Get ready for the 2010s & the return of the nation state

Changes that began in the Reagan/Thatcher years are now becoming fully apparent. Billions of new capitalists have entered the global economy while the West spent itself into massive debt. Wealth spread and truly globalized. More than just a shift in wealth, the new economic models of outsourcing and offshoring enabled by instant communications indicated a shift of power away from national governments and towards global institutions - whether multinationals or global hedge funds. But as we emerge from the Great Recession, we are entering an era where governments across the world are even more powerful players in the global economy. State-owned companies are grabbing raw materials and prized assets in the West. Sovereign Wealth Funds will increasingly become the new masters of finance. Welcome to the future - the mercantile economy is back. The liberal capitalist model is not the inevitable conclusion for many countries. The success of countries wich combine authoritarianism with state-sponsored capitalism provide a very viable alternative. The next decade will decide which model will prevail. Happy New Year