Even though I’m more interested in both economics and politics than the average person, I have to admit that most often I find macro-economic analysis fairly abstract, communicated in numbers and percentages that seem distant from the reality of everyday life. But traveling between China and Europe these days I certainly don’t need a chief economist to tell me the story. 

The contrast is overwhelming as soon as I step out of the plane. Whereas China is super busy, Europe is calm and quiet. Where Europe is comfortable and sophisticated, while China is crude and raw. China is perky and optimistic, while Europe is protective and depressed.

I find this development quite natural. The average European still enjoys a relative wealth which is 5 to 10 times that of a Chinese. If you have it all already, your primary need is more time to spend and enjoy it. For the average Chinese, the gate to wealth and freedom has just been opened by a tiny glitch – but is quickly expanding being pushed open by a billion plus strong population, all eager to improve and achieve. 

There is a kneejerk protective reaction from the rich side to this development, as if we were all part of a zero sum game. We’re not. China will not take what Europe has, but will develop its own markets and strengths.  Cost and value in China will rise. And eventually, Chinese too will yearn for more time to spend its newfound wealth.  Europeans will not lose, but the Chinese will catch up. Is that so bad?

I’m reading a book right now called “The Spirit Level – Why Greater Equality Makes Societies Stronger”. It is based on a scientific study showing how happiness is relative, and how inequality makes everybody less happy. So maybe we will all become happier as the world becomes more globalized?