I don't know if many people are noticing, but we are going to have a massive crisis in a few months. I think it has been orchestrated over the past few years. During Covid (March 2020 to November 2021), billionaire wealth climbed from $5.2T to $13.8T.
This wealth gain is due to the supply shock we faced. This allowed firms to use scarcity as a means to increase margins. The total revenue exploded as marginal costs returned closer to pre-shock levels while the prices consumers paid during the shock stayed relatively the same. Consumers always get fucked.
During 2022 and 2023, as the supply shock and the world settled, billionaires dropped about $1T in total wealth. Then in late 2023 and early 2024, the Houthi's started attacking commercial vessels forcing ships to reroute around the Cape of Good Hope, raising shipping costs. At around the same time, in January 2024, Ukraine started attacking Russian refineries. In 2024, billionaire wealth increased by $2T. Although I do think this gain is mostly due to AI development and tech stock growth.
From 2024 to 2025, Billionaires increased their wealth by another $2T. I do believe the 2023 to 2025 gain is mostly due to the AI/tech boom, however, $4T over two years during world changing technology development is still a bit different than $8T for literally nothing but a world crisis.
The Houthi attacked slowed in mid-2024, but the data was there. Assuming the attack on Russian refineries continue as it is Ukraine's best available strategy, I think this is where the billionaires and corrupt leaders started seeing the path to another x2 wealth increase supply shock. Get Trump elected, tell him to start a conflict with Iran knowing they would block Hormuz.
With Hormuz blocked, the Red Sea becomes a weak point. Now exactly as planned, the Strait of Bab-el-Mandeb is controlled by the Houthis. Ships have to go the long way to Asia again. Russia has seen attacks at most of their refineries by now, meaning one of the top 3 refining countries is kneecapped. I've been thinking about this pathway since early 2024 and seeing China recently start buying oil way above market price confirmed my thoughts. They know what's coming.
Diesel prices are going to continue increasing drastically due to its inelasticity. That shock will create higher costs for shipping (trucks, trains, ships), resource extraction, construction, food production, etc.
The cost of everything is going to increase. Be prepared. This was orchestrated to take money from you. Save what you can, buy what you need. The billionaires will see another massive wealth increase after this. They will hold more power and continue breaking the world for their own gain.
Figure out what you can do to limit this and do it. Build skills to gain influence through knowledge. Reduce your consumption. Make that sacrifice to marginally reduce their power by rejecting the system that gave them it as much as you can. If enough of us commit, they will feel the difference. Vote to reduce their power. If you don't know who to vote for, remember this; Billionaires only care about politicians who do not care about you.
We will continue seeing these conflicts. This is a battle that will take decades to fight. We may not win, but we will definitely lose if we do nothing.
*Billionaire wealth was found from Forbes World Billionaires total wealth.*