Executive summary

The idea of an interconnected world economy is nothing new. Writing about the situation prior to the outbreak of the First World War, economist John Maynard Keynes described the ease with which an inhabitant of London might, while sipping his morning tea in bed, order by telephone the “various products of the whole earth, in such quantity as he might see fit, and reasonably expect their early delivery upon his doorstep.” Keynes went on to note how the same gentleman, from the comfort of his home, could also choose to invest his wealth in the “natural resources and new enterprises of any quarter of the world” or, if he were feeling adventurous, he might even go forth himself “by cheap and comfortable means of transit to any country or climate without passport or other formality” (Keynes, 1919, p. 9).

Related Subject(s): International Trade and Finance