The 10th Annual World Economic Report has been issued, and, insofar as predictions regarding the greatest risks we are likely to encounter in the future are concerned, it holds no real surprises. The same risks evident from the immediate past – wars, water, unemployment, and climate change — remain atop the current list, while the four risks predicted to have the lowest impact also remain inflation, deflation, infrastructure, and misuse of technology.
However, just as Davos did not predict the credit crisis of 2008, world leaders like the World Economic Forum are unlikely to accurately predict the next big move arising as a result of one or more of these four discounted risks actually coming to fruition. This puts those who make no contingency plans in the very same position many were in back in 2008; on their own reacting to a real crisis.
Because the future is uncertain, The Erskine Company makes it a point to account for even the unlikely scenarios, exploring every avenue available to reduce the risks – while taking advantage of any inherent opportunities – should inflation, deflation, infrastructure failure, or a misuse of technology have an impact on the economy.