WORLD SOCIAL SUMMIT 2008
'WSS: Emmott, globalization is not the cause of the crisis'

"The problems linked to globalization are actually a consequence of capitalism, not inventions of a global system": said economist Bill Emmott during the World Social Summit held in Rome until September 26th. According to the former director of the Economist, "the impact of globalization is positive" as it was proven in the past centuries. Emmott reminds that "in 1980, the number of poor people dropped more considerably. This is the impact of globalization on the life style of billions of people". And today globalization could mitigate the consequences of the American financial crisis, said Emmott. With regards to the comparison with the crisis of 1929, Emmott reminds that back then, the financial crisis could have been mitigated by opening foreign markets.

There are two solutions to the lack of capitals according to Emmott: the first one is "to supply public money, increasing the American debt" and this is the path chosen by the American government. The second one is to try "investments with foreign capital (in particular from Asia)".