A slightly abridged version of this opinion piece appeared in Sunday's New
Mexican:

http://www.foreignpolicy.com/articles/2013/01/02/the_coming_year_in_review?page=full

I love it: you don't need to guess, here's the news you'll be reading at
years end.

It has an awkward login, so here it is:

   -- Owen



The Coming Year in
Review<http://www.foreignpolicy.com/articles/2013/01/02/the_coming_year_in_review>The
headlines we'll be reading in 2013.
BY DAVID ROTHKOPF <http://www.foreignpolicy.com/author/DavidRothkopf> | JANUARY
2, 2013

As that great geopolitical theorist Carly Simon once observed, "We can
never know about the days to come but we think about them anyway, yay."
She then went on to say, as ketchup lovers everywhere remember,
"Anticipation, anticipation, is making me late...is keepin' me waitin'."
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Of course, the tortures of anticipation are well known to observers of the
slow-motion train wreck that has been Washington's management of America's
financial situation, or the recent, interminable U.S. presidential
campaign, or the hideously slow path to oblivion followed by the Assad
regime in Syria, or the painfully circular Eurofollies, not to mention the
gradual but undeniable degradation of the planet's environment that goes on
year in and year out despite our clear knowledge about how to avoid the
damage.

The time has come to say "enough."  We live in an age in which the average
consumer expects instant gratification. There is no reason those who are
interested in the bigger issues taking place in the world shouldn't have it
too. For that reason, we bring to you the top headlines that you will be
looking back at when 2013 draws to a close 12 months from now.  Think of it
as the year in review, before it happens. Yay: **

*America Recovers*

Forget the fiscal cliff or the debt ceiling.  Admittedly, that may seem
difficult given the headlines of the moment. The clown show in Washington
is diverting for inside the Beltway reporters and creates a kind of
artificial drama that makes one periodically wonder if Kris Jenner were
actually speaker of the House. But see the economy through the eyes of the
market.  Washington dithers but hops to when it gets slapped around enough
by traders. Meanwhile, there are winds at America's back: An energy boom.
Housing markets recovering. Signs of resurgent growth in key sectors. Other
big markets a little soft and international investors looking to the United
States as a secure place where the real protection of intellectual property
can spur innovation. Growth in Canada and Mexico. Insourcing as a real
trend bringing jobs back to the United States. That's why smart market
observers like Laszlo Birinyi, who were early to call the current bull
market, expect record stock market highs in 2013.  In his view, people are
ready for the slump to be over and the prospect of a bull market will be
irresistible.

This has its downsides, in particular the concern that too much growth will
make Washington sloppy again, counting on a rebounding economy to make up
for its spending sins.  But Washington has done us all a favor by becoming
so feckless and irrelevant that no one is counting on the U.S. government
to lead America out of the boom. Which will leave growth in the hands of
people and companies who understand it.  Which for Barack Obama, John
Boehner & Co. ought to have them remembering that old lyric from "Pippin":
"it's smarter to be lucky than it's lucky to be smart."**

*China (and Some of the Rest of the World) Recovers*

American growth will help even if it is modest. But the United States can
no longer be the world's locomotive as it once was. It needs help. China
hands I have spoken to think 8-9 percent (or even slightly higher) growth
in 2013 is likely.  This would be a return to roughly 2011 growth levels
after a 2012 slump that started to reverse during the second half of 2012.
Europe experts think the worst of the crisis may be behind them. Some
emerging markets (see below) may show signs of real life even as others
(Brazil, Argentina, India) continue to struggle for a while. The net net:
2013 will be the year that the five-year slump associated with the Great
Recession really comes to an end, even if many don't feel the benefits for
some time to come.

*Assad Collapses, Syria Festers, and the Mideast Trembles*

Bashar al-Assad is toast. The Syrian leader's Iranian and Russian
supporters are already desperately in Plan B mode. His local backers are
shifting their last assets out of the country and heading for the hills.
The problem is that with his downfall will come a period of transition to a
new regime that may introduce a new term to the geopolitical lexicon: "the
fog of peace." As many members of the very uncohesive opposition are bad
guys, troublemakers, or potential Assads as there are any who seek a more
democratic or at least vaguely civilized future for the revolution-torn
country.  Instability in Syria means problems for its neighbors, including
Jordan (where refugees add to growing threats to King Abdullah and his
family's long reign in that country), Turkey, Israel, Iraq, and Lebanon.
Perhaps most affected will be the latter two as Iran shifts its regional
hegemony chips onto those spaces.  As for Iraq, the year should see more
stirrings of trouble in the country the United States invaded a decade ago
and about which George W. Bush once declared "mission accomplished." In
fact, Obama and incoming Secretary of State John Kerry will find they spend
much of the next four years trying to avoid having it look like both big
American wars in the region actually resulted in on-the-ground realities
that were the same or worse as the ones we found prior to going into those
combat zones. Iran's doubling its bets on Hezbollah also, of course, will
have implications for its other client in the neighborhood, Hamas, making
Israel-Palestine peace talks harder. And, of course, the embarrassment of
backing Assad won't look good for the regime in Tehran at home - especially
at a time when economic sanctions are really taking a toll.  That'll make
them more nervous and less predictable. (See below for the upside.)**

*Bibi Netanyahu Irritates the World*

A key to good prognosticating is always to throw in a few sure things.
Predicting Bibi Netanyahu will irritate the world is like predicting that
the U.S. Congress will fail to come to grips with America's deficit problem
or that Lindsay Lohan will get in trouble with the law. We've seen this
movie before.  We don't like it but when in doubt, the universe repeats
itself.  The rich get richer, the poor get poorer, success breeds success,
tomorrow's weather has an 85 percent likelihood of being the same as
today's, and the Israeli prime minister is-no doubt with the best of
intentions-a dependable pain in the world's tush.

*No War with Iran*

Iran has problems (see above). Sanctions will make them worse. They want
time. Nobody wants a war. Iran will test the world's patience, push it to
the brink, then "settle"...buying time until the next revelation it is not
playing by the rules and the next cycle of brinksmanship. In the end, this
approach is more than likely to ensure they will become "nuclear capable"
and trigger a new arms race in the region and among emerging powers
everywhere. But that won't happen in 2013. And that will pass as successful
diplomacy -- until it turns out to have extraordinarily high hidden costs.

*Meet the New Bosses, Same as the Old Bosses*

In addition to Assad, 2013 will see the departure of Hugo Chavez and
Mahmoud Ahmadinejad. In Syria, the fall of Assad will produce a power
struggle and in the world's desire to produce stability, it is likely to
bet on anyone tough enough to hold the place together. Which is likely to
be a not very good guy. In Venezuela, the death of Chavez after his long
battle with cancer will produce a successor regime that is increasingly
weaker but attempts for the near term to ride sympathy for the departed
Bolivarian bully.  In Iran, President Ahmadinejad was never in charge in
the first place so while the guy who takes over the presidency may change,
the power remains with the Ayatollah-in-Chief as it has since the
revolution. In short, we won't miss these bad guys when they go, but we're
likely to get new ones and new problems in their place, at least in the
short term. In fact, with the Middle East a creeping mess and with
developed countries focusing on bigger problems at home, we are in a period
that may, like the 1960s, see the world's major powers inclined to buy into
a new era of strongmen who will keep a lid on their countries even if a few
basic human rights have to get violated along the way. (Don't worry,
though, we'll have elections so that the 21st century bastards smell nicer
than the ones we had back when colonialism was in its death throes.)**

*America Enacts Immigration and Gun Reforms*

The U.S. Congress is dysfunctional-but it is not stupid. Ok, maybe it is
stupid, too. But it is nothing if not self-interested. Some progress on
some legislation will be made. Expect passage of bills on assault weapons
and some ammo bans possibly even before we even get to the next round of
fiscal brinksmanship. Expect movement on immigration reform, which has
supporters in both parties and should be easier in an economy trending
upward. On everything else, expect the usual collective exercise in goat
husbandry.

*Gold Bubble Bursts*

It has to happen sooner or later. Strengthening economies will soon lead to
strengthening currencies. Or at least less aggressive U.S., Chinese, and
European efforts to devalue their currencies. And when that happens people
will start to realize that even golden trees don't grow to the sky. In the
United States, where buying gold has taken on a political tinge as some on
the hard right and Paulistas buy gold as a way of expressing their hatred
for the Fed, the central government, and modernity, the gold crash will hit
one political side harder than the other. Couldn't happen to a nicer bunch
of economic troglodytes.

*Mexico and Indonesia are the "Next BRICs" Everyone Is Talking About*

Mexico will be the Brazil of 2013. (I know this because it was already the
Brazil of 2012.) New regime. Finally likely to get to some Pemex* *reforms.
Fourth-largest shale gas reserves in the world.  Benefits as manufacturing
facilities move from difficult-to-work-in China and back closer to the
United States. As for Indonesia, this is the big country that emerging
markets investors are starting think is showing renewed signs of life after
a prolonged (15-year) struggle. Lots of people. Lots of energy. Low priced
manufacturing. Close to big markets. And now, gradually, the government is
starting to get its act together, somewhat. (Indonesia is still a state
with strong anti-central government tendencies, which can work for many
investors. Corruption does remain a problem, however.)

*China Strains Against the Limitations of Its System*

Look at China's recent hamfisted effort punish the *New York Times* for
publishing the truth about corruption among its elites. Some see in China's
recent moves efforts to echo U.S. "hard power" with expansion of its Navy
and investments in next-generation forms of warfare from space to cyber to
unmanned drones, and U.S. "soft power" through the use of their checkbook
and the influence it buys. But most telling is what might be called their
use of "brittle power": Denying visas, cracking down on Internet freedoms,
squabbling with the Japanese over deserted rocks all fall into this
category.  At first glance the power may seem hard enough but it is
actually a sign of weakness, not strength, and it can crack and crumble
away quickly, revealing the real structural problems the new leadership is
going to have to find better ways of tackling.

***

The year* *2013 will also see big stories that are easy to predict but hard
to fill in the details-more climate-driven disasters, more scandals in
financial markets and among emerging markets elites. And it will see
stories more important than all those above that don't get enough ink.
Climate change is one of these of course.

*And Then, There Is the Greatest Social Failure of Our Era...*

The larger looming story that troubles me even more is our continuing
failure to protect women or their rights. The U.S. in particular is going
to face some very difficult choices in the year(s) ahead on this point. Are
we so eager for closure in Afghanistan or stability elsewhere that we are
complicit with putting in power regimes that will continue to suppress the
majority population, deny them education, deny them protection under the
law, allow them to be abused under the protection of barbarous and
indefensible "cultural traditions?"  Will countries like India continue
their tradition of failing to enforce the law against rapists who prey on
their women, as in the case of December's horrifying Delhi gang rape?  Will
the gunmen who targeted Malala in Pakistan continue to seek to intimidate
those who emulate the courageous schoolgirl? Will women continue to be
under-represented economically and politically in almost every country in
the world?  My fear is that the answer will be "yes" and that in the year
ahead we will see even the world's most progressive and enlightened powers
continue to feed the greatest global social failure of our age, by looking
away and accepting the unacceptable.
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