World leaders need to recognize that the pace of globalization has been running ahead of the development of principles, norms and institutional mechanisms needed for its wise and effective management. The challenge before the world is to narrow this gap. The leaders need a systemic vision of the basic forces that drive the globalization process. They will have to look beyond the cozy club of the Group of Seven and the existing mandates of international financial institutions, and envision a system of more efficient, cooperative management of the world economy, including movements of capital and people. The set of harmonized rules and principles needed for this purpose must include built-in safety nets for weaker nations and disadvantaged domestic groups, and respond to the changing realities of a globalizing but durably diversified world.
Globalization holds great potential to enhance human welfare.
Badly managed, it can create havoc and distress. Our current problems are not with globalization but with the way it is being managed. If you appreciate the information we provide, please support our work. Make a donation or become a member of Global Policy Forum.