A look at the global balance sheet: how can growing wealth contribute to thriving societies?

Looking at the global economy through the lens of a balance sheet (a tool borrowed from the corporate world), the picture might seem golden. The world has never been wealthier, with net worth tripling over the past 20 years. However, two-thirds of net worth is stored in residential, corporate and government real estate as well as land. How did we get here? As we navigate an uncertain future, how can we ensure that this growing wealth is directed to the most productive and innovative investments – such as increasing and improving sustainability, affordable housing, and digital infrastructure – so that we can rebalance the economy and offer more opportunities to future generations?

This conversation with Jan Mischke, Partner and Research Leader on Europe at the McKinsey Global Institute (MGI) will set the tone for our yearly discussions around a new social contract for Europe.

#CriticalThinking Live is the latest expansion in our #CriticalThinking family, bringing influential voices from across a range of sectors to challenge, inspire and influence current thinking on the biggest issues facing Europe and the world.

Relevant reads:

• Europe 2030 towards a renewed social contract?
• Vision for Europe: What should be in the policy toolbox for the new EU mandate?
• The rise and rise of the global balance sheet: How productively are we using our wealth? (McKinsey Global Institute report, 2021)