Emerging Risk Governance

Today's complex,interconnected environment has created unknown risks and has changed the characteristics of the traditional risks.The concept of emerging risk has gained increasing attention these years.Emerging risks are unknown,systemic and extreme.It can rapidly spread across geographic,societal and organizational boundaries,bringing enormous and unpredictable damage.Emerging risk challenge the current risk management framework,and call for new type of risk governance.Not only the governments,but also the society,market,international organizations should participate in the flexible risk governance.While the governments play the role of guider during the risk governance process,their attitudes toward risks and the governance methods adopted will influence the actions of other subjects directly.Most of the financial risks have the characteristics of emerging risk,for example the illegal debt issuing by local governments,the fraud cases from internet finance,the disorder inside financial institutions and the real estate finance bubble.Finance can affect the whole economy and social development to a large extent,and thus,defining the financial emerging risks and resolving the risks are essential to ensure economic and societal security.It is also an effective way to analyze the governance of emerging risks in China.This paper concludes and analyzes a large volume of research papers related to emerging risk and risk governance,establishing a reasonable framework for emerging risk governance,suggesting using knowledge accumulation,co-work among subjects and assemblage of resources to conduct the governance work of emerging risk.The dissertation utilized an evidence-based research approach in order to synthesize a new alternative framework for understanding and managing emerging risk.This paper use the finance-related reports from People's Daily to form a database,and use content analysis to obtain the policy change path,governance network and policy instruments.The conclusions from evidence-based research are,(1)it usually takes governments quite a long time to accumulate the necessary knowledge to define and resolve emerging risk.This process is unavoidable,and the weak background knowledge among emerging risk results in difficulty specifying risks itself.(2)the primarygovernance network has formed,but it includes fewer subjects and is insufficient in terms of flexibility.(3)there are fewer governance instruments utilized by society and market in current governance framework,and thus,the assemblage of resources is weak.Prevent and defuse emerging risk are the key to ensure national security.It is necessary to set reasonable goals and designing emerging risk appraisal system.Besides,the governance subjects should work for an inclusive and adaptive governance network,with free flow of information,knowledge and other resources cross boundaries.Also,the participation of society and market is meaningful,and the education of risk awareness plays an important role in risk governance.