As the 2016 populist uprising made clear, private-sector executives can no longer celebrate the far-reaching benefits of global capitalism, while ignoring its costs. They, along with politicians and policymakers, have a major part to play in solving such problems as rising inequality, stagnant wages, and structural unemployment.
LONDON – Capitalism is the greatest engine for prosperity that the world has ever seen. But the democratic institutions that create the space for business leaders to operate have not kept up with accelerating economic and technological change; nor have they made the necessary adjustments to ensure that enough people benefit from the system to which they all belong. All leaders should keep these two thoughts firmly in mind as they respond to 2016’s populist backlash – manifested in Brexit, Donald Trump’s election victory in the United States, Italy’s failed constitutional-reform referendum, and so forth.
LONDON – Capitalism is the greatest engine for prosperity that the world has ever seen. But the democratic institutions that create the space for business leaders to operate have not kept up with accelerating economic and technological change; nor have they made the necessary adjustments to ensure that enough people benefit from the system to which they all belong. All leaders should keep these two thoughts firmly in mind as they respond to 2016’s populist backlash – manifested in Brexit, Donald Trump’s election victory in the United States, Italy’s failed constitutional-reform referendum, and so forth.