The EU provided Greece with all the capital it needed when there was a run on the banks which is the technical equivalent of a nation printing money to protect the value of it's currency,therefore the fatal flaw mentioned in this paragraph has been addressed. The real problem to the world's financial system are the currency speculators and manipulators who created this crisis in the first place
Free unrestricted trade which allow nations to create vast trade imbalance is a thing of the past. This is not economic nationalism it is called common sense.Just as we set loss limits in trading on the stock market,so should they be applied to international trade. The US is bankrupt by free trade and China will not expand consumption unless it is guaranteed unlimited access to the US already bankrupt economy !!?? really. Is it any wonder India is skeptical of the present economic system.
We can speculate on the developments in the Islamic world by comparing it to Christianity or with the Roman Empire, in this event I would compare it with Christianity.The Islamic world arose in 622 AD, which makes it 1390 years old this year.When Christian Europe was at this corresponding age, it was locked in a bloody Hundred Year War, between the Norman English and the French seeking to control the Atlantic coast of France. Eventually the French prevailed and the Norman English were drive off to England.British Palestine which later became Israel is locked in a similar struggle for it's survival,with Arab nationalist.This could have a similar outcome in which the Jews are forced to surrender Palestine to the Arabs, as did to the Norman English to the French. Those who wished to submit to their conquerors were permitted to remain in the land all others were forced to flee.
Regardless of how low the corporate tax rate is set, the US will still be at a disadvantage in global business because the wage and infrastructure cost in Asia is CONSIDERABLY lower. American businesses recognize this and relocate their plants in Asia,hence , 6o% 0f China's export to America is from US owned companies. Naming China a currency manipulator will undermine further the relationship between both countries and do more harm than good to us both,without addressing the real reason for America's lack of competitiveness, high wages and infrastructure cost.
It is quite correct to say there will be no more growth miracle for now, but the cause will not be the issues addressed in this article ie industrialization or the lack thereof. Rather the inequitable distribution of wealth derived from labor is now the problem. A new bubble created by income inequality wherein labor is starved of capital and Investors conserve excess capital or indulge in speculative activities is now the real threat to the world's economy. The basic necessities of life are still lacking among enormous numbers of cash starved workers and this is the real demand that drives any economy. Correct income inequality and the worlds economy will grow for many more years China's industrial prowess may well stifle other nations if they are prepared to tolerate it, but it only proves that the market being catered to is miniscule,compared to the potential demand that truly exists. The slight improvement in wages among Chinese workers and the attendant threat to their jobs caused by it is proof that CAPITALISM AS IS CURRENTLY BEING PRACTICED, IS A FRAUD