Michael Spence on global instability

Again, from Project Syndicate (link), a phrase of interest by Michael Spence (Prof. at the Stern School of Business, NYU; link):

'...in a way, the current global environment is a classic case of negative externalities. The localized costs of suboptimal behavior – the ones one might expect to be internalized – fall well short of the overall global costs.'

A interesting analogy.  

The article 'The Global Security Deficit' can be found here.