Globalization and future conflicts

Globalization and capitalism usually work in tandem. In the tussle between communism and capitalism, capitalism was conclusively proved as a sole winner. But the effects of this rapid transformation of global financial scenario are still mixed. On one hand we have enviable growth rates of Asian economies and on the other hand we have plunder of African natural resources as well as seemingly perennial financial instability in South America. Obviously, we have fierce opposition to globalization through out the world. With dramatic improvement in the telecommunication and physical infrastructure, globalization is virtually unstoppable. But if we don't manage it well then the rapidly changing world order will soon result into conflicts between world powers.

Most of the world considers western countries as a benchmark of development. And, western economies, more specifically US economy, are based solidly on the base of higher consumption. In their quest to provide luxurious lifestyle (luxurious as compared to the lifestyle of non-western world) they are gobbling huge amounts of resources. Apart from the fuel based amenities, free trade economic model i.e. globalization, provides opportunity for each and every individual to have a life style that for all practical purposes was rich game few decades ago. Of course, such a lifestyle is still out of reach majority of the non-western population. It is not only impossible to provide such lifestyle to every one but attempt to do so will have disastrous environmental effects. For example, if all of the Chinese population is provided with standard US life style then earth will be empty of any resources in just three years.

Sadly, increasing pressure from western countries to open the markets of India and China and pursuit of these two behemoths to provide western life style to their citizens is straining world's natural resources to breaking point.

It’s a vicious cycle. Without consumption there is no capitalism and supposedly, no growth. But with more consumption we have rapid environmental degradation and conflicts over natural resources will follow.

With all most 2.4 billion people i.e. one third of world population in the world embracing rapid capitalization, we should brace ourselves for drastically new world in every possible way. None of the western countries even in their hey-days of growth managed more than 3% economic growth consistently. On the other hand China is clocking all most 9% for last thirty years and India on an average managed 6 to 7% in last fifteen years or so. As more and more people enter in the class bracket of income, the consumption of every thing is going to go up. If their consumption doesn’t go up then the capitalistic model won’t work and that will result into immediate chaos. In order to sustain consumption level, it will be imperative for the two countries to capture more and more of the world resources. The problem doesn't just stop there. We still have Europe and US as kings of consumption and more ever they most of the world resource under their belt. And, yes, they have technologically advanced armies to protect those resource. For example, if US end up stabilizing Iraq then they will have the second highest Oil reserve under their thumb. Thus it will not only safeguard their oil interest but they will control over the growth of India and China.

So, it seems that future conflicts will be over world resources than terrorism. We don't need Oracle to figure this out. But the point is that time is fast running out for stopping such conflicts. China and India are rapidly advancing their armies. Though, it will be years before they can compete with US army, but then we don't need 'equal' forces for wholesome destruction. Few nuclear missiles sprinkled around the globe and we are back to the stone age.