The ‘Future of Design’ team has researched and developed a future scenario where technological dependence has become a core part of people’s lives and these people, due to this technological dependence, will lead very individualistic lifestyles separated from more traditional group living environments.
By conducting a S.T.E.E.P (Social, Technological, Economic, Environmental, Political) analysis of this scenario we envisioned, we could develop our presentation for this future so it could be better understood by our peers and tutor. This post will focus on the Economic element of this analysis and look in detail at the research and proposed economy of this future scenario of 2050.
Between 2015 and 2050 the world’s economy has been through many shifts in the way it functions. The largest of these changes is the size of the economy. The growth rate has been at an average of 3% per year, doubling in size in 2037 and almost tripling today in 2050.
While the rate of economic growth has been on a consistent up trend, there has been an overall slowdown in global growth in population. In 2020, large countries like China have slowed down to a more sustainable rate of population growth that could be managed and supplied for more easily. Through various structural reform programs, India has become the second largest global economy behind China. This has created an economic power shift from more established and advanced economies in North America, Western Europe and Japan to these new economic giants.
These advanced economies have entered a new stage of structure. Since 2015 they have moved from a service skilled based economy to a quaternary and information based economy generating GDP through the sharing and creation of information in the form of Big Data and Education.
With the growth of these new industrial super powers becoming more prominent in the world economy, their populations begin to obtain higher levels of disposable income. This has led to a high possession rate of personalised devices and wearable technologies throughout the world.
From this growth, 80% of the Chinese Population and 76% of the population of India own a smart wearable device that is connected to the global network of data collection set up through Apple and Android during the data revolution of 2020. 86% of people living in North America and a staggering 92% of those living in Japan also own at least one wearable smart device in 2050.
With these smart devices of 2050 we can manage a majority of the aspects of our economic lifestyles. This includes managing our working times, income earnings, banking, purchasing, saving, stock exchange, taxes, paying and organising bills and monitor our spending.
These devices also optimise the economies production by determining what our recommended careers are. This pays a major role in employment in 2050 with employers looking to optimise their working force. Countries that utilise this technology have seen high levels of stimulation in their economies and rates of work.
More people now have the ability to work from home on their devices. This allows them to manage their work times and economic activities at any time of the day in any location. With one third of the world’s population working from their smart device it has become difficult to find an average for the number of hours worked by people in various countries.
In the specific location of Sydney Australia, these trends in economic change are very prominent. 89% of the population owns at least on wearable smart device and 46% of these users work from their device as well as manage their working hours using their device. Almost all spending is now done digitally as well as all banking transactions throughout the city. Products and services a predominately purchased through online means and any products shown in stores are also purchased with smart devices.
This portrayal of the 2050 economic state of the world has been developed with a combination of researched materials, as well as discussed thoughts about where this research could lead us into the future.
PCW, 2015, The World in 2050, United Kingdom, viewed 6/9/15, <http://www.pwc.com/gx/en/issues/the-economy/assets/world-in-2050-february-2015.pdf>
PCW, 2015, Our World in 2050, United Kingdom, viewed 6/9/15, <http://www.pwc.com/gx/en/issues/the-economy/the-world-in-2050.jhtml>
ICEF Monitor, 2015, Global economic power projected to shift to Asia and emerging economies by 2050, viewed 6/9/15, <http://monitor.icef.com/2015/03/global-economic-power-projected-shift-asia-emerging-economies-2050/>