Buying at the Point of Maximum Pessimism: Six Value Investing Trends from China to Oil to Agriculture

Chapter 10. What Happens When 700 Million Students Want Extra Help?

“If I am walking with two other men, each of them will serve as my teacher. I will pick out the good points of the one and imitate them, and the bad points of the other and correct them in myself.” Confucius spoke these words more than 2,000 years ago, yet their wisdom still holds true. Moreover, this sage advice captures the approach to globalization from the most successful emerging markets. Simply put, countries across Asia, along with a few in Latin America, have borrowed what works (open trade, freer markets, competition) from the wealthy nations and have discarded what has not worked (profligacy) from their own economic models. This approach has proven successful to date, ...