Back to Navigation

Globalization | Munk Debates

EPISODE #32

Globalization

Be it resolved, the COVID-19 pandemic proves that globalization is a failed experiment.

Guests
Marshall Auerback
Ian Goldin

About this episode

The COVID-19 pandemic has brought our globalized world to a grinding halt. Borders have closed, supply chains have vanished into thin air, and the future of multilateral institutions like the WHO, and supranational organizations like the European Union, seem to hang in the balance. Supporters of globalization believe that the solutions to the pandemic - whether they be economic, public health or foreign aid - lie not in deglobalization but in fostering a more interconnected and inclusive world. Only through increased global cooperation can we overcome the daunting challenges that lie ahead. Critics of globalization say that the pandemic has exposed the shaky foundations of our hyperconnected world. They argue that that the system that failed to deliver critical health supplies in the crunch, is also a system that benefits the 1% and multinationals at the expense of economic equality, the environment, and democratic institutions.

Share:

Guests

Marshall Auerback

"Because of globalization our global supply chains became vectors of contagion that disrupted our capacity to help our population cope."

Marshall Auerback

"Because of globalization our global supply chains became vectors of contagion that disrupted our capacity to help our population cope."

Marshall Auerback is currently a Research Associate for the Levy Institute at Bard College, a writer for the Independent Media Institute, and a member of Americancompass.org, a newly established think tank formed to restore an economic consensus that emphasizes the importance of family, community, and industry to the nation’s liberty and prosperity. Prior to that, he was a financial market practitioner for over 30 years in Hong Kong, Tokyo, London, and New York.
 
A prolific economics commentator (https://muckrack.com/marshall-auerback/articles) he has also worked as Director for Institutional Partnerships for the Institute for New Economic Thinking from July 2012-July 2015. Mr Auerback graduated magna cum laude in economics and philosophy with a BA from Queen’s University in Canada in 1981 and received a law degree from Corpus Christi College, University of Oxford in 1983. His twitter handle is @mauerback

Ian Goldin

"COVID-19 proves that globalization needs to be stronger, that we need more connectivity, and that we need to harvest the goods while stopping the bads."

Ian Goldin

"COVID-19 proves that globalization needs to be stronger, that we need more connectivity, and that we need to harvest the goods while stopping the bads."

Ian Goldin is Professor of Globalisation and Development at the University of Oxford, Professorial Fellow at Balliol College, Oxford University, Director of the Oxford Martin Programme on Technological and Economic Change and founding Director of the Oxford Martin School. Ian previously was Vice President of the World Bank and the Group’s Director of Policy, after serving as Chief Executive of the Development Bank of Southern Africa and Economic Advisor to President Nelson Mandela. Ian has served as Principal Economist at the EBRD and the Director of the Trade and Sustainable Growth Programmes at the OECD Development Centre. He has a MSc from the London School of Economics, and an MA and DPhil from the University of Oxford. Goldin has been knighted by the French Government and received numerous awards. He has published twenty-two books, with his Penguin book Terra Incognita: 100 Maps to Survive the Next 100 Years forthcoming. His previous books include Age of Discovery: Navigating the Storms of Our Second Renaissance and The Butterfly Defect, in which he predicted that a pandemic was the most likely cause of the next financial crisis. He has authored and presented three BBC Documentary Series After The Crash; Will AI Kill Development? and forthcoming The Pandemic that Changed the World. He has been featured on BBCHardTalk and all leading global media outlets.  He provides advisory and consultancy services to the IMF, UN, EU, OECD and numerous governments and companies. He has served as a non-executive Director on globally listed companies, including as the Senior Independent Director and chairing all board committees. He is Chair of the core-econ.org initiative to transform economics, and is an honorary trustee of Comic Relief and other charities. His website is https://iangoldin.org/ and twitter address @ian_goldin.

Show Notes

In 2014 Ian Golding predicted the pandemic in his book The Butterfly Defect: How globalization creates systemic risks and what to do about it.
 
You can read Marshall  Auerback on how Covid-19 exposes globalization’s weaknesses here.
 
The Asian Financial Crisis began in Thailand in 1997 and quickly spread to neighbouring economies. Most countries affected were unable to address the crisis through state action and had to rely on the International Monetary Fund for help. Malaysia’s Prime Minister, Mahathir bin Mohammad, was unique in successfully stemming the crisis by implementing short-term capital controls.
 
Marshall refers to the first era of globalization in the decades before World War 1. You can read more about the parallels between then and now here.
 
Ian talks about the European Union’s recent efforts to reduce Italy’s borrowing costs. The European Central Bank  has dedicated 1.35 trillion Euros to its Pandemic Emergency Purchase Programme.
 
The OECD/G20 Multilateral Convention to Implement Tax Treaty Related Measures to Prevent Base Erosion and Profit Shifting aims to stop multilateral corporations from paying little or no corporate tax by shifting profits to low or no-tax locations. The convention entered into force on July 1, 2018 (Dec.1, 2019 for Canada) and covers 94 jurisdictions. The U.S. has not joined the convention.

Comments