10 Geopolitical / Financial Risks to the Global Economy
Perhaps the most apt metaphor to describe the decade ahead is that investors, consumers and taxpayers will all be rafting whitewater rapids with ever-briefer stretches of calm.
Geopolitical / financial risks are proliferating and becoming more difficult to predict or hedge for a very basic reason: the era of global integration and accord has ended and the era of global disintegration and discord is heating up. In historian Peter Turchin’s terminology, when everyone finds reasons to cooperate, the result is an era of accord; when everyone finds reasons not to cooperate, the result is an era of discord.
Beneath the chaotic swirl of complex dynamics and risk, two core drivers emerge:Â de-globalization and de-financialization.
The 30-year era of increasing globalization has reversed, reducing the influence of markets and increasing the influence of national security. Where the globalization era led to global trade agreements which served at least a few of every participants’ core interests, the de-globalizarion era will be characterized by fragmentation and deals being cut between nations outside of traditional alliances and ideological camps.
In the neoliberal worldview, markets are solutions to virtually every problem:Â open up m
Article from LewRockwell
LewRockwell.com is a libertarian website that publishes articles, essays, and blog posts advocating for minimal government, free markets, and individual liberty. The site was founded by Lew Rockwell, an American libertarian political commentator, activist, and former congressional staffer. The website often features content that is critical of mainstream politics, state intervention, and foreign policy, among other topics. It is a platform frequently used to disseminate Austrian economics, a school of economic thought that is popular among some libertarians.