Prepare For The Amazing Global Economic Supercycle That's Going To Blow Away Your Wildest Expectations

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Photo: Wikimedia Commons

The economy is in the midst of a 30 year super-cycle that will see Asia boom to become the dominant economic force in the world, according to Standard Chartered.The world has been through this before: once from 1870 until 1913, and again from the end of World War II until 1973.

The first super-cycle was the result of rampant growth in the U.S. and global utilization of the tools of the industrial revolution. The second was brought on by the rebuilding of Europe, growth of a global middle class, and emergence of Asian exporting powers.

This time, the cycle is all about the emerging consumer class in Asia. China’s consumer will move ahead of the U.S. by 2018. Chinese growth will average 6.9% over the next two decades, India 9.3%.

There will be slowdowns, largely driven by the slowing west, but Standard Chartered feel this emerging market story is about to drive another massive period of growth in recent human history.

We've had 2 super-cycles before. One from 1870 to 1913. Another from the end of World War II until 1973. Now we may be in the midst of another.

Source: Standard Chartered

By the end of this one, the global economy will be 6 times bigger.

Source: Standard Chartered

Today, the U.S. and EU dominate world GDP.

Source: Standard Chartered

Tomorrow, China and the emerging world will rise to dominate.

Source: Standard Chartered

By 2030, the rest of the world will crush the U.S. and EU in terms of global output.

Source: Standard Chartered

GDP expansion is most evident in India and China.

Source: Standard Chartered

GDP per capita growth is tinier, however, in those emerging markets.

Source: Standard Chartered

Rampant population growth in the emerging world will be accompanied by weak growth in the U.S. and EU, and a decline in Japan.

Source: Standard Chartered

From 2020 to 2030, China's working age population will actually decline.

Source: Standard Chartered

Another key emerging market will be that of Sub-Saharan Africa, which will really pick up pace from 2011 forward.

Source: Standard Chartered

The export boom is going to get even bigger.

Source: Standard Chartered

And Asia will be at the centre of that.

Source: Standard Chartered

Africa's role in world trade will also surge.

Source: Standard Chartered

Oil consumption per capita will actually decline in the U.S., but will rise in key emerging markets.

Source: Standard Chartered

But it's clear, if you're looking to play the rising consumer class, the target is Asia.

Source: Standard Chartered

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