Question 1 Part A
The chapter chosen by me is Disorderly Climate Transition and this has been the hottest topic of the decade on account of increasing global pollution. The global temperature is expected to increase by 1.8C and $ 130 Trillion private capital has been committed globally for carbon neutrality. The topic speaks about changing climate change and how these change is irreversible. It also show how globally countries are taking active steps to reduce the impact. It shows how more active steps and concern is required to further reduce the Green House Gas Emission in the environment to zero. Also, the report discuss on how the covid has been boon in disguise for climate and globally the pollution level dipped during the world.
Question 1 Part B
The discussed risks/threats are considered relevant by the GRR author as these are the issues which shall disrupt the global environment and global economic balance. The issues are presently eroding the global balance and disrupting the process flow. The issues highlighted encompass pandemic continuance which shall cause further poverty, unemployment issues thereby disrupting the social and economic balance in the country. The second issue highlighted is slow recovery of economy which may result in first concern being highly traumatizing. It may lead to break of social order and cause increased issues globally.
Besides, the risk identified covers all aspects whether the same is economic, social, geographical, ecological etc and thus the Global risk report encompass a holistic overview of all the risk involved and thus this risk are considered relevant. Further, these risk may impact the future course of action globally and shall result in new social order.
Question 1 Part C
The ten risk identified are climate action failure, extreme weather, loss of biodiversity, Social Cohesion erosion, loss of livelihood, Growth Of Infectious Disease, damage to environment, crisis in natural resources, debt crisis and geo economic confrontation.
The climate action failure is imminent and the changing climate is the outcome of the same. Extreme weather is complex category and there has been case of drastic change in weather conditions. Loss of biodiversity is third in the scale and there is global erosion of flaura and fauna and the risk is imminent. There has been erosion of social cohesion and the nuclear families have become common, the threat is ambiguous. Loss of livelihood in the event of pandemic has been imminent and threat was common.
Damage to environment has become common phenomenon with increase pressure on natural resources causing its crisis.
The geo economic confrontation is common today and has resulted in war between Ukraine and Russia. Thus, major threats results are imminent and are felt in our daily lives.
Question 1 Part D
The risk factor has been undervalued encompass the geo political confrontation along with geo economic confrontation. These risk has become more common in the wake of Russian invasion of Ukraine. The report ranked this risk at much below degree while this risk is very high as seen in the present scenario wherein the global balance has been shifted and has deeply impacted the livelihood of the people across the country. The geo political tension has been undervalued in the report and should be promoted to rank of 4 or 5 in the list as these risk has much more immediate and long lasting impact. Also, debt crisis has been undervalued and is looming on various economy. Fall on any major power shall erode the global wealth and may again create situation of global financial crisis of 2007.
Question 2 Part A
The model shall be based on regression analysis and shall compute the coefficients of social status recognition and social status non recognition on the overall utility. The model shall be presented as under:
Utility = Intercept+ beta 1 * Number of social recognition+ beta 2* Number of social non recognition
Beta 1= Coefficient of number of social recognition
Beta 2= Coefficient of number of social non recognition