The Eclipse of Global Elites: How Populism and Trump Toppled the World Economic Forum's Throne

The Eclipse of Global Elites: How Populism and Trump Toppled the World Economic Forum's Throne

DOI: 10.4018/978-1-6684-9290-1.ch004
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Abstract

In an era marked by the rise of populism and the political ascendancy of Donald Trump, this chapter critically explores the diminishing influence of the World Economic Forum (WEF). It investigates how populist movements, fueled by economic nationalism and anti-globalization sentiments, have challenged the WEF's global economic leadership. The chapter examines the transformation of global economic governance, emphasizing the shift from liberal, globalist policies towards more insular, nation-centric approaches. It highlights Trump's role in this seismic shift, particularly his challenge to traditional economic partnerships and institutions. The chapter concludes with an analysis of the future trajectory of global economic forums in the wake of this populist upheaval, questioning the relevance and adaptability of such institutions in a world increasingly skeptical of global elites.
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The Rise Of Populism

Defining the Populist Movement

Defining the Populist Movement requires understanding its core components which, according to Mudde (2007), consist of anti-establishment sentiments, authoritarian leanings, and nativism. Populism is an ideology that posits society as divided between the 'pure people' and the 'corrupt elite', and it thrives on the premise that politics should be an expression of the general will of the people (Mudde, 2007). In recent years, populism has surged as a response to what is perceived as a significant distance between the governance and the governed, with populist leaders claiming to “take back” control of their country’s destiny (Mudde, 2007).

The populist rhetoric has often been studded with an appeal to traditional values, which resonates with a specific segment of the population that feels dislocated amid rapid social and economic transformations (Inglehart & Norris, 2016). Populism's growth has been particularly conspicuous in contexts where the repercussions of globalization and the influx of ideologies that challenge long-standing socio-cultural norms have borne witness (Inglehart & Norris, 2016).

The disputes against globalization are frequently derived from the perception that it benefits only the elite and that the average citizen's well-being has been compromised (Norris & Inglehart, 2019). The populist movement, while often associated with far-right ideologies, is not limited to them. It can also encompass left-wing ideologies that similarly emphasize the sovereign will of the people and a push against neoliberal policies that are deemed to have undermined the welfare state (Norris & Inglehart, 2019).

Populism’s potency in shaping political landscapes has become evident through events like Brexit and the election of leaders such as Donald Trump, which have signified a pushback against established economic cooperation frameworks and traditional political institutions (Inglehart & Norris, 2016). The Brexit vote, for instance, exemplified populism's ability to sway major political decisions, challenging the notion of regional identity and economic integration within the EU framework (Hobolt, 2016).

It is crucial to recognize these shifting dynamics as more than mere ramifications of systemic political failures. They represent a more profound reshuffling of the cultural values and economic priorities of the populace (Norris & Inglehart, 2019). It's a movement that can arguably reconfigure international power structures and question the underlying principles that have guided institutions like the WEF.

The unprecedented surge in populist parties across Europe is illustrative of a broader cultural backlash. Citizens are increasingly aligning themselves with parties and leaders who voice concerns against immigration, multiculturalism, and the erosion of traditional values (Betz, 1994; Mudde, 2007). This trend is challenging the established norms of political discourse, and as such, the role of the World Economic Forum in promoting a multipolar world order based on collective understanding, equality, and respect seems to be undermined (Inglehart & Norris, 2016).

The populist wave's implications for global security and the notion of democracy are profound. It poses a dichotomy between ideological stances that champion national sovereignty and those advocating for increased global integration (Inglehart & Norris, 2016). The rise of populist leaders further complicates the global economic order that the WEF has long envisioned, as they often favor policies that enforce the authority of the state over the free flow of global markets and question established multilateral alliances.

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