The Past, Present, and Future of Global Economic Governance

Contributor(s): Professor Abraham L Newman, Dr Jamie Martin, Professor Stephanie J. Rickard | The war in Ukraine raises questions about whether states must be ‘strategic’ about their national economic policies due to geopolitical risks. The scramble for supplies to tackle the Covid-19 pandemic, long-term trends of growing competition between the United States and China and the rise of populism had already fuelled geopolitical tensions, along with fears that globalisation is eroding. As a result, some of the global economy’s most prominent players prioritise economic resilience and reshoring global supply chains with ‘friendly’ allied states. The potential outcome is a fracturing of a globalised economy based on these alliances or outright deglobalisation. All of this is culminating in escalating economic disruptions for lower-income countries, with countries in sub-Saharan Africa facing possible default on their sovereign debt. Added to this, the war in Ukraine has caused the most significant commodity shock since the 1970s. International institutions, like the World Trade Organization, continue to defend global trade and the International Monetary Fund and World Bank continue to champion international cooperation to address economic and social welfare. What are the political, social, and economic implications of these challenges for the global economy? How should international laws and institutions address these challenges to economic integration? How do precedents for twentieth-century international economic institution building help us contextualise today’s challenges?