Citizen solidarity not economic nationalism after GE2015

A good part of the English Labour vote that Tony Blair captured has gone in two directions: the aspirational to the Tories and the fearful to UKIP. The central question now for Labour is whether there is a vision of the world that is honest, realistic and inspirational that might bring those voters back. If there is not, Labour in England will either be a winning party of the center right or a losing party of the left. 

Insecurity in advanced economies is about globalisation

Toby Nangle, an investment analyst, has a very persuasive article on VoxEU that tells the story of the global economy in which the rise of the emerging economies - and especially China - over the last 20 years accounts for:

1. the decline in the power of labour in advanced economies, and therefore
2. growing labour income inequality together with
3. low interest rates, and therefore
4. soaring asset values and further inequality between the asset-haves and have-nots
5. a shrinking and threatened "citizen surplus" for the less well-off in advanced economies 

The Figure below shows the growth rates in global incomes over the period 1988-2008 by your place in the global pecking order. At the very left, if you were in the poorest 5%, you've not done well - your incomes have barely grown. But from there right through until you get to the richest 25%, incomes have grown; and, for the emerging middle classes, they've grown by a lot. Think of this as the China effect.