Dear Reader, Between 1633 and 1853, Japan pursued a policy of sakoku. It means ‘the chained country’. It isolated itself off from the world to prevent the spread of foreign influences. As a result, Japan fell even further behind the rest of the world. Although this example is an extreme one, it helps to highlight the problems with shutting yourself off from the world. Is Australia making the same mistake? Like Japan did, we may well continue some trade. But we also now find ourselves at the mercy of a vicious trade war between the US and China. Their rivalry…and our continuing fracas with China…means our trade will be left in the cold for some time to come. Travel and immigration are being crushed to dust. Foreign investment will suffer too. And innovation. By shutting down travel and immigration, we are losing a large chunk of the dynamism that comes with being part of an international economy. If quarantine constrains continue into 2022, immigration will continue to shrivel. People won’t set up business ventures given the inability to monitor them properly. They won’t invest in our country, either. Let alone go on holiday here. Nor pay taxes here. Will we be left behind by the global economic recovery? Will our economy get dragged under by the lack of tourism and business travel? Will we have to live in fear of imminent outbreaks and lockdowns for the rest of this decade? And what investment strategies could you be deploying now to take all this into account? Please watch this. Today, if you can. It’s one of the most important pieces of forecasting research we’ve ever published. Regards, James Woodburn,
Group Publisher | 