Date Published:
02/14/2011 The World Economic Forum’s latest report on global risks lists food and energy price volatility as one of five top risks to watch for around the globe. “Demand for water, food and energy is expected to rise by 30 to 50 per cent in the next two decades while economic disparities incentives short-term responses in production and consumption that undermine long-term sustainability,” the report from the forum’s Risk Response Network warns. Shortages could cause social and political instability, geopolitical conflict and irreplaceable environmental damage.
Risk Management Perspective:
- Soaring food prices will push people under the poverty line, which in turn can lead to unrest, and be a contributor to jeopardizing regimes.
Industry Group:
Other
Industry:
Government
Industry:
Public Sector
Country:
Rest of World
Risk Class:
Strategic
Risk Class:
Financial
Risk Type:
Political
Risk Type:
Economic Conditions