War, speculation and profit: The rest of us pay so a few can cash in |
War, speculation and profit: The rest of us pay so a few can cash in
The result is a reverse redistribution: from consumers and public finances to the balance sheets of large corporations and their shareholders.
In addition to death and destruction – the most immediate and tragic effects of war, as the recent images from Iran to Lebanon show us once again – there is another, closely related dimension: the economic one.
There are fears of a slowdown in growth, rising inflation and increased pressure on public finances. In everyday life, all of this is already translating into high energy costs and a rising cost of living. Nevertheless, in every conflict there are also those who profit. Oil companies, banks, arms manufacturers and hedge funds are amassing huge fortunes, once again.
The International Monetary Fund’s World Economic Outlook 2026, released last week, states that the conflict in the Gulf has disrupted the trajectory of global growth: in the most favorable scenario, global GDP will slow to 3.1% in 2026 and 3.2% in 2027, while inflation will rise to 4.4%. In the worst-case scenarios, growth will slip down to 2% – a threshold bordering on a global recession – and inflation will go above 6%: a combination that brings back the specter of stagflation.
As always, the most fragile economies will pay the........