worsen the situation of the whole countries and then so-called the what is that so-called the mill income people's dignity has been collapsed and there are some not more are concerned that with the new wave of globalization's like artificial intelligence and automation this technological advancement may bring more inequality into the future now when you look at the international level you will see the gaps between the emerging countries like China and India and also and developing developed nations has reduced well that sounds good but when you look at the other country they are left out left behind of this trend and countless people are still suffering the economic hardship and some may choose the migration so the question is what kind of policies should be taken by international organizations or the government and in the private sectors and how we can ensure that globalization for point Dell will not leave anybody behind that's all the question today and let's talk about these topics we have excellent panel starting with you miss moon as she is let me collect the miss Lawrence poon she's the chief economist of osed and she has previously served as economic adviser to French president Francois Hollande and to her right mr.
Hickman tell sec he is a CEO of Western Union of course everyone know is the world top provider of international money transfer service range in large portion of Western unions customer base are migrants working overseas and he self has this interesting background he was born in Turkey and moved to Austria later in mr. today Samira he's a governor of jaebaek Japan Bank for International Cooperation and his organization helps a lot of Japanese companies investing in overseas in the field of like infrastructure in energy project and last but not least Professor Richard Baldwin he teaches Graduate Institute in Geneva and he has published many books on global globalization's and his recent one quite recently yesterday yes titled the globe Oryx are people globalization and robotics and the future of work very interesting thank you okay now let me start by asking each one of you what is the greatest challenge by the globalization in your view starting with okay good morning and thanks for this invitation and such a prominent panel with perhaps a future president well I'd like to I'd like to point out two challenges the first one is inequality to which you alluded to and the second one is the fair rule of the games on inequality there had been decreased increasing sorry before the crisis but since the mid 2000 well flee the bottom 20% of the population in terms of revenue have not seen the revenue kept at the pace of GDP growth and I think that's a big issue that we've said and will continue to say this why globalization is good for all but it doesn't benefit all it's good overall so that's the first challenge is to make it work everywhere the second on which I we spend a bit more time is actually the rules of the game and with digital especially we have a lot of changes it's now easy for firms on the one hand to have very large market share across the globe but also to be shopping for the best tax wise legal regulatory place where to put the headquarter a lot of profits are not paying their fair share of taxes across firms and countries and I think we need to address that as well tackling taxation at the global level designing new competition rules taking into the conditi tour and addressing corruption and findings as Racing regulatory arbitrage okay good well as a business leader I look at that and I see more effects and you know as Wesleyan is active in 200 countries okay for more than 130 years we do see the impact of globalization I don't see it as mistake optimism because the globalization we know as it is build a base that you can't stop it anywhere for future globalism the people are connected as they'd never been connected in the past the globalization helped many people coming out of the property of outweigh the the access to medicine has been never done like that it has been in the past what's globalization is happening now is that it's taking a break or a timeout so called basketball timeout in the West especially in the West countries and I agree with you the collision had some impact on the middle class had some impact on some people but it's taking only a break it's correcting itself and I believe that the globalization the past was driven by cooperation by governments and by corporations like corporations like Western Union corporations like Google Facebook that drew the globalization but now it's in the hand of individuals individuals individuals of the seven billion people today the power of a mobile form the power of a smartphone is huge that was never then never been there today the people in Bangladesh a fisherman can go out and you know the fish and then before it comes back in the past it will come back to its own village always always to the same spot selling that now it's the the fisherman individual fisherman is picking up the phone saying that who gives me the best price I go to the village that never been in that not even if 10 years ago so the globalization really impart many many people made many people entrepreneur worldwide today we can see it for at West Union that small tribunal are trading in multi currencies with their smartphones really important exporting so I see it in a more optimistic way challenge yes is this challenge the political environment the protectionism and well I hate it okay and business leaders don't like it since the crisis there will be in six if developing can't develop countries there are seven thousand rules to provide put a global trade seven thousand rules I hate it and we are I'm gonna speak against that but you know I'm more optimistic long term okay we talk about that later mister my design what you're taking yes I'd like to point out the two charges one is a declining of the aspiration of international cooperation among key countries in 20th century you have we had the g5 and g7 and g8 and g20 and I'm not shooting a picnic that no actually the agreement has been made that's I in my friends are the president of the eurogroup Ian Bremmer he describes as a in our nation as a learning for its own sake it means that's a G zero there's no coordination process and then Japan is the hostility 20 this year that is very tough to find out the common agenda about November would shake g20 and now he very fortunately a promised Rebecca keeps it's a position for a since 2012 so let's now his famous years the most stable and the oil no do it have in Japan we do have a logical but we have some a problem like aging society declining of the population and also that many of the senior citizens now feels left behind and aged in senior citizens now baby icy ice reddit they cannot use a dito devices and that's the problem that's also that a problem you look at culture in the transition from this 20th century and the 21st century globally still that's the people eliminating tada yo $2 per day I still have 750 million population lives in the leftover standard and 1.7 billions adults do not have a banking account but what but tragedy they may have some smartphone and application free application to settle that in the on payment they had a good chance we to spread off to the each that those people who do not have a bank account but we can correct a big dealer and then to give some right direction that's a good chance for upon us but the government we're not able to do it right now so that's probably the business leaders like you we're going to make such an direction and escoural recommend professor Bowen and international leaders and that's we are hope that's our hope that but the good sell for Japan is that we have kind of a good example of the senior society so we tackle still to tackle that problem so that we can share our experience with colleagues that's interesting with Japan is a little different from the other countries because of the age slightly the professor Baldwin you researched on globalization long time what's your perspective well the fundamental challenge of globalization is that it creates more opportunities for a nation's most competitive citizens and its most competitive companies but it creates more competition for a nation's least competitive citizens and least competitive companies the real challenge of globalization is to find domestic complementary policies that the winners and losers can feel like they're on the same team and continue with it what's really that's a problem that's always been with globalization what's really different this time is the speed okay digital technology is advancing at explosive paces that our ability to store transmit process and understand information is doubling every two years and changing realities things that seem like machine translation unlikely just three years ago he's free right now on everybody's smartphone and it's that speed which creates the fundamental challenge that's different between globalization 4.0 and the globalization's we've known in the past not interesting the speed is just too fast there so that the people cannot follow up and when when the people who got lost jobs and it's hard right to get a job in this kind of artificial intelligence and automation will accelerate the job losses and also the inequality and I believe what's happening in France yellow-based movement I think that kind of demonstration will be spurred or fuelled by this globalization what to take well let me let me rebound on what which are saying in fact it's the combination of globalization and digitalization which is affecting people and the role of the digital technology is even contributes more than globalization itself so we we have looked at this and what's happening is it's the middle skilled routine job which are being the most affected and what you can see is regions lose manufacturing plants either because they're a competition from low-wage country that was the past but now we digitalization they lose this plants because robots and ultimate ISM is taking the place of people so there's a divide between the top skilled people who can benefit from it low-skilled people who usually have care jobs like with the elderly and you cannot really replace with a robot but a medium skill people have really burned both the mass of this of this adjustment to me that's one of the most important thing that and the fact that their revenue is not increasing anymore but the worse is when you don't know what you'll be able to do in the future and what your kids will be able to do in the future and for that we need to look at much and just for distribution where I agree with which out that we need to focus on the people and some countries have done it very well I can come back on to this but you also need to focus at their opportunities there are equal access to education to health to transport and one other thing it's not only creating this divide between people super productive firms and we can come back to these and regions and four regions we need to connect back the rural areas to city centers because that's creating job that's attracting people so there is a triple job of reconnection to do for the people with the right skills for the firm so that he can catch up and this will need public investment and for the region so that they'll lead to very lively urban centers all right so what about the people on the street now they have the good future taken what yes if we can do that let me take the example of Denmark Denmark has paid special attention and I always thank you and to reach on because we talked about it before but Denmark has paid special attention to make sure that when there is a displacement of people because one sector is being affected either by trade competition or by digital they put in place a system where they take care of the people before displacement arrives so before the dismissal of people they identify all the jobs at risk and people at risk then then target they ensure that they have a minimum revenue so the target is specially the low skilled people and low income earners they ensure that we have the right retraining because training is everything so they identify them identify the training they need they put them in training then they assess the training and at the same time they put them even in short term of temporary fixed contract you know some sort of apprenticeship so that they can catch up they are never left to learn from the moment that the risk is identified to the moment that they will find a job and I think that's a superb experience we can all learn okay we talked about the solution part this later on in this session professor Richards Baldwin you in your recent book that you said that how automation will displace abroad jobs in the service sector right can you elaborate on that so the way I like to think about it is telecommuting which many of us do now or half-dead a week or day a week we work from home or we work on the road that's called telecommuting I just think it'll go international people will work remotely sitting in one country working in offices in another and the reason I'm confident to say that this will happen because it is already happening in industries like web development people will put together a multinational team on the screen working simultaneously through collaborative software designing a website when the programmer may be in Pakistan and the user experience expert might be in Canada so I just think that will go a lot more global and that is in essence digital technology mediating the arbitrage of wages across country but this is mostly in the service sector because the digital stuff is information and much of services is all about information and I would point out one technology in particular that gives heavily underestimated and that's machine translation if you haven't tried machine translation in the last six months you really have to there's a revolution in it and it's really very good now hundreds of millions of Chinese who could not join the global service market because they couldn't speak good enough English well now they can speak good enough English it's free Skype Amazon is on the outlook it's a Google Translate these things are being integrated into apps and will change the reality so in some sense you could say what the 90s were about was low skilled labor and manufacturing came online in India and China and transformed the realities in the 90s of low-skilled work in rich countries this I think is going to happen in the service sector interesting you may have something to add you know the global service industry is really everywhere you could be as a as a corporate leader I see that daily I'm flying from here to India Pune 800 engineers there and what's happening though in especially in the Western democracy Western world with the protective environment increasing visas and stopping these people to knowledge it actually its conta protect a productive you know what's happening in in the u.s.
That indian engineer can't get a visa anymore or their spouses gotta get a visa anymore it's basically telling us CEOs don't create a job they're create the job somewhere else and I'm not sure that the protective environment wants that and I think that's that something that's gonna be a big issue in the future interesting well now you are you're companies based in the States and your presence is moving toward the protectionism yeah do you think that they they will get more support because of the this content of the people well first of all I want to correct you know my company is basically you did it's my president but I am NOT the US citizen so [Laughter] well I think the current environment protective environment doesn't help companies like you know Western Union being globally active we do definitely you know you have to understand better Union it's none of my country if you put us society it's 15 percent of my revenue because we have also domestic many tests right there but none of my countries are bigger than five percent of my revenue number seven countries only 1% of my revenue is that diverse so it's important that the connection is here the productive environment what's happening in the US the Texas or the you know the kind of trying to stop the global connection doesn't help and I think it's maybe create short-term solutions short-term attacks short-term problems but long-term the companies will find always a different solution we CEOs are dedicated to create jobs obvious years are credited to make money meteors are you know dedicated to trade and you can't stop that the world is built on that and I think I don't think no vol is high enough has never been high enough had to stop that a problem in the US labor market right now is that now the increase of the costs of the workers and also lack of the skill River right now therefore that normally that business practice hotel contractors I signed a contract for the Lampson basis they cannot accommodate such a sharp increase of the cost labor cost they hope that the cost over on the end and a lot of the companies another problem like Westinghouse for example that they made a loss and a huge hasta to to the lack of skilled labor that eventually that kind of disabilities of the skylabbers in the US labor market we would damage the competitiveness of a long term in the u.s.
Technology so that's what at the very short term the policies on it the protectionism will not be a good for us are two things on this the first one is what you were saying on job which i think is very sensual and migration let me give you two numbers three actually about sixty five percent of the increase in labor force in the u.s.
Is coming from non US citizen so for migrants ninety two percent in the you so its massive and you're right that will create a program and and and related to skills between 35 and 40 percent of those people are highly skilled so it's it's a variety of working with a variety of qualification and talent that will be missing so that at one point and I totally concur with you and the second is about the cost of protectionism at this stage what has been happening at the global level with the tit-for-tat tariffs has cost about point 2 to point 3 percentage point of growth for the US and a bit more to China if the US and China increased tariffs by 25 percent for all good day exchange it will be minus one percent for US growth it will be if little more foam for China that's massive number and it's not even taking a con into a con something that I'm sure you can tell better than me about which is all the uncertainty it's creating and the delay in investment plan and in recruitment that we're seeing you're uncertain as CEOs when we do our plans we are uncertain we don't know where to start that's a new environment and we you know it is a global company you do business plans you want to invest but you don't know what the rules will look like and that's a big uncertainty is probably one of the biggest danger for CEOs global CEOs you know because you want to invest you want to have the best return you want to go for your shareholder satisfaction but that that uncertainty makes us you know also conservative let me jump in a little bit and what I would say is that the things you were talking about we're all talking about it's a very real disease in the United States disease problems in the United States but the protectionism is the false medicine so we have a real disease and a false medicine in essence Trump administration is trying to use a 20th century tool to address a 21st century problem and in deep down they have not understood the problem tariffs aren't going to address the skills but tariffs are not gonna keep keep America in to the industries and sectors in the future yes that's a very global was approaching no this the United States is not able to leave on their own the labors and on technology so that so this approach and spread over that they are not some of the evidence and a good kind of background of the person making that's a reason so that we need to have they verify that the those background information to be supported the route of deportation making of the policy many countries we have evidence-based policymaking but the United States they have policy based evidence make let's get back to the inequalities here for a while you talked about how to what the solution of the inequality how to prevent the spread of the inequality you you studied in your book jealous with the well so how did so first of all I think that the basic idea is is it's about domestic policies so people have to change jobs and they've had to change jobs in the past and some governments have very good policies for that and that we just need more of it so retraining maybe you have to change houses maybe you need some income support for a while maybe we may actually have to have some clusters that are creating industries in in places where people actually are but it's active market policies but after say the OECD has done a lot more work on this active labor market policy so I would defer to my what the OECD can do about it so it it's actually usually challenging period and because of that but I think it will started in 2009 with the first Stiglitz same v2c report which say it first change the way you look at the data don't focus on me on GDP look at inequalities and not only on equality of revenue but in equality of opportunities and again it's health it's education its transport and it's education throughout the lifetime in Germany they have a very good apprenticeship advantage system and also vocational training which is super important and that other countries in Europe do not have access to look at this data look at gender gap migrant gap elderly people death youth gap you know try and spend the entire dashboard of inequality indicators then the second and I think it's something that we've improved a lot of bunnies the policy recommendation that we made before we're solely focused on GDP growth and productivity now for each policy recommendation we look at the impact on productivity but also on how it affects the income distribution that's the if we take the medicine example of which are these a detection diagnosis thought and for that then you can do the right medicine let me take a simple example the diesel tax right I think most economists would agree that if you want to it's it's a tax which is designed to change the behavior of people stop consuming diesel it's not a tax designed to raise revenue and when you look at other countries and that's the OECD comparative advantages is to look at plenty of countries the way to make this environmental tax work is actually to compensate the people who will lose from it because those people when you look at the impact on income distribution the people affected by AG sales tax they are the low income earner they are the guys in the suburbs or in rural areas who will need that cow and it's a real shock to the way that they live so in British Columbia in Canada they did that or a civil years they looked at the revenue expected from this tax on deism and they said well we distribute this revenue targeting the low income earner mouseholes and targeting the corporate which our SMEs and have not got a huge of means and by doing this for distribution so they got zero out of the money but they changed the behavior of people and they were able to increase carbon prices to level that they thought was satisfactory for the purpose that it looked with was changing behavior it's an example it's the same when you increase the ATO it's the same if you reform the labor market you know you don't do that in a downturn because more people are going to get redone don't you do that in an upturn and you target with education and active labor market policy do the retraining I was describing for Denmark does that will be affected a big change to me is we've gone from looking at the world in aggregate size economists are looking at individuals and their heterogeneity on how this is affecting them talking about inequality that I argue that I said that the 1.7 billion population do not have bank accounts and 2/3 of this is related women therefore that normal the financial products which we normally that we are government banks or those commercial bank house is not able to reach out or say people who do not have bank account however that using forgotten back refiners for sample that we actually invested into the macro files from the last year for supporting the empowered woman entrepreneurs and a static said that the non performing the debt portion for both in terms of gender male and female female is a way way better seven hundred percent better than male therefore that they pay back and then the only and small enterprises and then create a more business and to income level about be going up there for that to using this D by devices like the smartphone devices so that we can put some of the not just only fund but also that's the information about for example that's weather information and also that the some nest nest require egg tag like the you know you for help in their fishers fishermen so that means some of the devices for useful that's with your own business altogether it's my micromanagement and I even a g7 actually that we talked about that trampoline session there now launch the new insula which 2x challenges it means that to empower women so that they are doing some good thing so we join just talk about the inequality issue in Japan it it's not of course we do have inequality issue in Japan but it's that as a parent as the other country but as you mentioned that you mentioned that there is Japan is a little unique in the sense of age society and people are probably getting dropping out of this digitalization and what your yeah so that very issue that you know comes from the middle class in the twentieth century their generation senior than higher we have 61 years old at this my generation is they're almost dropping out from the you a transition in integer economy in 21st century so many of the battement pop stores now you still use a hunter IDing not using a personal computer that's very therefore that the customers for the emotion balance many branches those people so that they're kind of endangered species right now on the country that younger generation will be working on Lulu not the commute for many years because they're commuting in tokenization it's a hits mess therefore that it's good for younger generation to work in your own home using a tilted divided so that camera is not able to catch updates what kind of a soft safety net we can we can provide for senior citizens and also that the I don't say that immigrant but as the many students for the for students through drip study in Japan and also that who are now being a kind of a part-time job in a convenience store in night time for example so that they're they're very serious so that they are not voting right there however that they week we have to suppose those people because they are part of the our community that's a the issue so that many different issues now we are now see in a in particular that in in transitions we are actually we are now investing into that some of the startup of a teacher intelligence for example that many application about Regional Intelligence therefore that the people's the fear that they will lose the job because of our teacher intelligence however that we can foster more creativity for humans so that menu change of like you know honey writing the input in the computers almost kind of the routine job can be replaced by a different area so that's a technology the human that we how to use this so that is a matter of the addition making of government can I pick up on that just the in one way of saying it is that this automation is taking a robot out of human jobs but what that leaves is a human and human jobs more creativity yeah and I would like to point out one other thing about this artificial basically it's experience-based pattern recognition that many semi-professionals professionals have and AI allows fairly average people to be much more intelligent it doesn't make intelligent people that that much more intelligent so I think actually that AI will soon aughh meant a verage people who have a lot of heart by giving them more head but those of us who have lots of head they're not going to give us any more heart so I think in principle it this will be good for equality it just could be quite disruptive in the mean time but as you say it's giving skills to a whole group of people skills that were impossible to have before and and that's I think gonna be transformative for people of sort of average skills and average talents but even more than that I think he's made it so first I just like to say one thing aging is not a Japanese problem which is why it's at the heart of the Japan g20 I think what was just being said by rich Arden and you was super interesting because when you so we have this survey which is Kupiec survey of adult skills and the latest edition of it noted that 50% of adults in OECD countries lack basic solving problem-solving skills 50% it's enormous and I'm not sure to what extent automation can can help with that and in modern between 2025 % of adults like the basic numeric literacy skills that help you that are the foundation of learning so I think the first investment that as much government as actually companies have to do is to ensure that people have those basic skills because that's the foundation of what you can do in life afterwards we're talking about skill they want to focus on the gap between the developed countries and developing countries as I mentioned that some emerging emerging countries like China and India benefited a lot from the globalization but there are some other country or not do you think that the gap widens under a globalization 4.0 well so no I think it narrows so in some sense the comparative advantage of developing countries is that once you adjust for quality it's very cheap labor and up till now the only way that they could exploit that advantage is by making a good and exporting the good but with this teller migration or international telecommuting they can export the talent directly now that will I believe allow the merging market miracle to spread much further and up till now it's been mostly based on either commodities which a country has or it doesn't or manufacturing which has been limited to a very small number of countries above all China but exporting services whether it's helping you with your bookkeeping or arranging travel for you or helping you straighten out the contacts in your cell phone many people in Africa could in the time same time zones provide lots of services and offices in Europe and many people in South America who've been primarily left behind accepted commodities could provide these services in the United States so personally at least for the middle-class people in the middle class in middle income countries I think this is a huge export advantage it's in essence taking advantage of globalization the way India has much less the way China has and I think it'll spread beyond and since its micro micro you don't need huge multinationals you don't need huge ports it's basically anybody with a cellphone a good connection and a laptop can join this export revolution so I think that will lead to go on it won't help the poorest countries but middle countries I think we'll see a big gain from this and you agree with that yeah I do agree with the individuals that you empower them and you they will be a part of the global connection and I believe also that emerging markets have a kind of a better start in the new globalization than developed countries there's other two other things also I will make a point on aging population later but today what we see is a big issue between state capitalism and state democracy the developing countries tent mortu state capitalism and they have a five six seven ten years program and they execute and democracy is in the West democracy that in liberal democracies every step will be questioned because it's way how we so state state capitalism doesn't care they have a program they execute and it's a competitive environment and more and more developing countries go to more control capitalism then on a free capitalism and that tension it's a big tension I don't know I'm not a politician but as a as a business leader we don't know how to operate in that environment and that's something that our state capitalism nobody does it catching kept reason for example in the China Sea that it's a player be a statement and own enterprise now it's not true I know now it's now in the truth oh that's even a profit pure profit companies now forced to the in what we are instead of today to the government and the country the government is not try to control and without a care of the earth for example that's a privacy gathering the tariff of these without paying attention privacy that's and also that the ship in terms of speed a winter dish of making it's much quicker democracy therefore that there's some risk that globalization digital economy be good for to the Italian regime because in terms of decision making speed that's that's a really problem so that we have to theoretician but and on a China for example that you know very niche people using a private jet you know there's many private jets holders and Chinese however that still there to more than 200 million people do not have a mobile phone in China it's a large number in the world in the India and Pakistan therefore that is in China because of this say they would kind of in your in your quality of daily economy it's a gap it's being widened in China in China can I pick up on what the president arasaka said and and and you a little bit as well is it emerging markets need a plan this thing is happening superfast and you you're talking about the form of governance which lets them get a plan and you're talking about how fast to make the decision but the key is this thing will not fix itself people will you know eventually they'll get connectivity but governments can do things to help people get ahead of this curve in emerging markets even more than in rich countries because for well for one thing they've got so many young people and so much talent that's basically underpaid and underemployed so getting a plan I think is you know good there's a big difference between having a plan and controlling a plan yes and that's a big thing and where I have some issues is too much control is really overcoming the freedom of the people and stopping the enterpreneurship long term short term you may win you know if you have a five years plan and the infrastructure you will build the road there will won't be a question you will build Airport there won't be an environment question and that will help that environment probably too short term to develop the area but you know there in a long term you may destroy the environment maybe that the road will destroy the environment so that question is a big actually world problem that we have to solve and you know that's that's that's in my mind I think the you know state capitalism which should is indirectly target perhaps or perhaps it's not the one but at least we all know one but it's it usually involves subsidies in various forms to state-owned enterprises for example it usually involves loans that we don't really necessarily know everything about for example to emerging market which is creating some uncertainty it usually involves some regulation or some kind of protection from the outside words that distorting competition so I'm not saying that all the sector should be open but what I'm saying is this particular form 10 lead to unfair competition and that adds to the resentment of other countries and we fall back into the trap that that the protectionism that we are the trade tension we've seen so far have been creating so we did a plan I think to help developing economies with migration with climate change and we can talk about that later but some of the emerging markets are ready to advance to actually still stick to this type of strategy but when I talk about state capitals I'm talking maybe the you know we can definitely words and definitions are always you know I don't know but I have to say that more and more emergent countries are voting for a controlled environment I mean if you look at what's happening in Brazil if you look at what happening in Turkey look at what's happening Russia all these people all these governments came by voting the people voted for them so there is a 10/2 and these people will tend to control the environment more will go to more state capitalism they will like to have the long term vision then I think I disagree do you have a lot of governments which shall not which have not been in history great governmental that have been voted initially I think this people are turning to us this type of institution because they has been immensely frustrated by how globalization and digitalization has shaped the world I don't think this planning is the answer I think the answer is first and foremost education certain that firms at the global level pay the fair share of taxes well but not not this type of risk what is happening here that's why that's why we need to address the root causes as you mention that we talked about the migration issue migration and the climate change talking about a migration that mr.
Isaac you you have the background on migration and do you think that what's happening in the states and looking at this how abouts happening in the state and in Europe you think that the society is moving away from the inclusiveness definitely so migration is such a complex and big a big problem first of all there are about one and fifty-eight million migrants 160 million migrants worldwide and if you add them together there would be six or seven biggest nation and that would be a powered or they don't have a flag they don't have a constitution they have no rights and they are lost so I think that's why I took that subject goes on speaking about behalf of many migrants there are two types of migrants first the first migrants forced migration you know if you don't move you die and I think we as a global citizen should take care about that the second one is really attracted migration which count the countries because of my aging population because of changing environment really need migration and what's happening is that the second part is just ignored that the value of a migration is ignored it's not only the people moving in a country but also the money they send back home to support them there's about six hundred and thirty billion dollars sent every year you can imagine that if you don't have that anymore it's it's really not you know for a country like Liberia it's a disaster for a country like Mexico for a country like Philippines a Filipino nurse who works in Saudi Arabia at the hospital helped stare makes maybe thousand dollars half of the salary goes back to Philippines and the number one reason why are our customers send back money is education they support their children that they can have a better life than they had their life and if you don't have that $300 and for $300 you can go all year to at school in Philly the Philippines it's a life-changing event and I think we have to see that as a bigger picture and stopping my grave I mean you know you can't OB I understand that not every nation have open borders that's why there is nations there but I think you have to approach that as an apposite 'we not blamed for everything the migrants that's happening today for every economical issue migrants are its migrants fault brexit migrants are fault yellow vests migrants are what migrants fall terrorism migrants fault so that's that's that's something that we have to change the conversation really talk about the positive way of the migration and if you think about that just a last one forty percent of the fortune 500 companies in the US were built by migrants and the nation was built on migration you have some take Germany you know I I completely agree with you first so the first category of migrants you talked about its refugees and climate change will push this number it's very difficult to see by how many because you have projection which go from 25 million of refugees coming from climate change to 1 billion by 2050 but what we know is it will be massive and we need to coordinate that's one reason for acting at the global level on this flow of refugees that we see the second thing and I really like what you said about skills because as you say economic migrants and the first one who arrived in Germany in 2015 they were highly skilled people because it takes an enormous courage to leave your country cross the water on the boat and arrive somewhere to build up something and usually they are very much entrepreneur now it's there's also the question of people getting back and not all the brain drain coming out of developing countries and you have some international program of cooperation which which is called a skill mobility program where you have an agreement between the host and the home country to take people in the host country provide some training and education and the cost is shared with the developing market and then the people go back and I think that's super important and you've been very modest with Japan but Japan is really changing in terms of migration and opening its border and at least in part where I say we do not say that's migration but now the government and also government decided and who the diets approved that the border control act being relaxed and then we are going to have more infraction of the of the population many of skilled labor and students and slaves in Japan to give them more opportunity and the issue is that because we have for many years that we have been a homogeneous society so many fears of what happened in Europeans from the migration refugees that it kind of but a crush of the culture between that indigenous people and the magnons so that it's a in a way actually that some of the bright side and the dark side obviously that yeah of a niche apparent that to be another gradual but it loosens for economic sense that because of this decision that many foreign investors now change its attitude to make investment into Japan because of this you know many some of them will be added up will be pressed by robots and AI but is for example the caretakers for example for the cynicism that the robot can't do that more humans and senses is needed therefore that we offer open up a most society and to be have make some more Han ization on people who come so that that's an a key if I may add the harmonization I think integration is the key how the programs of the government's are integration I can tell you one thing my father Muslim my mother Christian and my wife is Hindu you can't imagine the integration problems I have in my own family and a plus why my son is dating a Jewish girlfriend so some say that you're really protected but you know but the integration is a big issue the cultures and you know the nation in especially Japan when you work on that I think the integration understand the cultures will be the key to in to be successful on the immigration problems do you think anything that OSC do international organization can to solve the migration and refugees and so there I think two things that we can do to have the first one is give facts establish the technologies come back to what you were saying you know both numbers which countries what type of skills the second is designed Felicity for integration because we completely agree with you for example there's a misunderstanding that most government they take on take only single men because they think that way they restrict the number but it's a mistake people are much better accepted when it's the whole family that come because they feel more comfortable with it and we've seen lots of villages communities ready to take families and much more skeptical on single so it's it's addressing this type of miss miss belief and the third is again I think global coordination is super important whether it's at the g20 the OECD or an international forum but being able to talk and and solve it reach an agreement achieve an agreement between the host and home country is is essential it has started I think we should be positive about it and what we need to do more on this and and just one additional thing as I said there a large wave of those is coming from climate change this has been the objective description here quite a lot but addressing it at its root making sure that the money is being spent in Africa which is the most affected by it or in some other regions in Asia for example they are some Island which will disappear on the water so this investment it's also a way of addressing the causes of migration at their roots and we should progress on this it's also one area where cooperation has worked so far right we have a cop and nearly everybody is sticked by itself Paris Accord yes but this one country has dropped out I know but you have the power of FA you know it's just one liking at the end they will have they will join the club and and some states reading the one you and I believe are still committed to do it oh it's in Colorado there's a certain fuse issue the agenda that the International Cooperation is needed the no single countries even the United States is not able to solve any issues like the global warming and also that pandemic and so on therefore that we need to select those agenda one by one and to keep a momentum or for more international cooperation not just only that they belong to the Paris agreement or not it's not such a simple issue therefore that indices for example that in each state has their own policy on in terms of the emission of greenhouse gas and for that too the big gap between the west coast and also the Midwest for example and that comb a mining state and also that the west coast therefore that the state projects that we have they keeps make consensus among different stakeholders European Union is where it's build on consensus it's breaking apart and that's an issue I agree that there are global issues not only environment issues epidemic issues its global warming aging population global trade robotization these are not country issues these are global issues and needs cooperation and which we don't see it the the global corporations do that companies do that but not governments I sort of disagree okay because they're quite they're quite the governments and are doing everything but they're quite a few things first there is this climate agreement Sudan I think the most striking for me it's the taxation agreement all their bad hundred countries have committed on that includes the u.s.
To fight base erosion profit shifting and to actually exchange information about companies where the produce where they employ where they sell I'm sure ten years ago nobody would have believed that this agreement was put in place it's working governments have already collected about ninety three billion dollar of taxes that were escaping and there's probably another 100 to 200 billion to get so that's that's an area where they're able because it speaks to people as well it's it's very striking but they are able to cooperate starting over time so it's going to be the last question just ask if you have if you have to sum up in one key word that what is needed to saw that the globalization 4.0 will not leave anybody behind and go to the better future what you want to be and why just 30 seconds each please cohesion cohesion mostly domestic both globalization and automation changes the way things are and it creates winners and losers it works because it's painful and it's painful because it works but we need is policies to keep the winners and losers together short enough very good smashes that see the compassion actually other people feel that the sympathy to their to other people not the disability therefore that compassion is a very good point for the humans is a machine cannot do that therefore that we need to pay attention to the ethnic minority LGBT for example that was a very key issue the compassion is a human compassion is empowerment empowerment empowerment of individuals empowerment of 7 billion people which feature 8 billion people to be soon and empowerment making them owning the things not taking the power away from them that's great I'm sorry cooperation because I don't think we achieve any of this free and effectively if we don't cooperate all together at the national and at the international level and also cooperation between the government and the private sector and that requires a lot more dialogue I think than we have had so far but we should already optimistic about that yeah yeah optimistic but I fit together the words so well it was almost as we planned it before but no planning no planning well thank you very much but what's great discussion thank you very much thanks for coming thank you [Applause]