Economic and Social Turmoil Risk Reversing the Gains of Globalisation, WEF Warns
The world’s vulnerability to further economic shocks and social upheaval risk undermining the progress that globalisation has brought, warns the World Economic Forum (WEF) in its ‘Global Risks 2012’ report, the seventh edition.
Chronic fiscal imbalances and severe income disparity are the risks seen as most prevalent over the next 10 years. These risks in tandem threaten global growth as they are drivers of nationalism, populism and protectionism at a time when the world remains vulnerable to systemic financial shocks, as well as possible food and water crises. These are the findings of a survey of 469 experts and industry leaders, indicating a shift of concern from environmental risks to socioeconomic risks compared to a year ago.
“For the first time in generations, many people no longer believe that their children will grow up to enjoy a higher standard of living than theirs,” said Lee Howell, the WEF managing director responsible for the report. “This new malaise is particularly acute in the industrialised countries that historically have been a source of great confidence and bold ideas.”
For the full report click here.