(K. Brent Tomer),
The Rise and Fall of Nations: Forces of Change in the Post-Crisis World. By Ruchir Sharma. W.W. Norton; 466 pages; $27.95. Allen Lane; £25.
GLOBALISATION has gone into reverse gear. Trade volumes have stagnated and the value of the capital flows sloshing around the world has dropped by over half since 2007. The West is angry and inward-looking. Disappointment festers in the emerging world. In the boom years between 2003 and 2010 it appeared that a new era of openness and global supply chains would help emerging countries to grow at turbocharged rates for decades, closing the gap with the rich world. Today that idea is out of fashion. Brazil’s economy is shrinking, China’s debts are terrifying and Russia is a rusting autocracy. Emerging countries are growing at 4%, half as fast as in 2006.
Into the wreckage steps Ruchir Sharma, a fund manager and author of the bestselling “Breakout Nations”, which came out in 2012. His new book, “The Rise and Fall of Nations”, has three aims: to assess the crash; to dismantle the analysis that led investors and economists to get overexcited; and to offer a new framework…Continue reading