{"id":489,"date":"2026-04-08T10:39:21","date_gmt":"2026-04-08T10:39:21","guid":{"rendered":"https:\/\/www.europesays.com\/ai\/489\/"},"modified":"2026-04-08T10:39:21","modified_gmt":"2026-04-08T10:39:21","slug":"opinion-how-ai-and-geopolitical-rivalry-are-breaking-economic-orthodoxy","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/ai\/489\/","title":{"rendered":"Opinion | How AI and geopolitical rivalry are breaking economic orthodoxy"},"content":{"rendered":"

Global imbalances are once again taking shape, albeit differently than how they manifested before the financial crisis of the late 2000s.<\/p>\n

Back then, the story was simple: some countries, led by China and Germany, saved too much, while the United States consumed too much. The answer, at least in theory, was also simple: surplus countries should rely more on domestic demand while deficit countries should save more; exchange rates should adjust.<\/p>\n

While that framework still matters, it no longer explains the whole picture. Instead, today\u2019s imbalances are being shaped by two forces: the artificial intelligence<\/a> (AI) boom and rising geopolitical tension. Together, they are changing where capital flows, how trade patterns evolve and why old adjustment mechanisms don\u2019t work as well as they used to.<\/p>\n

Let\u2019s start with the basic structure of the world economy. On the surplus side, the burden is spread across several economies: China, Japan, Germany and South Korea, as well as some energy exporters. On the deficit side, however, the picture is far more concentrated. The US remains the main absorber of global savings.<\/p>\n

That concentration matters. A world in which one country absorbs a large share of excess global savings is more fragile. Shifts in that country\u2019s asset prices, politics or policy choices can have outsize global effects.<\/p>\n

This is where AI enters the story.<\/p>\n","protected":false},"excerpt":{"rendered":"Global imbalances are once again taking shape, albeit differently than how they manifested before the financial crisis of…\n","protected":false},"author":2,"featured_media":490,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[24,25,387,700,704,703,207,699,698,156,702,701],"class_list":{"0":"post-489","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-ai","8":"tag-ai","9":"tag-artificial-intelligence","10":"tag-china","11":"tag-europe","12":"tag-germany","13":"tag-japan","14":"tag-middle-east","15":"tag-russia-ukraine-war","16":"tag-south-korea","17":"tag-us","18":"tag-us-dollar","19":"tag-wall-street"},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/489","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/comments?post=489"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/posts\/489\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media\/490"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/media?parent=489"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/categories?post=489"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ai\/wp-json\/wp\/v2\/tags?post=489"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}