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... cost would seem to be more along the same dynamic ...

... but note that while the transnational corporations require the impossible, in the sense of ever rising share of global income, when there is a maximum attainable share of global income, and further that the maximum sustainable share is likely less than the maximum attainable share, so they are quite likely to overshoot then crash.

By contrast, the Chinese do not have to keep up the pace indefinitely. They are navigating a demographic transition, and sometime in the current generation the number of new entries into the labor force will start dropping.

Obviously the American economy, and the military industrial complex in particular, are set up to be the biggest losers, precisely because of the focus on marshaling political support while taking the economic sustainability of their growth regime for granted.

If we go full cycle into a system of international political economy dominated by a relatively small number (three or four) of regional clusters, I imagine the successful transnationals will evolve into regional trading bloc champions.

I've been accused of being a Marxist, yet while Harpo's my favourite, it's Groucho I'm always quoting. Odd, that.

by BruceMcF (agila61 at netscape dot net) on Sun Jan 11th, 2009 at 10:16:06 PM EST
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