Thursday, May 29, 2008

The Morphing of the World Map

Many countries are offering greater freedoms and opportunity, just as other are becoming more draconian.

Huge nations have a tendency to believe they exist to regulate their societies. Any activity or particularly any profit must need new laws written to control it.

"The more corrupt the state, the more it legislates." - Tacitus

Some small nations believe this is the way to get big and powerful - by copying the huge nations. This is like a start up company looking at General Motors and deciding they need 100 boards to make decisions, and constant meetings to operate "like the big boys."

There is a third group, Singapore, Panama, Hong Kong, and others that realize their economies will prosper, and hence their people, if they attract intellectual and monetary capital by being supportive of the creators of wealth.

Unlike petty despots that drain their countries to please themselves in the name of the people; some locations free their people and their economies to excel. The result is greater liberty, and greater wealth within these countries. The countries prosper, and so do their leaders.

These are the sort of countries that tend to be the flags in three flag theory. These are the locations people look to first when considering becoming a PT, or starting a new business.

There is a growing cadre of expatriates, or expats, from every nation. Some are just employees that are stationed outside their home country. Others have gone native and found a new home. Many however, are discovering greater freedoms and opportunities as Perpetual Tourists and are pursuing their personal sovereignty.

Wise countries are courting these individualists, realizing the productivity and creativity they infuse into the societies where they live. Tax incentives, economic citizenship, and improved communications infrastructure are some of the inducements being offered.

Expect the competition between countries for expat attention to expand as more netrepreneurs and knowledge workers (the netcohort) go P.T. Also expect a backlash of resentment from over regulated, highly taxed, repressive regimes suffering from "brain drain."

With the bureaucratic age ending, huge nations will have to adapt or they will dissolve and disappear. Smaller and more flexible nations are emerging as the transition to the new era begins.

Don't leave yourself, your family, or your wealth where it might be stomped on by the struggling giants of an age gone by.

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