Global economics

From Alfàz del Pi, Spain We are heading for a new load of advice from the self-appointed “World Economic Forum”, still having fresh in mind their utter inability to come to grips with the September 2008 manifestation of the world economic crisis when they met three years ago. So, what are they going to talk about now? Lee Howell, in “The failure of governance in a hyperconnected world”, International Herald Tribune, 11 Jan 2012, gives us a preview.

Voltaire described Europe as “a kind of great republic, divided into several states, some monarchical, the others mixed but all corresponding with one another. They all have the same religious foundation, even if divided into several confessions. They all have the same principles of public law and politics unknown in other parts of the world.” Ten years ago, this January 1st,  in a way that Charlemagne, Voltaire, William Penn and Gladstone, the early advocates of European unity, could only dream, a united Europe became a reality. A single currency was the most dramatic of the steps taken towards what surely one day will be a single political entity.

By Jonathan Power Every so often, but not very often, the tectonic plates in society visibly move. In the last century it was the impact of the Great Recession closely followed by a second massive war in a century that pushed both the victorious and the losers in the direction of a welfare state, albeit the Europeans, Canadians and Japanese moved at a much faster rate than the Americans. If Chancellor Angela Merkel of Germany is right and the present financial crisis is the worst upheaval since then, perhaps we are on the cusp of a major change in the governance of not just Europe, Canada and Japan but of the semi-isolationist US as well. The occupied streets and squares of some major cities suggest it. Never before in my memory have protestors gained such support from non-demonstrators. The liberals and social democrats have supported them, but so have the...