Market-States, Challenge of Changing Demographics, and The Netherlands

January 11, 2006

Summary

Declining birthrates in places like Europe, Japan and Russia and increasing immigration in once homogenous states (like France) is becoming an issue of mainstream discussion. Just last week (January 04 & 05), the WSJ and the Economist both ran articles on the issue of demographics, commenting on the opposite ends but equally faulty premises. One seeing immigration and demographics change as signaling the decline of the West (WSJ) and the other tends to underplay the challenge of declining birthrate and changing demographics (Economist).

The impact of changing demographics are analyzed through the New Republic’s piece on the Netherlands, on the effects of Muslim immigration and the socio-political upheaval (a turn to the Right) it has caused in a state stereotyped as an uber-liberal country.

The challenge facing Netherlands (and other countries) is a major one: it is the challenge of successfully transitioning from a nation-state to a market-state. Indeed, Philip Bobbitt has already foresaw such issues in his seminal work The Shield of Achilles:

“Whereas the nation-state based its legitimacy on a promise to better the material well-being of the nation, the market-state promises to maximize the opportunity of each individual citizen…The current conflict is one of several possible wars of the market-states as they seek to open up societies to trade in commerce, ideas, and immigration which excite hostility in those groups that want to use law to enforce religious or ethnic orthodoxy.” (Emphasis mine)

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