There is no need to fret about deglobalisationChina, the slowing down of the world economy and the rise of political populism dominated the headlines during last month’s G20 summit in Hangzhou, along with calls for “inclusive growth” and “civilising capitalism”. Amid indications that the pace of globalisation has stalled, there were concerns that we may be entering an era of deglobalisation. Yet the leaders present did not seem to have many new ideas.
The past 70 years were a special period for the world economy that is unlikely to be repeated — at least not until serious adjustments are put in place. The factors that enabled a mutually reinforcing pattern of economic growth and expanding globalisation have been greatly weakened.