This is a super speech from Adam Posen of BoE.
Some background first. Economic Historians/Historians have pointed how the recent globalization phase is similar to the one seen in 1870-1910. The previous one was interrupted by world wars and in the middle due to Great Depression. After that we had these tight controls which began to be relaxed around 1970s and again a new wave of globalization emerged. The players changed. As in previous, UK was the supplier of funds and US was the receiver (Adam Posen disputes this in this recent speech). This time China (and other middle ease etc) are the suppliers and US the receiver. US should have been the supplier of funds this time as it is the leading economy as UK was then. However, as highlighted by Lucas in 1990s capital flows have not flown to developing but developed economies. Subsequent research shows even amidst developing economies, it goes to economies which are better off.
So just as this recession was taking place, some said perhaps globalization will at best not increase as much as countries become more protective.
Posen curiously titles the speech as - What the return of 19th century economics means for 21st century geopolitics? According to him, we are likely to see the trends of 19th century globalization now. As emerging economies have gained immensely from globalization barring some issues here and there, they are unlikely to undo glob.
He covers following themes: