Praktical Economics

The news from Venezuela is unsettling. The images and headlines are hard to ignore: a regime collapsing, a population caught in the middle, and yet another reminder of how abruptly global powers can reshape smaller nations. I find myself conflicted. On one hand, there’s hope that people who’ve suffered under a broken economic model might finally see relief. On the other, there’s discomfort — because history tells us that great powers stepping in is rarely a clean or altruistic story. But sitting in India, this episode also triggered a broader reflection. Venezuela is a reminder of how fragile transactional alliances really are. When relationships are built primarily on cheques, loans, or convenience, they tend to hold only until stress arrives. This pattern is visible across many Chinese partnerships. In several cases, economic and political models prove unsustainable, and domestic support for China remains shallow or partisan. Change the regime, and the loyalties often change with it....

2025 has been a pivotal year in geopolitics. Arguably the most intense of this century so far. Here’s why 1. Trump-era trade shock finally hollowed out the global system World Trade Organization has effectively been rendered toothless. Unilateral tariffs, selective enforcement, and power-based bargaining forced countries to urgently redesign supply chains - not just for trade, but for critical minerals, energy, and semiconductors. Result: De-globalisation accelerated, regional blocs strengthened, and “trusted supply chains” became state policy. 2. Ukraine war reached strategic normalisation Russia’s territorial gains in Ukraine became grudgingly accepted across parts of the Western strategic establishment. At the same time, the North Atlantic Treaty Organization security guarantee visibly weakened as the United States pulled back from being the default guarantor. Result: A massive surge in defence spending across Europe, Japan, and other US allies - rearmament is no longer taboo. 3. C...