Contribution of the Economy to Emerging Global Governance*

• Main Author: Erich Hoedl
• Format: Article
• Language: English
• Published: Risk Institute, Trieste- Geneva 2019-05-01
• Series: Cadmus
• Online Access: http://cadmusjournal.org/article/volume-3/issue-6/contribution-economy-emerging-global-governance

Accelerating globalization leads through its rapidly increasing interconnectivities to a highly interdependent global whole with different functional subsystems, which are currently divorced from each other. The economy is separated from the society and within the economy financial, man-made, natural and human capital are divorced from each other, which leads to crises. Preserving economic wealth needs a reintegration of all capitals. Global governance in the future has to concentrate on the beneficial impact of global cooperation. Historical experiences show that pure competition is in contradiction with globalization. As nation-states have lost their influence, global governance has to enhance cooperation between all capitals. In face of the global limits of natural capital and the abundance of financial capital, man-made capital has to be increased, which in turn requires higher human capital. The future evolution of global governance needs a democratization of the economy and an enlargement of the present voting democracy to a politico-economic democracy. Implementing a global constitution based on human rights and human dignity will question the presently dominating Bretton Woods Agreement fundamentally.