GENEVA – Failure to adapt to climate change, persistent extreme weather, and major systemic financial failure are just three of 50 major risks monitored every year in the World Economic Forum’s Global Risks Report. It seems natural to draw connections among them, especially after a “superstorm” shut down Wall Street this past October. Indeed, the report reminds us of the many ways in which systems inevitably affect one another in our interdependent world.
More important, the report warns of the dangers of multiple systems failing. Two of the world’s most fundamental systems, for example, are the economy and the environment; their interplay underpins the first of three case studies of risk in this year’s report.