The Washington Post reports that the credit crisis is being used as an argument against independence for Scotland, with suggestions that Scotland would not have been able to weather the crisis on its own.
Practical factors come into play as well: with the bank bailout by the central government, “it has not been lost on Scots that the largest shareholder in Scotland’s two largest banks is now the British government.”
The pro-independence Scottish National Party, which currently governs Scotland, contents that Scottish membership in the EU would provide the kind of assistance now provided by the central government of the UK.
The article notes that only about 25-30% of Scots favor independence.
The CSM reports that English nationalism — identification with the nation of England rather than the larger United Kingdom — is growing, albeit on a small scale.
English nationalism responds to an anomaly:
England is essentially Europe’s largest stateless nation - 50 million people with no parliament and few national emblems. While much has been done to help minorities in Britain express their cultures, the English have largely felt awkward celebrating theirs.
As the Scots and Welsh have regained power within the UK, English interest in self-determination is growing:
A recent survey found that 23 percent of people wanted a separate parliament for England and 43 percent believed only English MPs should be allowed to vote on English issues in parliament.
English nationalism could serve as a secondary driver of the dissolution of the United Kingdom as a unitary state, to be replaced by more loosely associated nation-states within the European Union.
The Economist Intelligence Unit released its 2006 e-readiness rankings yesterday. The index is a measure of a country’s readiness for e-business, judged by Internet access, broadband penetration, innovation, information security, and other factors. More telling than the ranking is the country’s distance from a score of 10.
The ratings are a good indicator of general abilities in IT, and thus an important component of present and future competitiveness.
The top countries
Rank. Country — score out of 10 (2005 rank)
1. Denmark — 9.00 (1)
2. US — 8.88 (2)
3. Switzerland — 8.81 (4)
4. Sweden — 8.74 (3)
5. UK — 8.64 (5)
6. Netherlands — 8.60 (8)
7. Finland — 8.55 (6)
8. Australia — 8.50 (10)
9. Canada — 8.37 (12)
10. Hong Kong — 8.36 (6)
11. Norway — 8.35 (9)
12. Germany — 8.34 (12)
13. Singapore — 8.24 (11)
14. New Zealand — 8.19 (16)
14. Austria — 8.19 (14)
16. Ireland — 8.09 (15)
17. Belgium — 7.99 (17)
18. South Korea — 7.90 (18)
19. France — 7.86 (19)
Other countries of interest
Rank. Country — score out of 10 (2005 rank)
21. Japan — 7.77 (21)
22. Israel — 7.59 (20)
23. Taiwan — 7.51 (22)
25. Italy — 7.14 (24)
30. United Arab Emirates — 6.32 (X)
31. Chile — 6.19 (31)
35. South Africa — 5.74 (32)
37. Malaysia — 5.60 (35)
39. Mexico — 5.30 (36)
41. Brazil — 5.29 (38)
42. Argentina — 5.27 (39)
45. Turkey — 4.77 (43)
46. Saudi Arabia — 4.67 (46)
48. Venezuela — 4.47 (45)
49. Romania — 4.44 (47)
51. Colombia — 4.41 (48)
52. Russia — 4.30 (52)
53. India — 4.25 (49)
55. Egypt — 4.14 (53)
56. Philippines — 4.04 (51)
57. China — 4.02 (54)
60. Nigeria — 3.69 (58)
61. Ukraine — 3.62 (57)
62. Indonesia — 3.39 (60)
64. Kazakhstan — 3.22 (62)
65. Iran — 3.15 (59)
67. Pakistan — 3.03 (64)
Regional standouts in the developing world are Chile, South Africa, and the United Arab Emirates. The low scores of some countries, notably India, China, and Russia, disguise significant specialized capabilities in infotech.
PriceWaterhouseCoopers has released a study of potential growth in the world’s 17 largest economies out to the year 2050.
The study forecasts the eclipse of the current developed economies. The E7, largest emerging market economies (China, India, Russia, Brazil, Indonesia, Mexico, Turkey), were only 20% of the size of the G7 economies at market exchange rates in 2005, but would be 25% larger than the G7 by 2050. By purchasing power, the E7 economies were only 75% as large as the G7 in 2005, but would be 75% larger by 2050.
In purchasing power terms, the shifts in relative GDP would be stark:
COUNTRY — relative econ size 2005 / 2050
US — 100 / 100
Japan — 32 / 23
Germany — 20 / 15
China — 76 / 143
UK — 16 / 15
France — 15 / 13
Italy — 14 / 10
Spain — 9 / 8
Canada — 9 / 9
India — 30 / 100
South Korea — 9 / 8
Mexico — 9 / 17
Australia — 5 / 6
Brazil — 13 / 25
Russia — 12 / 14
Turkey — 5 / 10
Indonesia — 7 / 19
Note that the values are relative within their respective years, but not across them; all economies are projected to be larger in 2050 than at present.
Purchasing power suggests, among other things, the military power the economy can afford to buy, suggesting that the realignment of power toward Asia will have substantially occurred. It will no longer be possible for the US to massively outspend all potential rivals.
The study also offers some startling numbers for per capita income. The figures suggest that the developed countries could have universal prosperity, and the emerging markets could achieve levels of wealth like those of developed countries today, eliminating dire poverty.
COUNTRY — 2005 / 2050 purchasing power GDP per capita (constant 2004 dollars)
US — $40,339 / $88,443
Japan — $30,081 / $70,646
Germany — $28,770 / $68,261
China — $6,949 / $35,851
UK — $31,489 / $75,855
France — $29,674 / $74,685
Italy — $28,576 / $66,165
Spain — $25,283 / $66,552
Canada — $31,874 / $75,425
India — $3,224 / $21,872
South Korea — $21,434 / $66,489
Mexico — $9,939 / $42,879
Australia — $31,109 / $74,000
Brazil — $8,311 / $34,448
Russia — $10,358 / $43,586
Turkey — $7,920 / $35,861
Indonesia — $3,702 / $23,686
These numbers suggest massive value shifts: countries reaching these wealth levels have shifted toward democracy, social freedom, and humane governance.
There is an underlying problem in these hopeful figures: sustainability will be strained with far more of the planet living at developed levels of wealth.