ESG: ON THE ECONOMICS OF SOCIAL GOVERNANCE
The 80s were the very, very good times in many senses... 1987, January 17 President Ronald Reagan signs a secret order allowing the covert sales of arms to Iran. Ronald Reagan’s Berlin Wall Speech "One of the most famous events in 1987 was when Ronald Reagan visited West Berlin and delivered a speech calling for the leader of the USSR, Gorbachev to open the Berlin Wall, which had separated West and East Berlin since 1961. In the middle of the speech, Reagan famously said, “Mr Gorbachev… Mr Gorbachev, tear down this wall! ” Whilst at the time it didn’t get much media attention, it became widely known after the fall of the Berlin Wall in 1989." After two years, on January 11, 1989: President Ronald Reagan delivered his farewell address to the nation. REAGANOMICS, GLOBAL FREE SOCIETY, AND UNIPOLAR WORLD Those of us who started studying Economics by the end of the 80s had to learn Reaganomics with care, in the midst of a global free society after the fall of communism, and the surge of the unipolar world, where Economics-Social-Governance were all almost part of the same concept later miscalled as Neo-Liberalism. Why Miscalled? Neo-Liberalism took Economics out of the Social, and that created the nowadays Governance problem. When liberalism got divided into the left-oriented liberalism (social) and the right-wing liberalism (economic), the bi-polar world got invented again, and the governance battle between socialists and capitalist revived. Probably, the big mistake of Economists was to abandon the social arena, and think that the technical principles of the Market Economy were enough for guaranteeing social results, and perpetual governance. The corner solution of liberal economists, vs the other corner solution of liberal socialists has arrived 30 years later to a situation where Russia (yes, again Russia) and the USA (yes, still the United States of America) are facing a probable war. The difference today is that Russia (as a quasi continent) not only can provoke America (as a continent) from Cuba, but also from Venezuela; yes, again, with misiles as it did during the Cuban Missile Crisis in 1962, under the Presidency of a Catholic Democrat President in the USA: But the difference is not only Venezuela. The other difference is the way how the Catholic Democrat President of the USA acted and acts. See the following videos for that... That is the old school, when even being liberal, not neo but economically, socially and governmentally liberal, you chose peace with strenght, leadership, and institutionality. Today, we see this: Russia is winning the Economic competition, the Social as well, and probably will Govern in different places if the President of the USA forgets that Global governance starts at home, and at America as a Continent, as a matter of Social abilities for controlling Economic capabilities. On the Economics of Social Governance Fortunately, the USA and America are still strong because they have markets that do not depend on social debates and governmental shows: UNITED STATES DOLLAR VS RUSSIAN RUBLE: STRONGER THAN EVER Probably America can make jokes about governance because its society is (still) better economically-equiped than that of Russia, but ... For how long? ESG IN FIGURES USA (LEFT) VS RUSSIA (RIGHT) They say that wars always externalize and make global the local and national problems. Who knows... We will keep doing research and learning for explaining the global geo-political situation, and analyze the effects that global governance can have over economic growth and social distribution perspectives in America and the different continents. QUESTIONS ? ANY INTERACTION NEEDED FOR DOING RESEARCH TOGETHER? https://tinyurl.com/hxgroup