LONDON (Reuters Breakingviews) – The core of Davos-economics is pretty simple. Most of the powerful people hanging around at the World Economic Forum’s Swiss confab this week would agree that some mix of feisty private sectors, competent but limited governments and ample international trade are crucial ingredients for durable and increasing prosperity. The politics these days are challenging that simple consensus. Consider three important global puzzles – China, the United Kingdom and Ethiopia.
A general view shows a screen with the logo of the World Economic Forum (WEF) at the congress center, venue of the annual meeting, in Davos, Switzerland January 19, 2020.
The political economy of the Middle Kingdom has followed the Davos-preferred model fairly closely. A strong government encouraged a rapidly expanding private sector,