The flat world therefore extends from the United States through East and South East Asia to India. The distinction I have made between the merchandise trade and that in services is now getting blurred as East Asian countries also partake in information technology outsourcing and as Indian firms get their act together in manufacturing. Where do we go in the future?
What of the future role of Asia in the flattening world? What are the implications of on going Asian urbanisation patterns on the future direction of capital flows and world real interest rates? Let me address some of these questions in a futuristic scenario.