Lecture Notes: Economic Global Governance and the G7

Overview of Economic Global Governance

Discussion on the global economy and its governing institutions.
Focus on financial institutions like the World Bank and IMF, and trade institutions like WTO.
Importance of understanding roles, significance, strengths, and weaknesses of these institutions.

G7 (Group of Seven): Represents the seven largest economies in the world.
Members: United States, Canada, United Kingdom, France, Germany, Italy, and Japan.
- Non-enumerated member: European Union (particularly influential prior to Brexit).

G8 to G7 Transition:
- Russia was a former member, making it the G8.
- Expelled in 2014 due to the annexation of Crimea.
- Ongoing geopolitical issues with Russia, including the 2022 invasion of Ukraine.
- No signs of Russia rejoining due to its expansionist policies and conflicts.

Meetings: Annual summit meetings to discuss global governance, economic, and social issues.
Topics Discussed:
- Economic governance and international relations.
- Environmental sustainability and climate change.
- Human rights and socio-economic issues.
Outputs: Statements of intent published post-meetings, but no binding authority.

Debt Relief: 2005 agreement to forgive over $40 billion in third-world debt.
- Part of efforts to reduce global poverty.
- Focus on debt owed by the 18 poorest economies.

North-South Divide: G7's role in perpetuating economic disparities.
US Policy:
- Trump administration's less cooperative stance.
- "America First" policy led to trade tensions, especially with China.
- Disagreements over Russia's readmission.
China's Exclusion:
- Despite being the second-largest economy, China is not a member.
- Exclusion due to China's low nominal GDP and illiberal government structure.
- G7 membership requires a liberal democracy.

The G7 plays a critical role in shaping global economic policy but faces challenges and criticisms.
Ongoing evaluation of its impact and relevance in addressing global issues.