Risk Inverse: The Third World Is Now a Better Bet
Risk Inverse: The Third World Is Now a Better Bet By Zachary Karabell The unfolding drama of the Greek economy has roiled markets and awakened fears of global economic calamity that had been dormant for more than a year. The $1 trillion rescue package assembled by the European Union and the International Monetary Fund may be enough to keep the Greek disease from infecting Spain, Portugal, Ireland and other overleveraged European countries. But the events of the past weeks echo the lessons of the near global meltdown of late 2008 and early 2009: the world is indeed a risky place, although not in the places most people think of as risky. The global economy is indeed riddled with problems, but not in the places most people think of as problems. For most of the past 40 to 50 years, the world has been divided in various ways: communist and capitalist, democratic and authoritarian, West and East, First World and Third World, and developed economies and emerging economies. When it cam