After the financial failures endured by The World Economy in 2008, it is with unfounded optimism the majority feel full recovery will be enjoyed in 2013.
Given the dynamics of Global Empire remain the same, slow growth will persist. US dollars, which represent World currency reserve, are still debt driven-this debt basically drives all trade and growth. In a curious case of the tail wagging the dog; debt not wealth now determines human welfare.
Asian (Tiger) economies, which powered growth from the 1980's to 2009, have all startered slowing down. Europe a major trading partner of Asia is caught in an austerity trap. As a result, export markets for Tiger countries are greatly diminished.
Brazil,Russia, India and China-BRICS, which were work horses between 2004 and 2009, are seeing rapid foreign market contractions.
Africa, given its historical debt dependency issues cannot fire up the Global machine.
So back we are again to the US dollar. America will continue its austerity agenda, and this will mean less liquidity to finance Global recovery.
2013 will be a challenging year all round.
