3 - Steering System

Summary

This chapter addresses the political system that evolved in tandem with the industrial age — liberal representative democracy. It was a system that worked well for a long time, by gradually and cautiously enlarging the right to vote and the influence of the people on government. But today, growing inequality and anxieties induced by the ancillary effects of globalization threaten its survival, giving rise to nationalism and populism, even as politicians increasingly shy away from conveying unpopular messages to potential voters, while at the same time tailoring their policies to opinion polls. In the long run, globalization is beneficial for the political system, the people and the politicians, but the short-term adjustments it demands pose risks of antagonism towards other nations, people and cultures as they impinge on the daily lives of citizens — suddenly the outside world is right next door. Digitalization creates opportunities for social networking, but opens up the danger of social segmentation — making it easy to restrict one's contact with the world to communication with like-minded people, and reinforcing the alienating belief that I am right and everyone else is wrong. Thus, globalization and digitalization presents a challenge, not only to political systems, but to the existing societal structure that keeps societies and communities together. The very nature of these technologies increases the distance between people, and between people and decision-makers, flying in the face of people's natural and time-honoured wish for low power distance.

Political System

Any political system is judged by its ability to “deliver”. There exists an unwritten yet enduring social contract between the people, government and business sector, which holds society together based on an assurance of common interests, social mobility and an equitable distribution of benefits.

Three basic tasks for a political system transcend time and space. Every political system, no matter where or what kind, must deliver basic needs, guarantee human and social security and offer welfare services such as health, old age care and education.

There is a quid pro quo between citizens and rulers. The system must be certain of its citizens' loyalty; confident that in case of conflicts, they can be counted on. That will only be the case if the citizens feel the system fulfils the tasks enumerated above. The rulers must earn this loyalty.