GLOBAL SOLUTIONS JOURNAL - RECOUPLING THE GLOBAL SOLUTIONS SUMMIT EDITION - Alexander von Humboldt Institut ...
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ISSUE 4 GLOBAL SOLUTIONS JOURNAL RECOUPLING THE GLOBAL SOLUTIONS SUMMIT EDITION ABIDHADJAEV ∙ ALTMAIER ∙ ANBUMOZHI ∙ ANDOR ∙ ANHEIER ∙ BARLEY BEIER ∙ BHATTACHARYA ∙ BONDE ∙ BRADFORD ∙ CHANDRASHEKHAR CIURIAK ∙ DARNALL ∙ DE JAGER ∙ DJEFFAL ∙ FRANK ∙ GANTEN ∙ HANNI HENDRIYETTY ∙ HENFREY ∙ HORNO ∙ INABA ∙ ISCHINGER ∙ JAITMAN KASTROP ∙ KELLY ∙ KHAN ∙ KICKBUSCH ∙ KOMIYAMA ∙ MAIRA ∙ MARTNER MATSUSHITA ∙ MONJEAU ∙ MORGAN ∙ NAKATA ∙ NEMOTO ∙ NIKOLAEVA OKUBO ∙ OHNO ∙ OKONEDO ∙ PENHA-LOPES ∙ PIÑEIRO ∙ PONATTU SCHMIDT ∙ SNOWER ∙ STEINHILBER ∙ TIBERGHIEN ∙ VIGLIZZO YANAGISAWA ∙ YOSHINO ∙ ZADEK
ISSUE 4 ∙ MARCH 2019
GLOBAL SOLUTIONS JOURNAL ∙ ISSUE 4 PREFACE Paradigm change for a sustainable world order Global Solutions Summit 2018 closing plenary (from left) with Laura Jaitman, Argentine Ministry of Dennis J. Snower President, Global Dear Reader, Treasury; Colin Bradford, Vision 20; Naoyuki Yoshino, Chair T20 Japan; Jose Martínez, CARI; Dennis J. Snower, GSI; Sebastian Turner, Tagesspiegel. Solutions Initiative Welcome to the third Global Solutions Summit in Berlin. Our annual Sum- the world in preparing this Summit, span- bring their practical experiences into the mit aims to support the Japanese T/G20 ning researchers, policy makers, business global problem-solving discussion. There Presidency. We are honored that State leaders, and civil society representatives. will also be a special forum for highlight- Minister Masahisa Sato will address our ing the implementers’ innovations. Markus Engels Summit as a representative of the G20 as As in 2017 and 2018, we proudly welcome Secretary General, well as the T20 Sherpa Dean Yoshino. the Young Global Changers (YGC). More We are honored to welcome Heads of State Global Solutions than 3,500 applicants from 155 countries and Government, representatives from Initiative The theme of this year’s Summit is global applied to participate and it was exceed- various international organizations, G20 paradigm change to recouple social, po- ingly difficult to choose only 100 individu- and T20 sherpas, ministers, think tank re- litical and economic progress. als for this year’s program. During the searchers, representatives from NGOs and Summit, you will see our Young Global global enterprises, mayors and experts There are many excellent contributions in Changers actively participating in the who are working toward global solutions this journal and we are deeply grateful to proceedings. Last weekend, during the from a local and regional perspective. all the authors. At the beginning of this is- Global Solutions Summer School, they sue, you will find two keynote articles: the prepared research and projects alongside This Summit connects researchers and MSC Co-Chair Colm Kelly and the Global the Summit and thereafter. We kindly ask decision makers from around the world Solutions President Dennis Snower pro- the other Summit participants to support to tackle global problems multilaterally in vide their complementary perspectives on their work as needed. the interests of civil societies around the guidelines for global paradigm change. world. As such, it is an exercise in recou- Subsequent contributions are to be un- This year we seek to build a bridge be- pling economic, political, and social pros- derstood in this light. tween the worlds of ideas and action by perity. Thank you for joining us in Berlin. Copyrights: Tobias Koch bringing the T20 researchers into closer We are delighted to welcome over 1,200 relation with visionary implementers from Yours, in hope and confidence, participants and more than 150 speakers. politics, business and civil society. The We are humbled by the enthusiasm and en- implementers will challenge the propos- gagement of so many people from around als made by the T20 working groups and 4 5
CONTENTS CONTENTS Global Solutions Journal Issue 4 VISION BRIEFS ECONOMICS AND TRADE 12 Toward global paradigm change: 130 The US-China trade war: Technological roots and WTO responses Beyond the crisis of the liberal world order Dan Ciuriak Dennis J. Snower 136 SMEs – Champions of sustainable business development. 33 Repurposing our economies – and our businesses Lessons for a regulatory framework Colm Kelly Jost de Jager 140 SME finance using bank account information: Credit-risk reduction effect CLIMATE CHANGE AND SUSTAINABILITY on small and medium-sized enterprise finance 64 Multilateralism – We need to strengthen free, rules-based trade Naoko Nemoto, Naoyuki Yoshino, Yutaka Okubo, Daimei Inaba, Kentaro Yanagisawa to the benefit of everyone 147 Trade, food security and the comparative environmental advantage Peter Altmaier of food-producing countries 66 Realizing the sustainable future: How to put the G20 on the right track? Ernesto F. Viglizzo, Martín E. Piñeiro Venkatachalam Anbumozhi 156 High-quality infrastructure and land acquisition for infrastructure 75 Solutions for a paradigm shift toward sustainability development through land trusts Alexander Bonde Naoyuki Yoshino, Umid Abidhadjaev, Nella Sri Hendriyetty 82 Innovation toward a platinum society: Proposal for a community energy system based on renewable energy DIGITAL TRANSFORMATION Hiroshi Komiyama 166 How are algorithms transforming our lives? 89 Toward a climate-resilient and sustainable future: Welcome speech at the Global Solutions Summit T20 Japan TF3 on Climate and Environment Katarina Barley Kazuo Matsushita 173 The digitalization of industries: Industrial policies for an inclusive 97 FABLE and Argentina’s food and land-use systems and sustainable digital transformation Adrian Monjeau, Federico C. Frank Christoph Beier 104 Think 20 Japan 2019: The “Japan SDGs Model” and the Task Force on 179 Tech-driven disruption in social sectors: the 2030 Agenda for Sustainable Development The irresistible force meets the immovable object Izumi Ohno Rentala Chandrashekhar 114 There are no jobs on a dead planet: 186 Sustainable development of artificial intelligence (SAID) Trade unions as agents of social and environmental transformation Christian Djeffal Jochen Steinhilber 120 The critical frontier: Reducing Belt and Road emissions Simon Zadek 6 7
CONTENTS CONTENTS FUTURE OF WORK AND EDUCATION GLOBAL GOVERNANCE AND THE FUTURE OF POLITICS 196 Financial literacy for the digital age: 278 Effectiveness of development cooperation: The need for digital financial education Need for a new conversation on how to assess it Peter J. Morgan Debapriya Bhattacharya, Sarah Sabin Khan 205 New challenges for education systems: 287 Changing the dynamics: From conflict to transformation What makes the next generation and the future workforce strong? Colin Bradford Barbara Ischinger 293 Changing the paradigm: Systems thinking, systems organizing, 213 The future of work: A case for international cooperation systems transformation Laura Jaitman, María Florencia Asef Horno Arun Maira 220 Shaping business education to support recoupling 298 Cooperation with Africa in T20 Japan Enase Okonedo Ryosuke Nakata 304 Causing and correcting G20 compliance SOCIAL COHESION Alisa Nikolaeva 230 Decoupling and social arrest: Which ways forward? 312 A key message from the Paris Peace Forum: Defusing cross-national Helmut K. Anheier misperceptions and advancing inclusive global governance 237 Next stage: European Social Union. Yves Tiberghien To overcome internal imbalances, the EU must address outside needs László Andor 243 Reducing the global burden of chronic pain 320 The Global Solutions Initiative for the G20 Beth D. Darnall 322 Imprint 249 Domestic resource mobilization and the redistributive impact of fiscal policies in Latin America Michael Hanni, Ricardo Martner 254 Recoupling through regeneration: Community-led initiatives and the re-imagining of economic and social policy Thomas Henfrey, Gil Penha-Lopes 260 Inequality and the productivity slowdown: The growing gap between the most productive and the rest dampens social cohesion Christian Kastrop, Dominic Ponattu, Julia Schmidt 267 Invest in universal health coverage now Ilona Kickbusch, Detlev Ganten 8 9
GLOBAL SOLUTIONS JOURNAL ∙ ISSUE 4 DIGITAL TRANSFORMATION Sustainable develop applications in need of further assistance. Face recognition and other controversial derstanding of the problems in the country, including floods, violence against women, ment of artificial AI technologies are used to ensure public malaria, and cholera. On the other side of security and safety. the spectrum are so-called lethal autono- These examples highlight some of the mous weapons systems (LAWS), which intelligence (SAID) important features of the concept of AI. are also fuelled by artificial intelligence. According to Klaus Mainzer’s definition, AI After several years of expert meetings of denotes systems that can deal with certain experts, states established a Group of Gov- problems independently and efficiently. ernmental Experts under the umbrella of The term has famously been framed as a the Convention on Certain Conventional research question by four computer sci- Weapons. The controversial negotiations entists in a grant proposal. Today, AI is in this group show that new possibilities The author: Artificial intelligence (AI) is changing our considered a sub-discipline of computer through AI can be hard to resolve. lives. However, it seems to be a solution science that is actively pursued by special- Christian Djeffal and a problem at the same time. In order ized academics and research institutions. Associated Researcher, Alexander-von-Humboldt- to understand opportunities and risks, to evaluate promises and warnings, we AI is not a single technology but a set of technologies.i Those technologies are not »Being a general- Institute for Internet and Society (HIIG) should ask the right questions and choose limited to specific circumstances in their purpose technology, the right frame of analysis. It is time to use. They can be used in many contexts think and talk about AI in terms of sustain- and for various purposes. AI denotes a set one can create able development. of general-purpose technologies in the truest sense of the word. This might be one swords and I. WE NEED TO TALK ABOUT ARTIFICIAL reason why AI has been compared to other INTELLIGENCE general-purpose technologies like steam- ploughshares AI applications play an increasing role in machines, and the production of steel. all parts of society. In hospitals, image rec- Being a general-purpose technology, The institution: ognition systems aid doctors in diagnosing diseases like skin cancer. They are in many one can create swords and ploughshares from AI. from AI.« cases more accurate than the doctors. In The metaphors of swords and plough- our private life, different AI applications al- shares certainly applies to AI, and this can low us to “speak” with our mobile phones, even be seen in the practice of the United Governments, companies and research to take better pictures and to sort them au- Nations. UN Global Pulse, an innovation institutions are having heated debates tomatically. Fully automated public trans- initiative of the Secretary General, uses AI about the future of artificial intelligence. The Alexander von Humboldt Institute portation is available in many countries proactively for development and humani- They talk about ethics, about AI’s impacts for Internet and Society researches the and driving is increasingly automated. In tarian action. The Pulse Lab Kampala de- on human rights and about the ways in development of the internet from a societal factories, AI-empowered industry robots veloped a system that monitors local public which AI could strengthen the economy. perspective. The aim is to better understand can handle an ever-increasing number of radio stations all over the country. Small Depending on the respective focus, spe- the digitalization of all spheres of life. As tasks. In offices, AI tools help to plough hardware is deployed all over the country, cific topics concerning AI are in the lime- the first institute in Germany with a focus on internet and society, HIIG has established through data in order to make predictions a text-to-speech application transforms light. While stakeholders have identified an understanding that emphasises the or to identify certain important aspects of the data and another AI application analy- many important issues, very little reflec- embeddedness of digital innovations in societal that data. Risk management tools are also ses and clusters the data. This is done in tion has addressed the question of the processes. used by tax administrations to identify tax order to give the government a better un- right frame. In particular, policy makers 186 187
GLOBAL SOLUTIONS JOURNAL ∙ ISSUE 4 DIGITAL TRANSFORMATION and other stakeholders have not explored regions of the world. It addresses issues rent state of governance mechanisms is 1. Understand change and share the potential of framing AI in the terms of of economic development, but attributes far from perfect, they are steps in the right knowledge sustainable development. the same importance to social and en- direction. AI technologies might be further It is important to understand change vironmental issues. It highlights human tools to strengthen the governance of sus- caused by AI in a comprehensive manner II. WHY SUSTAINABLE AI DEVELOP rights, but is also sensitive for concerns tainable development. and to map its impacts. This applies to MENT? at the level of groups and countries. It beneficial and harmful impacts. It is one While there are sporadic attempts to addresses public and private actors and Fit of the major features of the discourse sur- highlight the potential of AI to contribute includes civil society. What is even more Generally, the framework of sustainable rounding sustainable development that to the fulfilment of sustainable develop- important that sustainable development development has been used to deal with changes are tracked, goals are defined and ment goals, there is at the moment no works on the micro, the meso and the similar issues and, therefore, is a good fit monitored. Best practices are shared and comprehensive analysis of how different macro level. Sustainability can be an is- for AI’s current challenges. First, it sets communicated across communities. Such technologies are to be considered from the sue for specific products and applications. limits and goals for technological devel- a model would have great benefits for the perspective of sustainable development. Yet, it can be also a standard measuring opment. Hence, it is neither exclusively governance of artificial intelligence. This This is somewhat surprising, considering overall impacts on the environment or so- directed to the potential nor to the risks is particularly important in the field of AI that the discourse on sustainable develop- cial justice. In contrast, the focus of the of AI. Sustainable development highlights for discussions are sometimes guided by ment is very far advanced but captures a discourse on AI tends to be on the con- both sides of the coin. What’s more, the specific very visible applications like auto- basic conflict that represents current dis- sequences of specific applications, par- concept of sustainable development is not mated cars or narratives from Hollywood cussions concerning AI. That is the conflict ticularly in their performance concerning shy to address conflicts. From the initial movies. In order to assess the change, it between development and its potential fairness, accountability and transparency. discussions, there was an inherent conflict would be necessary to have a complete costs. Sustainable development acknowl- Save for the future of work, the impacts between sustainability and development. picture of where AI is already in use and edges the opportunities of progress, but of AI on society as a whole are only rarely While sustainable AI development does not what the repercussions of that use are. also highlights its limitation due to im- discussed. Sustainable AI development as necessarily deal with the need for progress Instead of focussing on very specific is- pacts on societal concerns such as the en- a frame could change that. and environmental impacts, there are often sues like the trolley dilemma,1 it would be vironment. Reducing the main advantages trade-offs that need to be addressed in a interesting to see how AI becomes a part of sustainable AI development to three Governance clear manner. These trade-offs can con- of the everyday infrastructure. Such a sys- words, it would be inclusiveness, govern- One of the remarkable features of sustain- cern the functionality of the systems and tematic approach might uncover that there ance and connectivity. able development is its focus on govern- the many things that can be achieved on are many more applications that are not ance and implementation. The discourse the one side and notions of privacy, trans- automated decision-making systems but on sustainable development has continu- parency and individual autonomy on the nevertheless play an ever-increasing role. »Sustainable AI ously been improved. The 2030 Agenda for Sustainable Development has established other. 2. Develop a strategy of strategies development a multi-stakeholder process in order to III. LEARNINGS FROM SAID There is currently a proliferation of nation- is an inclusive support achievement and development Sustainable AI development is an inclu- al AI strategies. Canada, China, Finland, of specific goals and related indicators. sive framework. Yet, it is different than France, Germany, and Japan are among framework.« A sustainable perspective on AI does not other frameworks and has the potential to the countries that have published such only highlight goals and limits, but neces- highlight specific aspects of artificial in- an AI-strategy. While it is certainly a good sarily implies the question how they are telligence and digitization. This change of thing that more and more countries posi- to be realized. From this perspective, it is perspectives offers specific learnings that tion themselves regarding such a set of Inclusiveness not enough to talk about ethics and human can be implemented when discussing the transformational technologies, the ques- The discourse on sustainable develop- rights but to take specific actions in order future of artificial intelligence. tion remains how countries coordinate. ment has attained a very high level of in- to achieve certain goals or prohibit certain While every country wants to become a clusiveness. It relates to all countries and impacts of technologies. While the cur- leader in AI, this is not a realistic option, 188 189
GLOBAL SOLUTIONS JOURNAL ∙ ISSUE 4 DIGITAL TRANSFORMATION save for a few countries. And even the AI applications. This has been discussed What has been stated for infrastruc- right from the beginning. In certain ju- countries that can be leaders in AI technol- in the context of music and health. It is ture is also true for the ecosystem. While risdictions, data protection officers have ogy contemplate whether they are strong even more significant when this problem it is certainly necessary to have hubs that become the agents of data protection in enough to outweigh the rest of the world. is combined with the gig-economy. There spark innovation and help to make innova- companies, organizations and public ad- Despite certain quotes from different poli- are concerns that certain platforms might tions applicable to real world problems, ministration. In the case of using AI in ticians in 2016, it becomes more and more take advantage of missing labor regulation those ecosystems should also include re- public, the ecosystem should also include clear that AI research cannot be compared in developing countries and exploit the flections on the ethical, legal and social citizens. There are different participation to the race for the nuclear weapon. It is workforce there for simple labelling tasks. impacts of AI. Many AI strategies consider tools that could be used to include citizens about different technologies, different ar- To train an algorithm in such a setting so-called “AI-observatories”. In certain do- in the design process. These methods in- eas of application and different purposes. means effectively to make one’s own abil- mains, there are also agencies that have to clude sortition or random sample voting. While machine learning based on neural ity redundant. However, gig-workers with- test and certify AI applications. When there are important decisions to networks works well today, it is far from out legal protection have little leverage to make for instance in the smart city con- clear what the next breakthrough will be influence such a setting. If these and com- text, it would be possible to consult such a based on. In such a situation, we are in need of a strategy of strategies allowing for parable situations are not addressed from the perspective of sustainability and jus- »If it is true that group that would be selected to be trained and work as a citizens’ data ethics com- competition and cooperation at the same tice, we might be soon faced with another ›responsible mission. The ecosystem for sustainable AI design eats time. Such a strategy of strategies should aspect of what has been coined “digital development should comprise various ac- provide incentives for inventions but help slavery”.ii tors and organizations, from the UN High oversight for to avoid that the same inventions and mis- Level Panel on Digital Cooperation to local takes are made in different countries again 4. Build an infrastructure and an ecosys- citizens’ data ethics commissions. breakfast‹, and again. It should also coordinate efforts tem for sustainability where countries actually have the same From the perspective of sustainable AI de- IV. THE FUTURES OF AI it will be goals and can work together. The sustain- velopment, an infrastructure for sustaina- In conclusion, the preliminary learnings able development agenda is such a strat- ble AI development is key. This infrastruc- from sustainable AI development show egy of strategies. ture has to transgress the goals of building fast and functional AI applications. It will important to that there is a lot of potential to think about AI in terms of sustainable development. As 3. Justice One of the most important features of also have to deal with questions of making applications sustainable by taking into ac- think about a set of general-purpose technologies, AI has not one single future. It has many fu- sustainable development is the constant quest for justice equity and fairness. Sus- count individual, group and societal needs. Take for example the need to assess and agents of good tures, and these futures depend on more than just technological inventions. They tainable development is concerned with current affairs but also takes into account test AI applications. This is an interest shared by developers, companies, regula- design. « depend on the decisions taken to fund re- search and innovation, they depend on de- future generations. As a framework, SAID tory authorities and policy makers alike. cisions to implement technologies in soci- makes such questions of justice visible on Testing and evaluation are much easier ety, and they depend on choices about how the micro and the macro level. There are when there is an infrastructure allowing If it is true that “responsible design eats to design and how to implement technolo- currently issues that are not really re- to do this. A focus group of the ITU cur- oversight for breakfast”, it will be important gies. AI applications can play an important solved. One issue that is projected to be a rently undertakes such an effort by build- to think about agents of good design. role in society but it is us who decide which great concern in the future is the distribu- ing evaluation and test sets for specific AI Those agents have to be close to the role they play. To employ sustainable AI tion of wealth gained from trained neural driven eHealth applications.iii They are in processes of building AI and able to in- development as a framework makes us networks. This is particularly problematic the process of creating a test environment clude ethical, legal and social aspects aware of the choices. when the training data is based on the ef- that would allow the evaluation and bench- forts of people that do not profit from the marking of eHealth applications. 190 191
GLOBAL SOLUTIONS JOURNAL ∙ ISSUE 4 1 In the context of AI, this is often related to situations in which a car can do nothing than choose between harming and potentially killing different groups of people. The problem is that this choice can be programmed. i U. Gasser and V. A.F. Almeida, ‘A Layered Model for AI Governance’, IEEE Internet Computing 21 (2017), 58–62. ii D. Snower, ‘Emancipation in the age of digital slavery’, Global Solutions Journal 1 (2018), 18–20. M. Salathé, T. Wiegand, M. Wenzel and R. Kishnamurthy, Focus Group on Artificial Intelligence for Health. iii https://www.itu.int/en/ITU-T/focusgroups/ai4h/Documents 192
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