Toward a new international economic and political constitution

To establish a global home building industry successfully requires international cooperation and economic restraint to prevent worldwide inflation problems. This strategy funds the emerging economies by the extension of credit by the international financial institutions, both domestic and foreign, to the working and the affluent people of the emerging economies who qualify for home loans . Funding home loans through the hands of the people  increases aggregate demand according to the economic principles of Friedrich A. Hayek the Austrian economist.  It  is the same strategy that evolved in United States of America over the past seventy years and created the enormous prosperity enjoyed by Americans. That is, up unto the point that their irresponsible government acted in complete ignorance of the proven principles of economics and insisted that banks fund housing developments that were not viable for the lender or the mortgage insurance agencies.  

Past socialistic attempts by global governance entities, such as the World Bank and the International Monetary Fund,  to organize and to control the economies of struggling nations from the top down with conditional lending to national governments and international corporations have failed to increase prosperity and reduce the enormous disparity within economically struggling  countries and between nations. This socialistic approach is based on the failed theories of John Maynard Keynes, also an Austrian economist.

Visualizing the eradication of severe global poverty and the enormous potential for worldwide prosperity and international interaction that will unquestionably result from the implementation of a global home building industry illustrates the emerging need for a new international constitution or set of agreements not based on past globalization theories. The new agreements and international laws must addresses the challenges to the existing political and economic governance that will concur. Increasing prosperity by this strategy empowers the people who become prosperous because they become the force that increases the global aggregate demand for consumer products which is the key to energizing the global economy and increasing global employment.  As the economies of the emerging countries improve, the people will seek to increase their independence and their sovereignty which must be supported by an new international governance that protects and promotes the emerging economic freedom of the people.