Research on fair trade has flourished over the past decade as fair trade food products have gained popularity amongst consumers in many developed economies. This study examines the effects of recessionary economic conditions on fair trade consumers’ purchasing behaviour. An online survey was administered to 306 fair trade consumers from Canada, the United Kingdom and the United States of America. The results reveal a discrepancy among fair trade consumers as only consumers that purchase fair trade on an occasional basis adhered (...) to established consumer behaviour norms, i.e. decreasing their purchases of fair trade products and becoming significantly more price aware. Respondents who actively consume fair trade generally remained loyal to their purchase. While some active consumers altered their purchasing behaviour, this phenomenon was not common amongst this group as no statistically significant changes were observed. Differences were also noted among the three countries as the Canadian and US fair trade consumers significantly decreased their consumption of fair trade as a result of the recession, whereas the UK consumers did not. In addition to the research results, theoretical and managerial implications will be discussed along with future research directions. (shrink)

This book traces the collapse of integrity, the abandonment of responsibility, and the failures of moral courage that underlie the financial numbers - and identifies the changes in thinking needed to bring us back into balance.

Self-determination does and should play an important role in our conceptions of what it is to treat persons and peoples justly. I write at a time when the Middle East is erupting with demands for more appropriate rule by and for the people . Indigenous peoples around the world have been demanding better control over their traditional lands, over the last few decades in particular. And a serious global recession has affected all local economies since 2008, raising pertinent (...) issues about the wisdom of having a global economy as interlinked as ours has become. Would we not do better to "de-link" from the global economy? Would more robust ideals of self-determination and political and economic autonomy provide better guidance than those that seem to dominate the current discussion of models of global justice? (shrink)

The recent financial crisis and Great Recession have been compared to other historical moments during which significant shifts in regimes of market governance have occurred. Here, we engage with the pieces that follow in this special section of Politics & Society as we consider three dimensions along which global market governance might be transformed in the direction of greater democracy. First, given that problems of market governance often extend across national boundaries, enhanced intergovernmental coordination could play a key (...) role in promoting the public interest. Second, broader country representation would help to ensure that the interests of different national publics are more fully addressed. Third, wider social participation would expand the definition of the public interest at both the national and global levels, allowing a range of social groups to enhance the quality of their representation by governments and IGOs, and to engage more directly in the project of market governance. (shrink)

The most pressing issues of the twenty-first century—climate change and persistent hunger in a world of food surpluses, to name only two—are not problems that can be solved from within individual disciplines, nation-states, or cultural perspectives. They are predicaments that can only be resolved by generating sustained and globally robust coordination across value systems. The scale of the problems and necessity for coordinated global solutions signal a world historical transit as momentous as the Industrial Revolution: a transition from the (...) predominance of technical knowledge to that of ethical deliberation. This volume brings together leading thinkers from around the world to deliberate on how best to correlate worth (value) with what is worthwhile (values), pairing human prosperity with personal, environmental, and spiritual flourishing in a world of differing visions of what constitutes a moral life. Especially in the aftermath of what is now being called the Great Recession, awareness has mounted of the imperative to question the modern divorce of economics from ethics. While the domains of economics and ethics were from antiquity through at least the eighteenth century understood in many cultures to be coterminous and mutually entailing, the modern assumption has been that the goal of maximizing human prosperity and the aim of justly enhancing our lives as persons and as communities were functionally and practically distinct. Working from a wide array of perspectives, the contributors to this volume offer a set of challenges to the assumed independence of the quantitative and qualitative dimensions of human and planetary well-being. Reflecting on the complex interrelationship among economics, justice, and equity, the book resists "one size fits all" approaches and struggles to revitalize the marriage of economics and ethics by activating cultural differences as the basis of mutual contribution to shared human flourishing. The publication of this important collection will stimulate or extend critical debates among scholars and students working in a number of disciplines in the social sciences and humanities, including philosophy, history, environmental studies, economics, and law. Contributors: Roger T. Ames, James Behuniak Jr., Steve Bein, Nalini Bhushan, Purushottama Bilimoria, Steven Burik, Amita Chatterjee, Baoyan Cheng, Gordon Davis, Jay L. Garfield, Steven F. Geisz, Peter D. Hershock, Larry A. Hickman, Kathleen M. Higgins, Heidi M. Hurd, Thomas P. Kasulis, Workineh Kelbessa, Lori Keleher, Oliver Leaman, James McRae, Jin Y. Park, James Peterman, Naoko Saito, May Sim, Robert Smid, Paul Standish, Kenneth W. Stikkers, Karsten J. Struhl, Meera Sushila Viswanathan, Wu Shiu- Ching, Xu Di, T. Yamauchi, Yang Liuxin. (shrink)

Life expectancy and health differ greatly between emerging and developed countries and within countries. Global dependence on fossil fuels contributes to health inequalities through air pollution, the geopolitics of scarce resources and probable climate change arising from global warming. Substituting for fossil fuels (C), hydrogen (H2), as vector and store of energy produced from low-carbon and/or renewable sources could reduce health inequalities by improving the environment. It is unlikely that the global market would initiate such a change. (...) Nation-states would not act alone and would need to cooperate in leading it. Global recession might be the incentive that is needed to restructure a C-economy into an H2-economy. Yet, the transition would carry high costs, which would have to be borne by the developed countries in order to achieve a new treaty that included emerging countries. H2 for C is thus not only a technical fix, but also a global-ethical choice. (shrink)

The author identifies the major micro-, meso-, and macro-level financial risk shifting factors that contributed to the Great Global Recession and how the absence of a compelling moral vision of responsible financial risk management perpetuated the economic crisis and undermined the recovery by blind reliance upon insufficiently accountable bailouts. The author offers a new theoretical model of Sustainable Stakeholder Capitalism by exercising moral imagination which inclusively and moderately balances four multi-level factors: types of capitalism, moral theories, human nature (...) drives, and credit risk profiles. Finally, the author recommends micro-, meso-, and macro-level practical reforms to prevent a recurrence of the current economic freefall, to re-create systemic global financial institution integrity, and to promote responsible risk management for sustainable global prosperity for current and future generations. (shrink)

The purpose of this investigation is to define the centrality of the Global Financial Crisis in 2008–09 and its following stage—the Great Recession, which are controlled by business religion of the emerging global civilization. When democracy defeated totalitarianism in 1989 with the removal the Berlin Wall, we achieved a New World Order. For a long time nobody could explain its meaning and practicality, since it did not seem possible to decompose the emerging Global Civilization into its (...) pieces; religion, culture and infrastructure. Global culture and global infrastructure could be recognized and somehow defined, but “global religion” was unrecognized. No sacred religions could be accepted as the world’s universal religion! However, these authors assume that our newglobal religion is no longer a sacred one, but secular under the guise and practice of business. The global civilization is characterized and its impact upon the well being of world’s population is assessed. The framework of business religion as the new religion of the Global Civilization is modeled and characterized. The future of business religion is evaluated and the means to develop a better and sustainable alternative is offered. (shrink)

This article maps the conceptual history of global inequality from its marginal status in the 1980s, its minute mainstreaming within research and globalization discourse from the mid-1990s to the late 2000s, until its popularization, politicization, and “economization” in the wake of the 2008 financial crisis, recession, and the publication of Thomas Piketty's Capital in the 21st Century in 2014. Asking when, why, and how global inequality became a key concept, it draws upon quantitative and qualitative analysis of (...) global inequality in scientific articles, books, and public media. It traces transformations in the term's temporal and spatial meanings and situates these in the contexts of rising within-nation and declining between-nation inequality, inequality research, inequality in public media, and broader discursive fields. (shrink)

Broad comparisons of international relations across time—of the prospects for peace and of the possibilities for a new ethics for a connected world—typically focus on two dimensions: economic globalization and integration on the one hand, and the character of major interstate relations on the other. One of the most striking features of the pre-1914 world was precisely the coincidence of intensified globalization with a dramatic deterioration in major power relations, the downfall of concert-style approaches to international order, and the descent (...) into total war and ideological confrontation—what T. S. Eliot termed “the panorama of futility and anarchy which is contemporary history.” Today's optimists stress the degree to which globalization appears much more firmly institutionalized than it was a hundred years ago, the rather striking success of global economic governance in responding to the financial crisis of 2007–2008, and the longer-term trend within international society to move away from major-power war. Pessimists are less sure. They worry that we have had to re-learn just how unstable global capitalism can be, both in terms of the wrenching societal changes produced by economic success and of the political strains produced by slowdown and recession. And they point to the abiding or resurgent power of nationalism in all of the core countries in the system, the return of balance-of-power thinking, and the renewed salience of major power politics. (shrink)

This review essay engages critically with Heikki Patomäki's The Political Economy of Global Security: War, Future Crises, and Changes in Global Governance. The book is built around the hypothesis that the current ‘era of Neoliberalism’ shares many similarities to the era of the ‘new imperialism’ of the late nineteenth century, ending, catastrophically, in World War I and the Great Depression. Patomäki undertakes this comparison by focusing on the principal long-term historical processes, structures, tendencies and contradictions that may be (...) responsible for the similarities between these two eras. To do so Patomäki constructs an explanatory model of the underlying causal processes and mechanisms involved. The implications are ominous and urgent. The essay uses a close examination of this exemplary case of critical realism in social science to discuss critically its historical explanations, the comparative analysis it makes, and especially the question of agency as theorised in the author's ‘future scenarios’. (shrink)

The article presents a verbal and mathematical model of medium-term business cycles (with a characteristic period of 7–11 years) known as Juglar cycles. The model takes into account a number of approaches to the analysis of such cycles; in the meantime it also takes into account some of the authors' own generalizations and additions that are important for understanding the internal logic of the cycle, its variability and its peculiarities in the present-time conditions. The authors argue that the most important (...) cause of cyclical crises stems from strong structural disproportions that develop during economic booms. These are not only disproportions between different economic sectors, but also disproportions between different societal subsystems; at present these are also disproportions within the World System as a whole. The proposed model of business cycle is based on its subdivision into four phases: – recovery phase (which could be subdivided into the start sub-phase and the acceleration sub-phase); – upswing/prosperity/expansion phase (which could be subdivided into the growth sub-phase and the boom/overheating sub-phase); – recession phase (within which one may single out the crash/bust/acute crisis subphase and the downswing sub-phase); – depression/stagnation phase (which we could subdivide into the stabilization subphase and the breakthrough sub-phase). The article provides a detailed qualitative description of macroeconomic dynamics at all the phases; it specifies driving forces of cyclical dynamics and the causes of transition from one phase to another (including psychological causes); a special attention is paid to the turning point from the peak of overheating to the acute crisis, as well as to the turning point from the downswing to recovery. The proposed mathematical model of Juglar cycle takes into account the following effects that are typical for the market economy: • positive feedbacks between various economic processes; • presence of a certain inertia, time lags in reactions of the economic subsystem to the change in conditions; • amplification by the financial subsystem of positive feedbacks and time lags in the economic subsystem; • excessive reaction to changing conditions during the acute crisis sub-phase. The authors suggest that the current crisis turns out to be rather similar to classical Juglar crises; however, there is also a significant difference, as the current crisis occurs at a truly global scale. Yet, due to this truly global scale of the current crisis, the possibilities of regulation with the national state's measures have turned out to be ineffective,whereas the suprastate regulation of financial processes hardly exists. It is shown that all these have led to the reproduction of the current crisis according to a classical Juglar scenario. (shrink)

The year 1996 was regarded by a considerable part of contemporary literature on global political economy as a definite turning point in modern history. The majority of experts tended to see the starting point of take‐off that year, but others—not a negligible minority—saw omens of disastrous recession and lasting depression. It appears the time has not yet come. The question is now that of the incalculable resultant of runaway (deregulated) forces of the international financial “whirlpool”, of a random (...) process of global, regional and local accumulation of capital. The year 1997 will set in with a foreseeable and calculable agrarian and related cycle and it may find an outlet for accumulated tensions of capital accumulation at the high tide of unemployment (demographic or migratory) wave with unforeseeable and incalculable effects and side‐effects. This will be just the beginning of the end and a Black Weekday still lies ahead of us. There can be no doubt that we live in a transition period but we do not know where this transition leads to. Loose talk about “post‐industrial society”, “post‐modern age” and “postsomething anything” has limited interpretative power. Very few students of social sciences venture to see and verify secular trends in world history. (shrink)

Why does trust collapse in times of crisis? And when, instead, does it become a driver of growth, generating value? This book offers an analysis of the dynamics of trust through a sociological interpretation of the thought of John Maynard Keynes, the first economist to understand the full extent of the confidence-lever. In the context of the 2007 crisis and following recession, the innovative concept of Economy of Trust explains how trust spontaneously replaces the weakened institutional system of quality (...) assurance and control and generates value. Indeed, the deficiency of such a system has become the ideal breeding ground for the growth of the Nominal Economy: the economy that distorts the perception of reality as it widens economic and social disparities, unbalances relationships between risk and wealth in the global society and dissolves the bonds of responsibility. In this way, trust is channeled towards strong "new powers", such as hedge funds companies, rating agencies and investment banks. Within this context, only targeted policies of Economy of Trust can funnel the 'store of value' effect generated by trust towards positive intents of building social capital. (shrink)

Ukraine faces a threat of full-fledged default and deep financial and political crisis. The current deep recession is the country's second major economic crisis in ten years. Ukraine was severely affected by the global financial crisis in 2008, with its economy shrinking by 15% in 2009. The economy remained weak in the aftermath, as former government caused the business climate worsening. The lack of reforms limited growth of GDP to just 0.3% in 2012 and remained static in 2013. (...) By the end of 2013, Ukraine was already on the brink of collapse. The conflict in the eastern part of the country has further exacerbated the recession. Today the sources of economic growth in Ukraine have been exhausted, and the country is strongly increasing its debts trying to attract foreign investment. The government’s reform efforts have so far failed to significantly improve the country’s business climate. Ukraine is ranked 83rd out of 189 countries in the latest World Bank's ‘Doing Business’ 2016 index. This score is the second worst in Europe. Ukraine is still considered the most corrupt country in Europe as well. The persistent state of war has disrupted industrial production, which is mainly located in the eastern part. The article elucidates recent events in Ukraine as well as gives a brief historical overview. The influence of misleading governance of economic situation is revealed. The positive scenario, in which Ukraine overcomes default, is unlikely to happen unless the firm measures are to be taken. (shrink)