If the second half of the 20th century was driven by ideology (Communism vs. Capitalism), the first half of the 21st century will undoubtedly be characterized by its market-driven philosophy. This emphasis on markets carries with it growing expectations of national economic well-being and is the gauge for judging politicians and political parties.

In a book I recently co-authored with Dr. Rajendra Sisodia, "Tectonic Shift: The Geo-Economic Realignment of Globalizing Markets" (Sage, 2006), we preface our discussion with a look at how economics drives politics, and economic malaise inexorably leads to political change. Recent examples of this include the major gains made by Hamas in Palestine, the collapse of the liberal government in Canada, and the election of a fundamentalist government in Iran.

Another reality of the market-based world is that size and potential will be the basis for global power and influence. As of 2004, in terms of GDP based on purchasing power parity (PPP), the U.S. was first, China second, and India fourth. In the next few years, India will pass Japan to occupy the third spot. Even in terms of absolute GDP, it is projected that India, China and the U.S. will be the top three within 30-40 years.

As a result of these historical shifts, India has an opportunity to become a major global economic power; however, this should not be taken for granted given India's recent history of missed opportunities.

India made two strategic blunders with its economy after World War II. The first was to not partner with the Allied U.S. and European countries and instead join the non-aligned movement. If India had taken the other route, it would have begun the process of economic transformation at least 25 years earlier. Instead of China being the world's manufacturing center and the U.S. the dominant provider of technology, both of those roles would have very likely belonged to India. The second mistake was when the country aligned with the Communist bloc in the 1970s. While this provided needed military support, it caused the nation to once again regress economically.