EconAir

    INTRODUCTION There are three continental powers - the United States, China, and Russia. India is potentially the fourth, dominating  the  Indian sub-continent and the Indian Ocean.   Geopolitics looks at geography and history as inputs into the relations among nations. A corollary is that countries have “natural” opponents and allies. But how this works out depends on the domestic and foreign policies of the leaders and governments of the countries. The history of long-distance Eurasian trade highlights the crucial role of India and the Indian Ocean. For over 2,500 years, the Indian Ocean was the vital route of trade between Europe and the Mediterranean, the Middle East, and China. India was the transshipment center of this trade. Today, 85% of global trade in goods goes by sea. Over 40% is oil. There are three major "choke-points" in seaborne trade - the Red Sea/Suez Canal, the Persian Gulf/Strait of Hormuz, and the Strait of Malacca. Ships from the first t...

The Mughal emperor Shah Alam hands a scroll to Robert Clive, the governor of Bengal, which transferred tax collecting rights in Bengal, Bihar and Orissa to the East India Company.  Illustration: Benjamin West (1738–1820)/British Library INTRODUCTION   Founded in 1600, the English East India Company (EIC), like its Dutch equivalent the United Netherlands East India Company (VOC, from the Dutch initials) was an innovative new type of corporation. It was a model for the limited-liability, stockholder-owned and funded modern corporation. The EIC was an early prototype for the modern multinational corporation. Originally created as a company to develop profitable long-distance trade, it evolved into a political organization that controlled or dominated about two-thirds of the Indian subcontinent by the early 1800s. The EIC and the Navigation Acts were the starting points for England's naval dominance and colonial empire. The EIC can be seen as an early example of state capitalism. ...