Definition of ‘globalisation’ aside, it is very interesting to follow the arguments of liberals.
BlackRock chief executive Larry Fink’s proclamation last week stated that “the Russian invasion of Ukraine has put an end to the globalisation we have experienced over the last three decades”. As he put it, the war marks “a turning point in the world order of geopolitics, macroeconomic trends, and capital markets”.
Rana Foroohar of the Financial Times argues that “we won’t see a 1930s-style meltdown but rather a new kind of regionalisation that will replace what came before. I’ve been arguing for some time that regional trading blocs are the only way forward given the mercantilist reality of China’s current system, which is simply incompatible with the rules of the World Trade Organization. I think the big question is whether we move towards a bipolar system, with the US and Europe (and whichever OECD nations decide to come along with them) creating some new structures, particularly for digital trade and platform regulation — or whether we will be in a tripolar world of US, European and Asian blocs.
The past several weeks have made me think that the former is much more likely.
Perhaps this crisis of the old order will actually help us redefine liberal values and reconnect markets and nation states in ways that make more sense — for labour, politics, and the planet.”
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