Democracy and Systemic Risk

As systemic risks increasingly dominate political agendas, the project delves deep into the core questions that arise when confronting the intersection of democracy and risk: How does the proliferation of systemic risks reshape the landscape of democratic politics? And how can democratic institutions adapt to effectively manage these novel forms of risk?

To address these pressing inquiries, DERISK develops a new theory of risk democracy, departing from conventional models in political philosophy that predominantly focus on individual-level moral considerations. Instead, the project endeavors to illuminate the broader ramifications of systemic risk on political equality, underscoring the need for democratic governance mechanisms to evolve in tandem with the evolving risk landscape. By grounding its approach in empirically-grounded political theory, DERISK aims not only to diagnose the transformative impact of systemic risks on democratic structures but also to construct a normative framework that empowers democratic citizens to navigate these challenges effectively.

Central to the work package is an in-depth examination of the concept of systemic risk and its relationship with other forms of risk.

While systemic risk has emerged as a pivotal concern in political governance, its precise definition remains subject to ongoing debate within risk studies.

DERISK will refine the concept of systemic risk, with a particular focus on elucidating its normative and political dimensions.

Through ananalysis of distributed agency, contagion, endogeneity, and uncertainty, the project aims to unveil the unique characteristics of systemic risks, including their potential for catalyzing low probability, high impact events and their detachment from individual-level risk assessments. This understanding serves as the foundation for revising normative frameworks to accommodate the distinctive challenges posed by systemic risks.

The project seeks to establish a robust set of principles to guide democratic institutions in their response to systemic risks and their governance. It will develop a comprehensive normative theory that can help guide our evaluation of systemic risk governance.

Drawing upon relational egalitarian views of democracy, the project seeks to assess the ramifications of individual risk-taking on democratic institutions and the overarching principle of political equality. By examining the rationale behind coercive political interventions to mitigate risk and as well as the implications of systemic risk governance on disparities in risk exposure, DERISK willoffer insights into the complex nexus of risk, democracy, and equality.