The Most Important Issue in Global Affairs Today: A New Economic Order

Our first entry, from Philip Tuson:

A NEW GLOBAL ECONOMIC ORDER in a post neo-liberal capitalist world is the single most important issue in global affairs today. All other issues are secondary in comparison, as without a strong, globally supported and wealth enhancing system, conditions will deteriorate owing to uncertainty, fear and instability. The U.S. and Western economies can no longer simply paper over the cracks with uncontrolled spending and weak reforms and regulation. The neo-liberal economic order is dead and urgently needs revising and replacing.

The threat to the dollar as the reserve currency, the costs of unprecedented levels of U.S. government debt, the prospects of rising inflation in Western economies, the emergence of China as a military and economic superpower, the jump in raw material prices (especially oil) and the weakness in the international banking system (with credit lines still a long way from where a sustainable recovery requires them) is a “perfect storm” leading to a financial and economic meltdown if no global, coordinated attempt to salvage the system takes place. Without a “Bretton Woods” style meeting to determine a new way forward, the world could descend into chaos and ultimately a Third World War. Environmental, religious, or terrorist threats pale into insignificance when contrasted against the instability of the global economic system.

What do YOU think is the most important issue in global affairs today? Send your responses to pgi.editorial@gmail.com.