This Year's Biggest Global Risk Is 'US Politics'

[Asia Economy Reporter Naju-seok] Among the threats facing the world this year, American politics was chosen as the greatest threat. Depending on the outcome of the U.S. presidential election to be held this November, it is said that it will have a huge impact not only on climate change but also on companies and investors.

[Image source=Yonhap News]

On the 15th (local time), CNN broadcasted the perspectives of consultants from the global consulting research firm Eurasia Group and the crisis-related consulting company Control Risks, introducing this view. The World Economic Forum (WEF), scheduled to be held next week, also predicted that issues such as trade conflicts and polarized politics this year would make it difficult to resolve the problems facing the world.

In the case of Control Risks, it was anticipated that as U.S. President Donald Trump, who is seeking re-election this year, pursues policies to gain support from his base of agricultural workers and production laborers, unpredictability in foreign policy and other areas will increase. In a recent report, they forecasted, "President Trump will try to leverage diplomacy between trade and security."

The Eurasia Group pointed to American politics as the greatest threat for the first time since releasing its annual report. The U.S. presidential election held this year is the most divisive election in recent history, and regardless of the election outcome, about half of Americans are expected not to recognize the legitimacy of the results.

In a survey by the Davos Forum, economic disputes and extreme political polarization were cited as the greatest risk factors. The Davos Forum conducted the survey among 750 global experts and decision-makers.

CNN pointed out that the world is engulfed in dilemmas with few ways to resolve them. As advanced countries are exposed to extreme political conflicts, trade and globalization, which have been maintained for decades, are being shaken. As a result, leaders of various countries act unilaterally or engage in conflicts such as the U.S.-China trade war. While advanced countries should take the lead in resolving crises, they are instead trapped in extreme political conflicts and unable to demonstrate leadership.

U.S. Treasury Secretary Steven Mnuchin, who is scheduled to attend the Davos Forum, denied the very fact that American politics is a threat.

Besides American politics, most of the problems the world faces remain unresolved. These include U.S.-China conflicts over climate change and future technologies, as well as trade conflicts in the Middle East.

Meanwhile, the top five factors threatening the world over the next decade were identified as environmental factors such as abnormal weather and ecosystem collapse. The WEF pointed out, "In the near future, climate change could lead to loss of life, increased social and geopolitical conflicts, and negative economic effects."

This content was produced with the assistance of AI translation services.