EconAir

William Dalrymple’s new book, The Anarchy: How a Corporation Replaced the Mughal Empire, 1756-1803, will be published next year by Bloomsbury & Knopf   INTRODUCTION   The English East India Company (EIC) was an innovative new type of corporation. It is a model for the modern limited-liability, stockholder-funded modern corporation. The EIC also illustrates that the prototype of the modern multinational corporation was created to develop global trade.   HISTORIC BACKGROUND   The creation of the English East India Company (EIC) and its Dutch equivalent (the VOC) were part of the 400-year expansion of European power, trade, and influence. Much  of the rest of the world became colonies, part of imperial empires. By 1600, both England and Holland had a wealthy merchant and shipping class, bankers, substantial liquid capital (wealth) not tied up in land, and risk-takers. These categories overlapped. Both countries had limited monarchies. In England, the king and P...

  INTRODUCTION   Japan gets special consideration because it is further along the demographics declining population curve than any other large country. It has the oldest population (highest average age) in the world. It has one of the world's lowest birth rates. Unless there are major changes in healthcare technology, immigration, public policy, and birth rates, most industrialized countries will follow Japan down the path of declining and aging populations, and smaller labor forces. Japan's demographics and immigration have become major political issues. In the July 2025 elections, two right-wing parties made substantial gains against the long-ruling Liberal  Democracy Party (LDP). Two of their main issues were the rapid rise of immigration and the repeal of a 10% consumption tax used to pay for the rising costs of supporting the aged. Both parties appealed to young voters.  The LDP has nominated a candidate for prime minister who also takes a hard line on...

There are a number of forecasts of what the world will be like after the virus. Let’s take a look at some of them. Many long-term trends have been accelerated by the virus.  Probably the most cited example has been the accelerated move to digital-based transactions and behavior. This has occurred among both consumers and businesses. I think we have hit an inflection point. Before, there was a great deal of discussion about how one industry or market was becoming more dependent on digital platforms and automation based on artificial intelligence. The Internet of Things, online shopping and ordering, business conferencing, telemedicine. Or how a particular company was transforming an industry (Amazon, Uber). But now we see that the entire economy –  al l industries and markets – rely on digital. The technology and rapid adaptation are accelerating the shifts. Income inequality is bad and probably getting worse.  The usual reasons given are outsourcing in th...