Glocal Political Economies: capital and credit flows

Paul Kennedy's Rise and Fall of the Great Powers (1987) gives a clear exposition of economics as an instrument of what Joseph Nye would categorise as hard, rather than soft, power. Likewise, Niall Ferguson could not be clearer about the role of economics in power politics.

Yet the security and resilience implications of the recession triggered in 2007 have yet to be fully understood. Despite the capital adequacy of banks being termed "resilience", and Keynes long ago having diagnosed disruptions to credit flows as the cause of war, the implications of the structural imbalances around the world - particularly between the US and China - are little understood.

ISRS's Glocal Political Economies RIC seeks to understand where the Great Recession leads us in the next decade. Not only will financial centres rise and fall, but also nation states. There may even be a serious challenge to the US Dollar as the world's leading currency.

Such shifts have major strategic and security ramifications. Tipping points may be crossed more easily than many are prepared to believe.

Page last modified on 13 dec 10 16:13