This report examines what countries have achieved in terms of strengthening resilience through better risk management and identifies persisting challenges. It focuses on the importance of creating an institutional environment that engages all stakeholders and allows them to build resilience against future shocks. This report has contributed to the development of the OECD Recommendation on the Governance of Critical Risks.
Table of contents:
Acronyms and abbreviations 11 Executive summary 15 Chapter 1. Boosting resilience to risk and shocks in a time of economic constraints 19 -Introduction 20 -Risk, disruptive shocks, and resilience 21 -Risk exposure across OECD countries 29 -Boosting resilience in a tight fiscal environment 46 -Can governments define “optimal” resilience levels? Is there an acceptable level of risk? 48 -How to achieve “optimal” resilience 51 -Key policy findings 54 -Bibliography 57 Chapter 2. The role of institutions in boosting resilience to disruptive shocks 65 -Introduction 66 -How resilient are OECD countries? 67 -Understanding gaps in resilience: Institutions matter 85 -Financing and deciding on resilience measures 92 -Key policy findings 103 -Bibliography 106 Chapter 3. How to make resilience happen 113 -Introduction 114 -The role of trust 115 -Low-cost, high-return actions to boost resilience 117 -Disruptive shocks can enable future resilience 120 -Towards a frame of reference to boost resilience 124 -Bibliography 126 Annex A: Selected disruptive shocks for assessing OECD resilience 129 Annex B: Disruptive shocks factsheets 133