China’s Robot Revolution May Affect the Global Economy

 

Automation impact on wages isn’t showing in the data – yet

China is installing more robots than any other nation, and that may affect every other nation.

Shipments jumped 27 percent to about 90,000 units last year, a single-country record and almost a third of the global total, and will nearly double to 160,000 in 2019, the International Federation of Robotics estimates. Continue reading

Germany’s ascendancy over Europe will prove short-lived

Although the article has a point and the population is truly in decline, Germany should not be counted out. Germans have the know-how, a very modern infrastructure, are still the most industrious and forward thinking people with a vision that no other on the European continent has or can be compared to. It didn’t literally give its manufacturing base to the Chinese.

Germany has peaked. Its hegemony in Europe is a “power illusion”, a confluence of fleeting advantages soon to be overwhelmed by the delayed effect of error and the crush of historic forces.

If demography is destiny, it may be clear within five years that ageing Germany is going the way of Japan. Within 20 years it may equally be clear France and Britain are regaining their 19th century role as the two dominant powers of Europe, albeit a diminished prize. Continue reading