According to a report by the World Economic Forum, the main threat facing the world in 2010 is the possibility of deteriorating government finances leading to full-fledged debt crises. Major economies have responded to the financial crisis by increasing deficits through stimulus packages and underwriting private debt, which has raised concerns in financial markets. Developed nations are at a higher risk compared to emerging economies, which have already taken steps to improve their fiscal situations following previous shocks. John Drzik, Chief Executive of Oliver Wyman, warned that the high levels of debt being accumulated by governments could lead to an increase in sovereign defaults. He warned that increased levels of unemployment could result, leading to social and political risks. The report identified unsustainable debt levels, the looming financial crisis, underinvestment in infrastructure, and rising health costs due to chronic diseases as the top risks. Other threats included potential asset price collapse, risks related to Afghanistan, and a possible slowdown in Chinese growth impacting employment, social unrest, and exports. The report emphasized the danger of developed nations accumulating unsustainable levels of debt, stating that full-blown debt crises would inevitably lead to social and political consequences, including higher unemployment. Daniel Hofmann, group chief economist at Zurich Financial Services, emphasized that government debt levels exceeding 100 percent of GDP, as seen in the United States and the UK, were clearly unsustainable. Investors may become scared and question the sustainability of high debt levels, potentially leading to sovereign debt crises and defaults. Early warnings from Dubai and Greece should not be ignored, as worries over these countries, along with Ukraine, have impacted global markets. The United States and the United Kingdom also face tough decisions in managing their fiscal stimulus to ensure sustained recovery without causing fear of sovereign debt deterioration. The report also emphasized the importance of making long-term decisions on issues like health and pension reform and climate change to bridge the governance gap between short-term pressures and long-term needs. The report stated that not enough was being done to tackle the problem of underinvestment in infrastructure, which could have negative effects on food and energy security. The World Bank estimates that global infrastructure investment needs over the next 20 years amount to $35 trillion. The report also highlighted the increasing financial burden of chronic diseases due to longer life expectancy and unhealthy lifestyles, urging both developing and developed nations to address this issue through prevention campaigns promoting healthier living. According to the report, the biggest risks to the world today may come from gradual failures or creeping risks, as these can have significant long-term impacts that are often underestimated.