Capitalism in Question: The Lifeworth Annual Review of Corporate Responsibility in 2009

Abstract

Not many people want to look back on 2009. Not if they are thinking about the state of the world. Indeed, the decade as a whole does not look too distinguished, given steepling carbon emissions, new frictions and restrictions due to security concerns, and the mortgaging of future generations' welfare to prop up banking-as-usual in some countries. On a scale of human progress, to some the decade counted for nought... hence the aptness of our new label for the decade: The Noughties. But bear with me. There is reason to look back at 2009 one more time. Looking at a year, indeed a decade, gives us a framework to look for patterns, for wider realities than our immediate day-to-day concerns. To do that can help us awaken to truths we may fear to see. Truths which could shape our future action, in the corporate responsibility field and beyond. Its time to take the bitter pill and wake up to the underlying causes of our common problems. The first key insight from the year is a reminder that government matters, and that government can act. Although a hands-on role for the state has been the norm in some countries, the past two decades witnessed a rolling back of government involvement even in (former-)communist countries such as China, Vietnam and Cambodia. In 2009, as new government \regulations were announced, further nationalisations of financial institutions became necessary, and economic stimulus packages were agreed around the world, government once again took on a position to shape economic activity. Asian countries committed $1.153 trillion in stimulus money, with the spending plans ranging from 1 percent of GDP with the Philippines at 4.4 percent, and China with 12 percent respectively. According to the European Commission, the executive arm of the 27-nation bloc, EU stimulus amounted to between 3.3 and 4 percent of GDP. The U.S. committed $787 billion, or about 5.5 percent of GDP (see the 'The Return of Government' pg. [21]).