With a new year – and the third anniversary of the 2008 financial crisis – coming, should business be optimistic about what lies in store? Despite all the uncertainty – the weakness in housing, the unsolved crisis over the euro and rising long-term interest rates – I believe so.
There are signs of confidence returning among consumers and willingness among businesses to invest. The Standard and Poor’s 500 index is up 13 per cent in 2010. Meanwhile, emerging economies such as China, India and Brazil are taking the lead in global growth.
So Keynes’ animal spirits are returning and, with that in mind, here are seven predictions for the business world in 2011. They are intended to be adventurous enough to be interesting – even if I turn out to be wrong, they should at least be things to watch.