A year behind and ahead – by Juho
December 27, 2011 | Posted by: admin | 0 Comments
If I would have to describe year 2011 with only one word, I would choose the word ‘ambivalent’. In psychology, ambivalence means a kind of experience where the positive and negative aspects of a subject are both present in a person’s mind at the same time. For me, the positive side has been that social media has shown it’s political capability as a driving force towards equality, by the end of certain dictatorships and autocracies. The development of the Internet since early 1990s has resulted a situation when there are no leaders who are unconstrained – every leader has to deal in some way with group to which they are accountable. Instead of a traditional approach where a small group of strong leaders define structure, laws and control system for a larger group of people, local scale interaction has taken an unpredictable population wide patterns, which are affecting the politics, power positions and every day life in a country and/or in global scale. Since the rise of the Internet the world’s networked population has grown from millions to billions and as the communications landscape gets wider, more complex, and more interactive, the networked population is gaining greater access to information. This means that there are far more opportunities to engage in public conversation and an enhanced ability to undertake collective actions.
Another, not so positive side of the coin, is the current dynamics of the world economy. Especially the financial crisis in Europe and US has affected the development of economies by cutting down the industrial production and service sector, and increasing debts and unemployment rates. During last decades, banks, GSEs, other financial institutions and governments have been developing welfare and growth in a way which has not been economically sustainable. In the financial sector, higher profit margins have been aimed by increasing the risk and deregulating the debt-to-equity ratio. In public sector growth has been enabled by increasing consumption financed by growing national debt. Now we’re living times when politicians and corporate leaders have to reconsider the values and rationality behind the ideology of free and deregulated capitalism. With the help of recent developments in the fields of neuropsychology- and -economy, we have gained lots of insights in how do people behave and how the brain functions in the decision making process, especially in a situation which contains risk and uncertainty. It has been shown that mainstream economics based on rational agents, is incomplete and fails to explain certain type of behaviour. I wish that these findings will be utilized when re-designing the collaboration between markets and governments. Let’s hope that 2012 will bring the upward spiral with the help of more sustainable ideologies and deeper co-operation between the western world and major emerging-market countries.
We at CuproBraze Alliance are looking forward to a continued and mutual cooperation also in 2012 and the years beyond. We wish you, your family a Healthy and Prosperous New Year 2012!