Economic Empire

 
 

Babylon the Great was a powerful economic empire. When describing her fall, John warned that the merchants of the earth will mourn for her.

The merchants of the earth will weep and mourn over her because no one buys their cargoes anymore—cargoes of gold, silver,…horses and carriages…They will say, ‘The fruit you longed for is gone from you. All your luxury and splendour have vanished, never to be recovered.’ The merchants who sold these things and gained their wealth from her will stand far off, terrified at her torment (Rev 18:11-15).

The “merchants of the earth” are business organisations that operate throughout the world. We call them multi-national corporations. Collusion with Babylon the Great enables them to gain enormous economic power. These rich people control the trade in everything from minerals to vehicles.

In the last century, the power of the large multi-national corporations has increased enormously. Modern communications allow a single corporation to control a virtual empire that is greater than the Old Testament empires. For example, General Electric controls vastly more resources than would have been controlled by the Roman or Babylonian emperors.

Modern capital has no country. For example, a pair of Nike shoes can be designed in the United States, manufactured in China, marketed from France, and shipped to Russia. If local laws are not acceptable, capital will leave and find a place with laws that give them the freedom that they want. Large business organisations can and determine the rise and fall of smaller nations.

Multi-national corporations can often avoid the laws of nations. If they do not like the laws in one place, they will shift to another where they will be treated better. Economic power has shifted, but no one person has control of this empire. These multinational corporations operate independently, but pursue a common goal and purpose. Their authority is invisible, as they work through strategic alliances, rather than direct control.

American Economic Power

In the last part of the twentieth century, American capitalism has grown on an unprecedented scale to become the greatest economy the world has known. A number of large United States-based multinational corporations and financiers now dominate the world economy. The United States is the dominant global economic power.

Thr dominance of the United States is set to continue into the future, as it undertakes half of the research and development done throughout the world, more than the research and development expenditure of the next seven richest counties combined. The United States is the most popular destination for the world’s best scientists and trained foreign workers. The population of the United States is younger and growing fast, whereas the population of Europe is ageing and declining.

Globalisation

John also warned that Babylon the Great would emerge during a time of expanding world trade.

Every sea captain, and all who travel by ship, the sailors, and all who earn their living from the sea, will stand far off…
all who had ships on the sea became rich through her wealth (Rev 18:17,19)!

Globalisation is the modern name for a season when ship owners become wealthy though trade.

A burst of globalisation got underway at the end of the twentieth century was made possible by a number of changes that emerged.

  1. Land air and sea transport has improved enormously.

  2. Shipping costs have been reduced enormously by containerisation. Goods can be shipped from anywhere in the world for a small cost.

  3. National governments have reduced tariffs and other trade barriers.

  4. Communications have improved to such an extent that a message can be sent instantly to anywhere in the world.

  5. Computers and information technology have given corporations the ability to manage large volumes of information.

  6. As the science of management has advanced, the size of the business that can be managed as one unit has grown.

  7. Management has been separated from ownership, allowing the interests of the business to be pursued without constraint.

  8. Limited liability laws have allowed corporations to become immense.

  9. Modern mangers are citizens of the world. To climb the corporate ladder, they have to work in different countries, so they have no loyalty to a particular nation.

  10. The power of television has given large corporations ability to create worldwide demand for their products.

  11. Modern business activities are very capital intensive. Large and powerful financial intermediaries emerged to supply this capital.

All these factors have contributed to the rise of American economic power.

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