I agree with Gandall and Devine that there is increasing competition for the labor aristocracy in the West on the part of workers elsewhere, mainly in the developing world. But I don't see this as a new development or a change in the situation - to some degree or another this has always been the case, it's just more so now than before due to the ever decreasing costs of transport and the ever increasing ease of integrating global corporate efforts. It's quite possible for formerly developing countries to become imperialist powers themselves and so create a labor aristocracy in their own country, at the expense of others - Japan famously did so, and one could say the same thing of the USSR after 1945, although that is debatable. My view here is that this is to an extent a zero-sum game; a labor aristocracy on one side can only exist at the expense of another side, and if China and India are truly going to become the new labor aristocracies, this will have to largely destroy the ones in the West. After all, there is a limit to the degree of exploitation of Africa, Asia and Latin America possible, all the more since the vanishingly small elites in these countries already take their own significant share as well. So to that extent I do think the "new economic powers are destined to come into conflict with the old".

Whether China and India will truly be able to do this remains to be seen though. I want to see it before I believe it. As for "foreign governments, consumers, investors, and workers have become as essential to the profits of the transnationals as their home markets and nation states", this was true even in the days of the VOC. Only it seems modern transnationals are increasingly liberating themselves from the fetters of nation-state governments and their control & support.

Matthijs Krul
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