Macroeconomics, Article Review Example

Pages: 1

Words: 468

Article Review

INTRODUCTION

This paper provides a brief review of the article ‘What in the world is going on? A global intelligence briefing for CEO’s’ by Herb Meyer, presented to a CEO’s forum in Davos Switzerland.

CRITIQUE

The paper is aimed at informing CEO’s of major corporations about the four major transformations shaping the business world today. These identified as: (1) The War in Iraq (2) The Emergence of China (3) The shifting demographics of western civilisation and (4) The restructuring of American business.  Meyer speaks from a position of authority having held a number of high offices in the US Government during the time of the Reagan administration.

War in Iraq –  The author reviews the concept of terrorism in the Middle East and what is considered an attack by radical Islam on the western civilisation.  As such the focus has been to eliminate these radical elements in the hopes that the moderates can modernise Islam and bring it in line with the Western communities.  Personally, I think there is great hope here but it is more likely to be education of the new generations, as opposed to political interventions. A form of democracy that is acceptable to the moderate mainstream of Islamic ideology and religion.  The Arab Spring uprisings are the groundswell of change but real change is likely to be measured in decades of slow reform.

The Emergence of China – The author expresses concern over the accelerated growth of China and the competition from East to West on scarce resources.  The author may be overstating the potential significance of this in terms of the global economy.  China is already showing signs of reduced growth, an overheated economy and its vulnerability to world trade i.e. the financial crisis in Europe.  This may well result in a mild form of internal implosion in China whereby the economy has to slow down in order to find its proper balance in the context of the global economy.  India is likely to be similarly impacted.

Shifting demographics of western civilization – The concern is on the reduced birth rates throughout the world and how globalization has moved people to different countries.  Concern is expressed over the increasing Moslem birthrates and population increase. The author depicts the demise of the family in economic terms with convincing logic and facts.  There is certainly a point of concern here for the future but this must be examined from an aspect of globalization and how this will impact society as a whole.

Restructuring of American Business–The concept of businesses getting smaller but becoming more efficient and thereby increasing profitability.  Restructuring is being based on models of increased profitability rather than job creation.  It is the fracturing of the businesses that is changing the landscape of relationship between the Employer and Employee.  This is likely to increase the competitiveness of the job market.

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