Underlying Need

The world is becoming more interconnected and interdependent, spurred by the forces of globalization and technological advance. This connectedness creates great opportunities (such as the benefits of knowledge diffusion) and equally great dangers (such as international terrorism and climate change). Thus the need for cooperation is growing, both among countries and among major decision makers within countries. Yet often the means to achieve such cooperation is lacking.

International cooperation remains elusive for many reasons. National sovereignty and divergent national interests set limits to cross-country regulation, taxation and expenditure. Due to the globalization of public goods – and increasing interconnection of the public gains from controlling disease, terrorism, financial instability, energy insecurity, and environmental degradation – nations have more incentives to "free ride" and thus do not contribute sufficiently to the common good of humankind.

Through the process of outsourcing, offshoring and migration, many national problems – such as skill deficiencies, unemployment, social insurance, competition for talent, etc. – are becoming more interdependent. These problems continue to be addressed through national policies, often with little information about best practice and international interactions.

Within countries, decision makers in the public and private sectors may not cooperate since they have conflicting goals. Sometimes voting procedures within countries are not well suited for creating institutions that elicit cooperation among these decision makers. As voting constituencies and pressure groups within countries protect their own interests, they may create wasteful policies and institutions.

As the world becomes more interconnected, uncoordinated actions create growing inefficiencies. Inefficiency leads to a waste of human, produced and natural resources, harming the interests of business, government and society at large.

The sources of inefficiency are often also responsible for poverty and inequality. Disease, unemployment, skill deficiencies and environmental degradation are strongly associated with the poor. Inequality within countries erodes social cohesion and generates pressure to raise taxes and transfers. Inequality across countries is conducive to terrorism and political discord. Inequality is responsible for social exclusion, crime and illness.

All responsible stakeholders of modern societies have a vital interest in overcoming these problems of inefficiency and inequity. In the face of this tension between increasing interdependence and uncoordinated actions, we need shared visions of the future. These visions can motivate leading decision makers to contribute voluntarily to the global good, out of a sense of shared responsibility and enlightened self-interest. The purpose of the GES is to develop such visions and monitor their implementation.

These visions cannot be developed by government, business and civil decision makers acting in isolation. Rather, they must be developed together. The Symposium is meant to create the setting for such ongoing interaction.

Business leaders frequently need opportunities to align their business challenges with global economic challenges. They wish to be in touch with global economic problems, global risks and analysis of global business scenarios, in order to position their organizations in strategic terms. Policy makers and civic leaders need to keep abreast of the latest thinking on policy responses to global problems – such as ageing societies, social welfare provision, employment creation, development of skills, etc. Economists need to remain in close contact with business and policy leaders in order to analyze global problems and their interconnections effectively. The GES aims to meet these needs.