The Global Society

The global financial crisis has led to demands for greater transparency in corporate practices. But less attention has been paid to whom the players should be in this new environment. Corporate boards across the world generally have a predominance of male directors. Research shows a lack of diversity in terms of gender, race/ethnicity and international expertise at a time when “global” defines the business climate.

Around the world, jobs are disappearing and wages declining in the aftermath of the financial crisis and the consequent economic downturn. Recovery remains uncertain. In Europe and the United States, many people are joining the ranks of the unemployed; in developing countries, millions of workers are being pushed into extreme poverty. At the same time, as a result of decreasing asset prices, millions of families have lost significant parts of their wealth and lifetime savings, and many lost their homes through repossession.

Society in general and the economic system in particular require trust built on ethical foundations and social norms as the basis for successful cooperation. Economic activity in modern society has become increasingly complex and lacking in transparency as a result of the rapid development of new technologies and new products and services and the globalization of supply.

Across the world, 1.3 billion people have no access to effective and affordable health care. Low and middle-income countries bear 93% of the world´s disease burden, yet account for only 18% of world income and 11% of global health spending.

People are living longer, more active and more fulfilling lives. But those additional years mean additional costs as pensions are drawn for longer periods and the costs of surgery, medication, healthcare and nursing care continue to soar. So the flipside of the scientific triumph over illness and disease is that many people do not have adequate financial resources to support their longer lives with the desired level of comfort.

The global financial crisis has raised fundamental questions about capitalism. Questions of morals in society and business have regained momentum, demanding more acceptance of responsibility for a sustainable, value-oriented society, particularly from business. With this in mind, the growing social business sector might be one of many solutions to the transformation of the capitalist system.

In most developing countries, governments  undertake substantial programs of poverty  alleviation whereby specific goods and services are transferred to those who are unable to afford them in the free market. These programs are targeted (at the poor) and conditional (for particular goods and services).

It is widely accepted that the ageing population poses cost challenges for society. Increased longevity raises the health care and other costs of supporting the old precisely when labor forces in many countries are shrinking or growing more slowly than in the past. Much of the debate on how to handle these problems has focused on either scaling back benefits or somehow increasing the degree of preparedness to pay these costs through more savings today. Yet both options have proved difficult to advance.

Poor households in developing countries face a number of risks. As access to formal insurance and credit markets is limited, they need to rely on informal strategies to reduce these risks ex ante and cope with shocks once they have materialised.

Migration is a central dimension of globalization. It entails major challenges but also major opportunities for countries of origin and countries of destination, as well as migrants themselves. Advances in information and communications technologies and affordable travel allow migrants to be part of life in both their home and host countries.

According to the International Labor Organization, income inequality has increased in about two thirds of countries world since the 1990s. The financial crisis and the accompanying global recession are expected to widen the gap further between the rich and the poor.

Over the coming decades, tens of millions will  ace serious degradation of their natural  environments and find their livelihoods  threatened. Migration—both within countries and across national borders—is one way in which individuals will respond. At the same time, environmental  hange and migration are both multi-faceted.

According to the United Nations, three percent of the world’s population (191 million people) lived and worked outside their country of birth in 2005, either as permanent residents or guest workers. Overseas workers take many forms, have a variety of skills and come from different economic backgrounds.

Globalization and social fragmentation are the two controversial issues that will determine the future world order. Globalization promises to yield substantial economic benefits for all participating countries, but not necessarily for each individual or each group within countries in the short term.