressive, where each period of economic prosperity (peak) is increasingly prosperous
than the previous one, each period of economic depression (valley) is less and less deeper
than its predecessor and, although the distance between peaks and valleys is increasing,
its cycles are lasting less and less time. Schumpeter states that the development cycles of
capitalism happen thanks to what he calls “creative destruction”, which is in the essence
of new technologies that “destroy” old ones, making them obsolete, and that emerge like
waves, randomly and are generally accompanied by the increase in capital and labor
productivity, when innovative entrepreneurs are able to allocate products and processes
with competitive advantages in relation to their technologically outdated competitors.
Creative destruction is a concept in which Schumpeter described a change in the
3
economic profile, when innovative ventures destroyed old and outdated companies and
business models.
Schumpeter's expression “creative destruction” means that new technologies introduced
into production processes in each cycle are responsible for the expansion and decline of
the capitalist economy. In the final chapter of The theory of economic development (USA:
Newbrunswich/London-VK:Transation Publishers, 2000), Schumpeter deals with the
economic cycles that are so common in the process of capitalist development. Schumpeter
states that, in periods of prosperity, the entrepreneur, when creating new products, is
imitated by a veritable wave of non-innovative entrepreneurs, who invest resources to
copy the new goods created. Consequently, a wave of capital investment activates the
economy, generating prosperity and increased employment. As technological innovations
or modifications to old products are assimilated by the competition and their consumption
becomes widespread, the economy's growth rate decreases (which no longer generates
extraordinary gains) and thus begins the recessive process of reducing investment and the
drop in job offers. The constant shift between prosperity and recession is understood as a
periodic and transitory obstacle, part of the normal course of expansion of national
income, per capita income and consumption. Schumpeter showed that the prosperity and
crises of capitalism result from technological advances, which would occur with
increasing frequency, as shown in Figure 2.
Figure 2- Schumpeter’s waves of innovation from 1785 to 2020
Source: https://i0.wp.com/terracoeconomico.com.br/wp-
content/uploads/2016/09/sch2.jpg?quality=70&strip=all
Figure 2 presents Schumpeter's waves whose duration varies from 30 to 60 years and is
based on his theory derived from Kondratieff cycles whose duration varies from 40 to 60
years. The 1st wave from 1785 to 1845 lasts 60 years, the 2nd wave lasts 55 years, the
3rd wave lasts 50 years, the 4th wave lasts 40 years and the 5th wave lasts 30 years.
Schumpeter states in his work Business Cycles (New York, NY: McGraw-Hill, 1939)
that, historically, the first Kondratieff cycle covered by his analysis means the 1st
industrial revolution, including the prolonged process of absorption. It corresponds to the
eighties of the 18th century until 1845. The second cycle covers the 2nd industrial
revolution, which is called the era of the steam engine, steel and railways, from 1845 to
1900. Kondratieff's third cycle is that of electricity, chemistry and internal combustion
engines, dating from 1900 to 1950. The fourth cycle from 1950 to 1990 is that of
4
petrochemicals, electronics and aviation and the fifth cycle from 1990 to 2010 is that of
digital networks, software and new media.
Technological advancement as the main responsible for economic revolutions
throughout history
Research we have carried out shows that the new technologies that emerge like waves
and make old ones obsolete, as Schumpeter states, are not just about the development of
capitalism. This fact has been occurring since Antiquity until the contemporary era. In
our article entitled Technological advancement as the main responsible for the economic
revolutions that changed the world, published by the International Journal of Social
Science & Economics Research (ijsser ), Volume 8, Edition 11, November 2023, on page
nº 3333-3340, informs that technological advancement was mainly responsible for the
occurrence of the 9 great economic revolutions that changed the world that occurred in
the history of humanity, described below in chronological order : 1) 1st Agricultural
Revolution (6000 BC); 2) 2nd Agricultural Revolution (between the 12th and 15th
centuries in the Low Middle Ages); 3) The Commercial Revolution (between the 12th
and 18th centuries); 4) 3rd Agricultural Revolution (in the 17th and 18th centuries in
England); 5) 1st Industrial Revolution (1780-1830); 6) 2nd Industrial Revolution (1860-
1900); 7) 4th Agricultural Revolution (between the 1960s and 1970s of the 20th century);
8) 3rd Industrial Revolution (1970s); and, 9) 4th Industrial Revolution or Informational
or Post-Industrial Revolution today.
The 1st Agricultural Revolution that occurred in 6000 BC represented the large-scale
transition of many human cultures from the animal hunting, fruit and vegetable gathering
and nomadic lifestyle to the agricultural and sedentary lifestyle. It is during this period in
the history of humanity that man discovers fire. This discovery makes it possible to begin
controlling techniques to master food production. The rustic tools from the Paleolithic
period (3.5 million BC to 8 thousand BC) are perfected for agricultural activity. This is
why this phase is also called the Neolithic Revolution. For the 1st Agricultural Revolution
to occur, the discovery and use, for example, of seeds, which led to the development of
production techniques and specialization of work in agriculture, was of fundamental
importance. The science and technology of irrigation that emerged in Mesopotamia and
also the primitive science and technology of storing agricultural products emerged in
Mesopotamia and also in Egypt. The Sumerians were the first to use animal-drawn plows.
The plows of this time only tore the land, without turning it over as more modern plows
do. The impact of the invention of the plow was so great that today it is considered a
milestone of the 1st Agricultural Revolution.
With the 2nd Agricultural Revolution that occurred in the Low Middle Ages in Europe,
which corresponds to the period between the 12th and mid-15th centuries, there was a set
of transformations that occurred in agriculture with the development of new technologies
(horseshoes, crop rotation, plow, rennet, etc.). Based only on improving the wooden plow
pulled by man and some stone utensils, it took centuries for the dragging work done by
man to be replaced by animal power, freeing man from such arduous work. With the
emergence and cheaper of iron, the plow was improved. There were several technical
achievements with the iron plow and the development of new ways of harnessing the
plow to animals in order to allow them to be used at full strength, in addition to replacing
the ox with the horse, as a draft animal. The plow was one of humanity's greatest
inventions for allowing the production of increasing amounts of food. The plow is an
instrument that is used to plow (plow) the fields, turning the earth with the aim of
loosening it and, thus, enabling better development of plant roots. In addition to this
5
primary objective, plowing allows greater aeration of the soil, which enables the
development of useful organisms, such as earthworms, in addition to, in some cases,
allowing the mixing of nutrients (fertilizers, chemical or organic; acidity correctors, etc.).
The Commercial Revolution, the result of the new times experienced in Europe, between
the 12th and 18th centuries, was the result of the considerable development of navigation
and high-sea commerce, which gained momentum with the construction of new types of
vessels and the improvement of cartography and instruments such as the compass, which
are extremely important in navigation. It was the Commercial Revolution that triggered
the process of globalization and for this to happen there was the contribution of
technological advances in the field of maritime navigation. The 3rd Agricultural
Revolution occurred with agricultural innovations, which was a process that began
between the end of the 17th century and the end of the 18th century, in England and the
Netherlands (United Provinces). During the 17th and 18th centuries, large English
landowners (nobles and bourgeoisie) increased the size of their lands by annexing vacant
land, resorting to land consolidation and enclosures which enabled increased livestock
farming. New agricultural techniques increased land productivity, such as the use of
horses as draft animals, the production and consumption of legumes (which improved the
quality of life), the three-year rotation of crops, and new technology for draining swamps
and lakes. New agricultural techniques and greater investment in agricultural machinery
led to an increase in agricultural production that was market-oriented, generating greater
profits in agriculture that are invested in starting the industrialization process.
The 1st Industrial Revolution occurred in England at the end of the 18th century (1780-
1830). At the beginning of the 19th century, factories multiplied, which were created in
England at the end of the 18th century, whose development was remarkable, particularly
in the most dynamic sectors of the time, textiles and metallurgy. The 1st Industrial
Revolution was characterized by two important inventions: the steam engine and the
locomotive. Mechanical practice was introduced, with steam and coal machines, salaried
work, and society stopped being rural to be urban. The main peculiarity of the 1st
Industrial Revolution was the replacement of artisanal work by salaried work with the use
of machines. The use of machines in industries, which provided great strength and agility
powered by coal energy, provided extremely high and growing productivity, making the
industry an exceptional economic alternative that spread throughout the world. The 2nd
Industrial Revolution became known as the “age of steel and electricity”. The 2nd
Industrial Revolution (1860-1900) has its bases in the metallurgical and chemical sectors.
Steel becomes a basic material and the chemical and automobile industries assume great
importance. Among the inventions that emerged at this time were the Bessemer process
for transforming iron into steel, which allowed the production of steel on a large scale,
the dynamo, which allowed the replacement of steam by electricity and the internal
combustion engine, which allowed large-scale use of oil, creating conditions for the
invention of the automobile and airplane. The use of steel, the use of electrical energy and
fuels derived from petroleum, the invention of the internal combustion engine and the
development of chemical products were the main innovations of this period. During this
period, steel became such a basic material that it was in it that steelmaking gained its
greatest expression. The automobile industry assumed great importance during this
period. The technique and work system of this period is Fordism, a system that became
the paradigm of technical and work regulation known throughout the industrial world.
The characteristic technology of this period is steel, metallurgy, electricity,
electromechanics, petroleum, the internal combustion engine and petrochemistry.
Electricity and oil are the main forms of energy.
6
The 4th Agricultural Revolution or Green Revolution that occurred between the 1960s
and 1970s of the 20th century contributed to the invention and dissemination of new seeds
and agricultural practices that allowed a vast increase in agricultural production in the
United States and Europe and, in the following decades, in other countries. The Green
Revolution was a broad program designed to increase agricultural production in the world
with the intensive use of genetically altered seeds (particularly hybrid seeds), industrial
inputs, fertilizers and pesticides, mechanization, mass production of homogeneous
products and reduced management costs. The Green Revolution is also credited with the
extensive use of technology in planting, irrigation and harvesting, as well as in production
management. The 3rd Industrial Revolution that occurred in the 1970s is inspired by
Toyotism whose characteristics were developed by engineers at Toyota, the Japanese
automobile industry, whose method consisted of abolishing the role of specialized
professional workers to make them multifunctional workers. The characteristic
technology of this period is microelectronics, information technology, the CNC machine
(Computer Numerical Control), the robot, the system integrated with telematics
(computerized telecommunications) and biotechnology. Its basis mixes Physics,
Chemistry, Genetic Engineering and Molecular Biology. The computer is the machine of
the 3rd Industrial Revolution. Toyotism began to be definitively implemented in 1962
and its main characteristic and objective is to produce only what is necessary and in the
shortest time. It's just-in-time. Unlike Fordism, where there is production for stock to
meet demand, in Toyotism only what is ordered is produced with a minimum of stock,
which is why it is produced faster and better and with lower stock and production costs.
Toyotism emerged as a solution to the Fordism crisis. A multipurpose, flexible, team-
integrated, less hierarchical work system emerges. Computerized, the set's programming
is passed to each sector of the factory for team discussion and adaptation using the CCQ
- Quality Control Circles, which becomes a task rotation system that establishes the
possibility of creative action by workers in the sector.
The 4th Industrial Revolution or Industry 4.0 is characterized by the integration of so-
called cyber-physical production systems, in which intelligent sensors inform machines
how they should be processed. Processes must be governed in a decentralized modular
system. Smart production systems begin to work together, communicating wirelessly,
either directly or through an Internet "cloud" (Internet of Things or IoT). Rigid centralized
factory control systems are now giving way to decentralized intelligence, with machine-
to-machine (M2M) communication on the factory floor. The Internet of Things (IoT)
represents the logical connection of all devices and means related to the production
environment, sensors, transmitters, computers, production cells, production planning
systems, strategic industry guidelines, government information, climate, suppliers,
everything being recorded and analyzed in a database. The Machine-to-Machine (M2M)
concept represents the interconnection between production cells with the systems
exchanging information with each other, autonomously, making decisions regarding
production, cost, contingency, safety, through an artificial intelligence model,
complemented by IoT.
National and global Keynesianism and a world government as solutions to manage
the cyclical crises of capitalism
From the above, the causes of the chaos prevailing in the world economy are explained
with the analysis of the long waves or long economic cycles of the world economy
presented by the Russian economist Nikolai Dimitrievitch Kondratieff who shows how
the world capitalist system has evolved from prosperity to economic decline from 1780
to 2010 and the waves of innovation by Austrian economist Joseph Schumpeter who
7
shows how technological innovations introduced into production processes in each
Kondratieff cycle are responsible for the expansion and decline of the world capitalist
economy. Research we have carried out shows that technological advances are mainly
responsible for the economic revolutions that changed the world, confirming
Schumpeter's thesis regarding the role of technological innovations as responsible for the
prosperity and decline of the world economy. To deal with the cyclical crises of capitalism
and put an end to global economic chaos, as well as ensuring that technological
advancement does not cease and contributes to the progress of humanity, the only
solutions for stabilizing the global economy are global Keynesianism and a world
government. The Keynesian economic policy adopted nationally and globally and the
existence of a world government are the solutions to obtain stability in the world economy
and eliminate the chaos that has characterized it throughout history, as demonstrated by
Kondratieff from 1780 to 2010 and Schumpeter from 1785 to 2020 with the cycles of
prosperity and decline of the global capitalist system.
The great economist John Maynard Keynes promoted a revolution in economic doctrine
with his work The General Theory of Employment, Interest and Money released in 1936.
Keynes' economic thought defends the use of the national State as an active agent in
stabilizing the economy against the recession and rise in unemployment. Keynes believed
that capitalism could overcome its structural problems as an economic system provided
that significant reforms were made as he proposed. Keynes advocated moderate state
intervention to achieve economic stability and ensure full employment in a country's
economy. According to Keynes, when, in each country, there was a drop in family
consumption and private investment, as well as a deficit in the trade balance (revenue
from exports lower than spending on imports), the government should increase
government investments to compensate for the drop in Gross Domestic Product, thus
ensuring economic stability and full employment. In these circumstances, Keynesianism
would act as a feedback and control mechanism exercised by national governments.
Keynesianism was successful after the Second World War when it contributed decisively
to the economic development of most countries in the world from 1945 to 1965, which is
called the “golden age”.
It is worth noting that in the “glorious years” from 1945 to 1965, unique rates of economic
growth and generation of employment and income were recorded in the world economy
and the combination of economic growth with a fully employed workforce, with
reasonable wages and protected by the Welfare State being social especially in Western
European countries. Keynesianism ceased to be effective in the 1970s with the fall in
world economic growth after the so-called “glory years” (1945/1965), because it was
unable to resolve the two oil crises from 1974 to 1980 and the external debt crisis of the
vast majority of countries in the world that became insolvent with international banks.
Keynesianism was unable to solve the crisis of world capitalism caused by the oil and
foreign debt crises because the vast majority of countries presented extremely high
deficits in the trade balance with the dizzying increase in oil prices and extremely high
deficits in the balance of payments with the dizzying increase in interest on external debt.
This situation has left the vast majority of countries in the world facing a drop in economic
growth, increased unemployment and high inflation. Keynesianism was unable to solve
the crisis of world capitalism caused by the oil and foreign debt crises because national
governments did not have the financial resources to compensate for the drop in economic
activity, given that a large part of the available resources were destined to the increasing
payment of external debt to international banks. In other words, national governments
8
were unable to act by adopting Keynesian feedback and control mechanisms as they had
previously done.
Keynesianism was unable to solve the crisis of world capitalism caused by the oil and
foreign debt crises because it was applied only in each country and not globally and there
was no world government that acted with the adoption of Keynesian feedback and control
mechanisms. If there were a world government with available financial resources, it could
collaborate with each of the national governments in overcoming the drop in economic
activity by injecting resources at a level sufficient to offset the drop in consumption and
private investment and the increase in deficits in the trade balance and in each country's
balance of payments. Therefore, there was a lack of a feedback and control mechanism at
a global level that would prevent the economic and financial debacle of the vast majority
of countries in the world. Keynesianism was abandoned as dominant economic thought
in the 1980s and replaced by neoliberal economic thought, which proposes the restoration
of classical liberal economic thought based on a conservative economic vision that aims
to minimize the State's participation in the economy, not just at the national level, but also
at a global level whose expectation was to promote the resumption of growth in the global
profit rate and the global capitalist system. Neoliberal economic thinking prevented the
national State from acting with the adoption of Keynesian feedback and control
mechanisms as it did before. However, the neoliberalism that replaced Keynesianism also
failed because the global profit rate and global economic growth continued to decline and
did not prevent the outbreak of the 2008 global crisis and the chaos that was established
in the world economy thanks to the absence of global economic and financial regulation.
Faced with the failure of neoliberalism and its inability to deal with the global crisis of
capitalism, Keynesianism could be the solution as long as it was applied nationally and
also globally. That is, Keynesianism would operate in economic planning, not only at the
national level to obtain economic stability and full employment of factors in each country,
but also at the global level with the coordination of the economic policies of all countries
in the world to obtain economic stability and full employment at a global level.
Keynesianism would therefore be adopted at a planetary level with the aim of ensuring
economic stability and full employment of factors globally. With global Keynesianism,
there would be the coordination of Keynesian economic policies at a national and
planetary level that could only be carried out with the existence of a world government.
This would be the way to obtain stability in the world economy to deal with the cyclical
crises of world capitalism as demonstrated by Kondratieff's waves (Figure 1) and
Schumpeter's waves of innovation (Figure 2).
With global Keynesianism adopted in planning the world economy and the existence of
a world government, it would be possible to eliminate the uncertainty-generating chaos
that characterizes the world economy, subject to constant instability. The elimination of
chaos or mitigation of instability and uncertainty with its turbulence and risks in the world
economy will only be achieved with the existence of a world government with the
availability of sufficient financial resources that would act to ensure coordination between
the Keynesian economic policies adopted in each country and globally. To be effective,
the world government should adopt the Keynesian economic planning process that
contributes to eliminating instability and uncertainty with its turbulence and risks.
To make a world government viable, it is necessary that, initially, a World Forum for
Peace and the Progress of Humanity be constituted by Civil Society organizations and
governments from all countries in the world. In this Forum, the objectives and strategies
of a global movement for the constitution of a world government, a world parliament and
9
a world supreme court would be debated and established, aiming to raise awareness
among the world population and national governments in order to make a world of peace
and progress a reality for all humanity. This would be the path that would make it possible
to transform the utopia of world government into reality. Without the constitution of a
democratic world government, the scenario that unfolds for the future will be one of
economic, political and social disorder and war of all against all. The time has come for
humanity to take control of its destiny and not be at the mercy of market forces!
* Fernando Alcoforado, awarded the medal of Engineering Merit of the CONFEA / CREA System, member
of the Bahia Academy of Education, of the SBPC- Brazilian Society for the Progress of Science and of
IPB- Polytechnic Institute of Bahia, engineer from the UFBA Polytechnic School and doctor in Territorial
Planning and Regional Development from the University of Barcelona, college professor (Engineering,
Economy and Administration) and consultant in the areas of strategic planning, business planning, regional
planning, urban planning and energy systems, was Advisor to the Vice President of Engineering and
Technology at LIGHT S.A. Electric power distribution company from Rio de Janeiro, Strategic Planning
Coordinator of CEPED- Bahia Research and Development Center, Undersecretary of Energy of the State
of Bahia, Secretary of Planning of Salvador, is the author of the books Globalização (Editora Nobel, São
Paulo, 1997), De Collor a FHC- O Brasil e a Nova (Des)ordem Mundial (Editora Nobel, São Paulo, 1998),
Um Projeto para o Brasil (Editora Nobel, São Paulo, 2000), Os condicionantes do desenvolvimento do
Estado da Bahia (Tese de doutorado. Universidade de
Barcelona,http://www.tesisenred.net/handle/10803/1944, 2003), Globalização e Desenvolvimento (Editora
Nobel, São Paulo, 2006), Bahia- Desenvolvimento do Século XVI ao Século XX e Objetivos Estratégicos
na Era Contemporânea (EGBA, Salvador, 2008), The Necessary Conditions of the Economic and Social
Development- The Case of the State of Bahia (VDM Verlag Dr. Müller Aktiengesellschaft & Co. KG,
Saarbrücken, Germany, 2010), Aquecimento Global e Catástrofe Planetária (Viena- Editora e Gráfica,
Santa Cruz do Rio Pardo, São Paulo, 2010), Amazônia Sustentável- Para o progresso do Brasil e combate
ao aquecimento global (Viena- Editora e Gráfica, Santa Cruz do Rio Pardo, São Paulo, 2011), Os Fatores
Condicionantes do Desenvolvimento Econômico e Social (Editora CRV, Curitiba, 2012), Energia no
Mundo e no Brasil- Energia e Mudança Climática Catastrófica no Século XXI (Editora CRV, Curitiba,
2015), As Grandes Revoluções Científicas, Econômicas e Sociais que Mudaram o Mundo (Editora CRV,
Curitiba, 2016), A Invenção de um novo Brasil (Editora CRV, Curitiba, 2017), Esquerda x Direita e a sua
convergência (Associação Baiana de Imprensa, Salvador, 2018), Como inventar o futuro para mudar o
mundo (Editora CRV, Curitiba, 2019), A humanidade ameaçada e as estratégias para sua sobrevivência
(Editora Dialética, São Paulo, 2021), A escalada da ciência e da tecnologia e sua contribuição ao progresso
e à sobrevivência da humanidade (Editora CRV, Curitiba, 2022), a chapter in the book Flood Handbook
(CRC Press, Boca Raton, Florida United States, 2022), How to protect human beings from threats to their
existence and avoid the extinction of humanity (Generis Publishing, Europe, Republic of Moldova,
Chișinău, 2023) and A revolução da educação necessária ao Brasil na era contemporânea (Editora CRV,
Curitiba, 2023).

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THE CAUSES OF CHAOS IN THE WORLD ECONOMY AND HOW TO ELIMINATE THEM.pdf

  • 1. 1 THE CAUSES OF CHAOS IN THE WORLD ECONOMY AND HOW TO ELIMINATE THEM Fernando Alcoforado* This article aims to present the causes of the chaos that has prevailed in the world economy for centuries and how to eliminate them. These causes are explained by the absence of feedback and control mechanisms in the world capitalist system that would allow mitigating the harmful consequences generated by long waves or long economic cycles of the world economy presented by Russian economist Nikolai Dimitrievitch Kondratieff who shows how the world capitalist system has evolved with cycles that go from prosperity to economic decline from 1780 to 2010, as well as mitigating the harmful consequences generated by waves of innovation by Austrian economist Joseph Schumpeter who shows how technological innovations introduced into production processes in each Kondratieff cycle are responsible for expansion and decline of the world capitalist economy. To deal with the cyclical crises of capitalism and put an end to global economic chaos, as well as ensuring that technological advancement does not cease and contributes to the progress of humanity, the only solutions for stabilizing the global economy are the adoption of Keynesianism in each country and globally and the existence of a world government. Kondratieff's long waves of prosperity and decline of capitalism from 1780 to 2010 Russian economist Nikolai Dimitrievitch Kondratieff presented in his book Les grands cycles de la conjoncture (Economica, 1992) the so-called supercycles, great waves, long waves or long economic cycles of the modern capitalist world economy. Kondratieff was the Russian economist, tasked with planning the Soviet economy in the 1920s, who theorized that capitalist economies move in a great cycle that became known as a Kondratieff wave that lasts about 50 years. A Kondratieff wave consists of a period of strong growth followed by slowing growth. Figure 1 shows that there were five economic cycles from 1780 to 2010. Figure 1- Kondratieff's major cycles from 1780 to 2010 Source: https://emgotas.com/2016/11/07/os-ciclos-de-kondratiev-e-o-estudo-de-hans-rosling/
  • 2. 2 Kondratieff identified, in 1920, 3 phases in each capitalist economic cycle: expansion, stagnation, recession. This wave theory was based on 19th century price data that also included wages, interest rates, and commodity prices. A Kondratieff wave begins with a rise when prices are rising and the economy is expanding. The rise ends when rising inflation causes a recession. Kondratieff's thesis is that economic cycles consist of alternating periods of high growth and periods of relatively slow growth with waves ranging from 40 to 60 years. In his research on the 19th century, Kondratieff found the existence of two cycles (the first cycle from 1780 to 1830 lasting 50 years whose economic expansion occurred with the introduction of the steam engine to production processes and the second cycle from 1830 to 1880 lasting 50 years whose economic expansion occurred with the development of the railroad and manufacturing of steel. In the cycle from 1780 to 1830, the expansion of the world economy occurred until its collapse or stagnation in 1815, which coincided with the fall of the Napoleonic Empire, followed by recession until 1829. From September 1814 to June 1815, the great powers of the big four (England, Prussia, Russia and Austria) met at the Congress of Vienna seeking to rebuild the old European order and redraw the European political map after the Napoleonic wars. The cycle from 1830 to 1880 occurred until its collapse with the global economic depression of 1873, 58 years after the crisis of 1815, followed by the recession until 1890. It should be noted that the global economic depression of 1873 contributed to intensifying competition between powers European imperialists that led to the First World War (1914-1918). In the third cycle from 1880 to 1930, lasting 50 years, the expansion of the world economy occurred when the use of electricity was widespread and the chemical industry developed, which evolved until its collapse with the Great Depression of 1929, 56 years after the economic crisis of 1873. The global economic depression of 1929 contributed decisively to the outbreak of the Second World War (1939-1945). The fourth Kondratieff cycle, which began in 1930 and ended in 1970, after the Second World War, lasted 40 years, whose expansion occurred with the high development of the automobile and petrochemical industries until the oil crisis of 1974 to 1980 that occurred 45 years after the Great Depression of 1929. The fifth Kondratieff cycle began in 1970 and ended in 2010, lasting 40 years, whose expansion occurred with the development of information and communications technology until the financial crisis of 2007-2009, which occurred 33 years after the oil crises between 1974 and 1980. Schumpeter's innovation waves of capitalism's prosperity and decline from 1785 to 2020 Kondratieff's studies on long economic cycles were taken up by the Austrian economist Joseph Schumpeter, one of the most important economists of the first half of the 20th century, who interpreted that these cycles are not repetitive. Schumpeter stated that the constant and increasingly frequent innovations in capitalism make Kondratieff cycles progressive, where each period of economic prosperity (peak) is increasingly prosperous than the previous one, each period of economic depression (valley) is less and less deeper than its predecessor and, although the distance between peaks and valleys is increasing, its cycles are lasting less and less time. Schumpeter states that the development cycles of capitalism happen thanks to what he calls “creative destruction”, which is in the essence of new technologies that “destroy” old ones, making them obsolete, and that emerge like waves, randomly and are generally accompanied by the increase in capital and labor productivity, when innovative entrepreneurs are able to allocate products and processes with competitive advantages in relation to their technologically outdated competitors. Creative destruction is a concept in which Schumpeter described a change in the
  • 3. 3 economic profile, when innovative ventures destroyed old and outdated companies and business models. Schumpeter's expression “creative destruction” means that new technologies introduced into production processes in each cycle are responsible for the expansion and decline of the capitalist economy. In the final chapter of The theory of economic development (USA: Newbrunswich/London-VK:Transation Publishers, 2000), Schumpeter deals with the economic cycles that are so common in the process of capitalist development. Schumpeter states that, in periods of prosperity, the entrepreneur, when creating new products, is imitated by a veritable wave of non-innovative entrepreneurs, who invest resources to copy the new goods created. Consequently, a wave of capital investment activates the economy, generating prosperity and increased employment. As technological innovations or modifications to old products are assimilated by the competition and their consumption becomes widespread, the economy's growth rate decreases (which no longer generates extraordinary gains) and thus begins the recessive process of reducing investment and the drop in job offers. The constant shift between prosperity and recession is understood as a periodic and transitory obstacle, part of the normal course of expansion of national income, per capita income and consumption. Schumpeter showed that the prosperity and crises of capitalism result from technological advances, which would occur with increasing frequency, as shown in Figure 2. Figure 2- Schumpeter’s waves of innovation from 1785 to 2020 Source: https://i0.wp.com/terracoeconomico.com.br/wp- content/uploads/2016/09/sch2.jpg?quality=70&strip=all Figure 2 presents Schumpeter's waves whose duration varies from 30 to 60 years and is based on his theory derived from Kondratieff cycles whose duration varies from 40 to 60 years. The 1st wave from 1785 to 1845 lasts 60 years, the 2nd wave lasts 55 years, the 3rd wave lasts 50 years, the 4th wave lasts 40 years and the 5th wave lasts 30 years. Schumpeter states in his work Business Cycles (New York, NY: McGraw-Hill, 1939) that, historically, the first Kondratieff cycle covered by his analysis means the 1st industrial revolution, including the prolonged process of absorption. It corresponds to the eighties of the 18th century until 1845. The second cycle covers the 2nd industrial revolution, which is called the era of the steam engine, steel and railways, from 1845 to 1900. Kondratieff's third cycle is that of electricity, chemistry and internal combustion engines, dating from 1900 to 1950. The fourth cycle from 1950 to 1990 is that of
  • 4. 4 petrochemicals, electronics and aviation and the fifth cycle from 1990 to 2010 is that of digital networks, software and new media. Technological advancement as the main responsible for economic revolutions throughout history Research we have carried out shows that the new technologies that emerge like waves and make old ones obsolete, as Schumpeter states, are not just about the development of capitalism. This fact has been occurring since Antiquity until the contemporary era. In our article entitled Technological advancement as the main responsible for the economic revolutions that changed the world, published by the International Journal of Social Science & Economics Research (ijsser ), Volume 8, Edition 11, November 2023, on page nº 3333-3340, informs that technological advancement was mainly responsible for the occurrence of the 9 great economic revolutions that changed the world that occurred in the history of humanity, described below in chronological order : 1) 1st Agricultural Revolution (6000 BC); 2) 2nd Agricultural Revolution (between the 12th and 15th centuries in the Low Middle Ages); 3) The Commercial Revolution (between the 12th and 18th centuries); 4) 3rd Agricultural Revolution (in the 17th and 18th centuries in England); 5) 1st Industrial Revolution (1780-1830); 6) 2nd Industrial Revolution (1860- 1900); 7) 4th Agricultural Revolution (between the 1960s and 1970s of the 20th century); 8) 3rd Industrial Revolution (1970s); and, 9) 4th Industrial Revolution or Informational or Post-Industrial Revolution today. The 1st Agricultural Revolution that occurred in 6000 BC represented the large-scale transition of many human cultures from the animal hunting, fruit and vegetable gathering and nomadic lifestyle to the agricultural and sedentary lifestyle. It is during this period in the history of humanity that man discovers fire. This discovery makes it possible to begin controlling techniques to master food production. The rustic tools from the Paleolithic period (3.5 million BC to 8 thousand BC) are perfected for agricultural activity. This is why this phase is also called the Neolithic Revolution. For the 1st Agricultural Revolution to occur, the discovery and use, for example, of seeds, which led to the development of production techniques and specialization of work in agriculture, was of fundamental importance. The science and technology of irrigation that emerged in Mesopotamia and also the primitive science and technology of storing agricultural products emerged in Mesopotamia and also in Egypt. The Sumerians were the first to use animal-drawn plows. The plows of this time only tore the land, without turning it over as more modern plows do. The impact of the invention of the plow was so great that today it is considered a milestone of the 1st Agricultural Revolution. With the 2nd Agricultural Revolution that occurred in the Low Middle Ages in Europe, which corresponds to the period between the 12th and mid-15th centuries, there was a set of transformations that occurred in agriculture with the development of new technologies (horseshoes, crop rotation, plow, rennet, etc.). Based only on improving the wooden plow pulled by man and some stone utensils, it took centuries for the dragging work done by man to be replaced by animal power, freeing man from such arduous work. With the emergence and cheaper of iron, the plow was improved. There were several technical achievements with the iron plow and the development of new ways of harnessing the plow to animals in order to allow them to be used at full strength, in addition to replacing the ox with the horse, as a draft animal. The plow was one of humanity's greatest inventions for allowing the production of increasing amounts of food. The plow is an instrument that is used to plow (plow) the fields, turning the earth with the aim of loosening it and, thus, enabling better development of plant roots. In addition to this
  • 5. 5 primary objective, plowing allows greater aeration of the soil, which enables the development of useful organisms, such as earthworms, in addition to, in some cases, allowing the mixing of nutrients (fertilizers, chemical or organic; acidity correctors, etc.). The Commercial Revolution, the result of the new times experienced in Europe, between the 12th and 18th centuries, was the result of the considerable development of navigation and high-sea commerce, which gained momentum with the construction of new types of vessels and the improvement of cartography and instruments such as the compass, which are extremely important in navigation. It was the Commercial Revolution that triggered the process of globalization and for this to happen there was the contribution of technological advances in the field of maritime navigation. The 3rd Agricultural Revolution occurred with agricultural innovations, which was a process that began between the end of the 17th century and the end of the 18th century, in England and the Netherlands (United Provinces). During the 17th and 18th centuries, large English landowners (nobles and bourgeoisie) increased the size of their lands by annexing vacant land, resorting to land consolidation and enclosures which enabled increased livestock farming. New agricultural techniques increased land productivity, such as the use of horses as draft animals, the production and consumption of legumes (which improved the quality of life), the three-year rotation of crops, and new technology for draining swamps and lakes. New agricultural techniques and greater investment in agricultural machinery led to an increase in agricultural production that was market-oriented, generating greater profits in agriculture that are invested in starting the industrialization process. The 1st Industrial Revolution occurred in England at the end of the 18th century (1780- 1830). At the beginning of the 19th century, factories multiplied, which were created in England at the end of the 18th century, whose development was remarkable, particularly in the most dynamic sectors of the time, textiles and metallurgy. The 1st Industrial Revolution was characterized by two important inventions: the steam engine and the locomotive. Mechanical practice was introduced, with steam and coal machines, salaried work, and society stopped being rural to be urban. The main peculiarity of the 1st Industrial Revolution was the replacement of artisanal work by salaried work with the use of machines. The use of machines in industries, which provided great strength and agility powered by coal energy, provided extremely high and growing productivity, making the industry an exceptional economic alternative that spread throughout the world. The 2nd Industrial Revolution became known as the “age of steel and electricity”. The 2nd Industrial Revolution (1860-1900) has its bases in the metallurgical and chemical sectors. Steel becomes a basic material and the chemical and automobile industries assume great importance. Among the inventions that emerged at this time were the Bessemer process for transforming iron into steel, which allowed the production of steel on a large scale, the dynamo, which allowed the replacement of steam by electricity and the internal combustion engine, which allowed large-scale use of oil, creating conditions for the invention of the automobile and airplane. The use of steel, the use of electrical energy and fuels derived from petroleum, the invention of the internal combustion engine and the development of chemical products were the main innovations of this period. During this period, steel became such a basic material that it was in it that steelmaking gained its greatest expression. The automobile industry assumed great importance during this period. The technique and work system of this period is Fordism, a system that became the paradigm of technical and work regulation known throughout the industrial world. The characteristic technology of this period is steel, metallurgy, electricity, electromechanics, petroleum, the internal combustion engine and petrochemistry. Electricity and oil are the main forms of energy.
  • 6. 6 The 4th Agricultural Revolution or Green Revolution that occurred between the 1960s and 1970s of the 20th century contributed to the invention and dissemination of new seeds and agricultural practices that allowed a vast increase in agricultural production in the United States and Europe and, in the following decades, in other countries. The Green Revolution was a broad program designed to increase agricultural production in the world with the intensive use of genetically altered seeds (particularly hybrid seeds), industrial inputs, fertilizers and pesticides, mechanization, mass production of homogeneous products and reduced management costs. The Green Revolution is also credited with the extensive use of technology in planting, irrigation and harvesting, as well as in production management. The 3rd Industrial Revolution that occurred in the 1970s is inspired by Toyotism whose characteristics were developed by engineers at Toyota, the Japanese automobile industry, whose method consisted of abolishing the role of specialized professional workers to make them multifunctional workers. The characteristic technology of this period is microelectronics, information technology, the CNC machine (Computer Numerical Control), the robot, the system integrated with telematics (computerized telecommunications) and biotechnology. Its basis mixes Physics, Chemistry, Genetic Engineering and Molecular Biology. The computer is the machine of the 3rd Industrial Revolution. Toyotism began to be definitively implemented in 1962 and its main characteristic and objective is to produce only what is necessary and in the shortest time. It's just-in-time. Unlike Fordism, where there is production for stock to meet demand, in Toyotism only what is ordered is produced with a minimum of stock, which is why it is produced faster and better and with lower stock and production costs. Toyotism emerged as a solution to the Fordism crisis. A multipurpose, flexible, team- integrated, less hierarchical work system emerges. Computerized, the set's programming is passed to each sector of the factory for team discussion and adaptation using the CCQ - Quality Control Circles, which becomes a task rotation system that establishes the possibility of creative action by workers in the sector. The 4th Industrial Revolution or Industry 4.0 is characterized by the integration of so- called cyber-physical production systems, in which intelligent sensors inform machines how they should be processed. Processes must be governed in a decentralized modular system. Smart production systems begin to work together, communicating wirelessly, either directly or through an Internet "cloud" (Internet of Things or IoT). Rigid centralized factory control systems are now giving way to decentralized intelligence, with machine- to-machine (M2M) communication on the factory floor. The Internet of Things (IoT) represents the logical connection of all devices and means related to the production environment, sensors, transmitters, computers, production cells, production planning systems, strategic industry guidelines, government information, climate, suppliers, everything being recorded and analyzed in a database. The Machine-to-Machine (M2M) concept represents the interconnection between production cells with the systems exchanging information with each other, autonomously, making decisions regarding production, cost, contingency, safety, through an artificial intelligence model, complemented by IoT. National and global Keynesianism and a world government as solutions to manage the cyclical crises of capitalism From the above, the causes of the chaos prevailing in the world economy are explained with the analysis of the long waves or long economic cycles of the world economy presented by the Russian economist Nikolai Dimitrievitch Kondratieff who shows how the world capitalist system has evolved from prosperity to economic decline from 1780 to 2010 and the waves of innovation by Austrian economist Joseph Schumpeter who
  • 7. 7 shows how technological innovations introduced into production processes in each Kondratieff cycle are responsible for the expansion and decline of the world capitalist economy. Research we have carried out shows that technological advances are mainly responsible for the economic revolutions that changed the world, confirming Schumpeter's thesis regarding the role of technological innovations as responsible for the prosperity and decline of the world economy. To deal with the cyclical crises of capitalism and put an end to global economic chaos, as well as ensuring that technological advancement does not cease and contributes to the progress of humanity, the only solutions for stabilizing the global economy are global Keynesianism and a world government. The Keynesian economic policy adopted nationally and globally and the existence of a world government are the solutions to obtain stability in the world economy and eliminate the chaos that has characterized it throughout history, as demonstrated by Kondratieff from 1780 to 2010 and Schumpeter from 1785 to 2020 with the cycles of prosperity and decline of the global capitalist system. The great economist John Maynard Keynes promoted a revolution in economic doctrine with his work The General Theory of Employment, Interest and Money released in 1936. Keynes' economic thought defends the use of the national State as an active agent in stabilizing the economy against the recession and rise in unemployment. Keynes believed that capitalism could overcome its structural problems as an economic system provided that significant reforms were made as he proposed. Keynes advocated moderate state intervention to achieve economic stability and ensure full employment in a country's economy. According to Keynes, when, in each country, there was a drop in family consumption and private investment, as well as a deficit in the trade balance (revenue from exports lower than spending on imports), the government should increase government investments to compensate for the drop in Gross Domestic Product, thus ensuring economic stability and full employment. In these circumstances, Keynesianism would act as a feedback and control mechanism exercised by national governments. Keynesianism was successful after the Second World War when it contributed decisively to the economic development of most countries in the world from 1945 to 1965, which is called the “golden age”. It is worth noting that in the “glorious years” from 1945 to 1965, unique rates of economic growth and generation of employment and income were recorded in the world economy and the combination of economic growth with a fully employed workforce, with reasonable wages and protected by the Welfare State being social especially in Western European countries. Keynesianism ceased to be effective in the 1970s with the fall in world economic growth after the so-called “glory years” (1945/1965), because it was unable to resolve the two oil crises from 1974 to 1980 and the external debt crisis of the vast majority of countries in the world that became insolvent with international banks. Keynesianism was unable to solve the crisis of world capitalism caused by the oil and foreign debt crises because the vast majority of countries presented extremely high deficits in the trade balance with the dizzying increase in oil prices and extremely high deficits in the balance of payments with the dizzying increase in interest on external debt. This situation has left the vast majority of countries in the world facing a drop in economic growth, increased unemployment and high inflation. Keynesianism was unable to solve the crisis of world capitalism caused by the oil and foreign debt crises because national governments did not have the financial resources to compensate for the drop in economic activity, given that a large part of the available resources were destined to the increasing payment of external debt to international banks. In other words, national governments
  • 8. 8 were unable to act by adopting Keynesian feedback and control mechanisms as they had previously done. Keynesianism was unable to solve the crisis of world capitalism caused by the oil and foreign debt crises because it was applied only in each country and not globally and there was no world government that acted with the adoption of Keynesian feedback and control mechanisms. If there were a world government with available financial resources, it could collaborate with each of the national governments in overcoming the drop in economic activity by injecting resources at a level sufficient to offset the drop in consumption and private investment and the increase in deficits in the trade balance and in each country's balance of payments. Therefore, there was a lack of a feedback and control mechanism at a global level that would prevent the economic and financial debacle of the vast majority of countries in the world. Keynesianism was abandoned as dominant economic thought in the 1980s and replaced by neoliberal economic thought, which proposes the restoration of classical liberal economic thought based on a conservative economic vision that aims to minimize the State's participation in the economy, not just at the national level, but also at a global level whose expectation was to promote the resumption of growth in the global profit rate and the global capitalist system. Neoliberal economic thinking prevented the national State from acting with the adoption of Keynesian feedback and control mechanisms as it did before. However, the neoliberalism that replaced Keynesianism also failed because the global profit rate and global economic growth continued to decline and did not prevent the outbreak of the 2008 global crisis and the chaos that was established in the world economy thanks to the absence of global economic and financial regulation. Faced with the failure of neoliberalism and its inability to deal with the global crisis of capitalism, Keynesianism could be the solution as long as it was applied nationally and also globally. That is, Keynesianism would operate in economic planning, not only at the national level to obtain economic stability and full employment of factors in each country, but also at the global level with the coordination of the economic policies of all countries in the world to obtain economic stability and full employment at a global level. Keynesianism would therefore be adopted at a planetary level with the aim of ensuring economic stability and full employment of factors globally. With global Keynesianism, there would be the coordination of Keynesian economic policies at a national and planetary level that could only be carried out with the existence of a world government. This would be the way to obtain stability in the world economy to deal with the cyclical crises of world capitalism as demonstrated by Kondratieff's waves (Figure 1) and Schumpeter's waves of innovation (Figure 2). With global Keynesianism adopted in planning the world economy and the existence of a world government, it would be possible to eliminate the uncertainty-generating chaos that characterizes the world economy, subject to constant instability. The elimination of chaos or mitigation of instability and uncertainty with its turbulence and risks in the world economy will only be achieved with the existence of a world government with the availability of sufficient financial resources that would act to ensure coordination between the Keynesian economic policies adopted in each country and globally. To be effective, the world government should adopt the Keynesian economic planning process that contributes to eliminating instability and uncertainty with its turbulence and risks. To make a world government viable, it is necessary that, initially, a World Forum for Peace and the Progress of Humanity be constituted by Civil Society organizations and governments from all countries in the world. In this Forum, the objectives and strategies of a global movement for the constitution of a world government, a world parliament and
  • 9. 9 a world supreme court would be debated and established, aiming to raise awareness among the world population and national governments in order to make a world of peace and progress a reality for all humanity. This would be the path that would make it possible to transform the utopia of world government into reality. Without the constitution of a democratic world government, the scenario that unfolds for the future will be one of economic, political and social disorder and war of all against all. The time has come for humanity to take control of its destiny and not be at the mercy of market forces! * Fernando Alcoforado, awarded the medal of Engineering Merit of the CONFEA / CREA System, member of the Bahia Academy of Education, of the SBPC- Brazilian Society for the Progress of Science and of IPB- Polytechnic Institute of Bahia, engineer from the UFBA Polytechnic School and doctor in Territorial Planning and Regional Development from the University of Barcelona, college professor (Engineering, Economy and Administration) and consultant in the areas of strategic planning, business planning, regional planning, urban planning and energy systems, was Advisor to the Vice President of Engineering and Technology at LIGHT S.A. Electric power distribution company from Rio de Janeiro, Strategic Planning Coordinator of CEPED- Bahia Research and Development Center, Undersecretary of Energy of the State of Bahia, Secretary of Planning of Salvador, is the author of the books Globalização (Editora Nobel, São Paulo, 1997), De Collor a FHC- O Brasil e a Nova (Des)ordem Mundial (Editora Nobel, São Paulo, 1998), Um Projeto para o Brasil (Editora Nobel, São Paulo, 2000), Os condicionantes do desenvolvimento do Estado da Bahia (Tese de doutorado. Universidade de Barcelona,http://www.tesisenred.net/handle/10803/1944, 2003), Globalização e Desenvolvimento (Editora Nobel, São Paulo, 2006), Bahia- Desenvolvimento do Século XVI ao Século XX e Objetivos Estratégicos na Era Contemporânea (EGBA, Salvador, 2008), The Necessary Conditions of the Economic and Social Development- The Case of the State of Bahia (VDM Verlag Dr. Müller Aktiengesellschaft & Co. KG, Saarbrücken, Germany, 2010), Aquecimento Global e Catástrofe Planetária (Viena- Editora e Gráfica, Santa Cruz do Rio Pardo, São Paulo, 2010), Amazônia Sustentável- Para o progresso do Brasil e combate ao aquecimento global (Viena- Editora e Gráfica, Santa Cruz do Rio Pardo, São Paulo, 2011), Os Fatores Condicionantes do Desenvolvimento Econômico e Social (Editora CRV, Curitiba, 2012), Energia no Mundo e no Brasil- Energia e Mudança Climática Catastrófica no Século XXI (Editora CRV, Curitiba, 2015), As Grandes Revoluções Científicas, Econômicas e Sociais que Mudaram o Mundo (Editora CRV, Curitiba, 2016), A Invenção de um novo Brasil (Editora CRV, Curitiba, 2017), Esquerda x Direita e a sua convergência (Associação Baiana de Imprensa, Salvador, 2018), Como inventar o futuro para mudar o mundo (Editora CRV, Curitiba, 2019), A humanidade ameaçada e as estratégias para sua sobrevivência (Editora Dialética, São Paulo, 2021), A escalada da ciência e da tecnologia e sua contribuição ao progresso e à sobrevivência da humanidade (Editora CRV, Curitiba, 2022), a chapter in the book Flood Handbook (CRC Press, Boca Raton, Florida United States, 2022), How to protect human beings from threats to their existence and avoid the extinction of humanity (Generis Publishing, Europe, Republic of Moldova, Chișinău, 2023) and A revolução da educação necessária ao Brasil na era contemporânea (Editora CRV, Curitiba, 2023).