Geo HL U1 Power, Places and Networks

catergories and # of variables in the KOF index of globalisation

1. social

2. economic

3. political

24 variables

G7/8 countries

Advanced democracies:

US, UK, France, Germany, Italy, Japan, Canda, (Russia joined and was kicked out)

G7/8 roles

• coordinate economic, security, climate developments

• annual leaders summit that publishes a non-binding join communique that signals policy direction

• macro policy alignments

• collective fudning pledges for development

• task force and working groups on a follow up of the projects

G7/8 criticism

• overlapped conflict with other organisations such as G20

• frequent disagreements (one with Trump in the 2018 forum)

• Limited legitimacy/ representation

• No legal force, implementations depend on domestic politics

• Perceived western/ Atlantic bias

G20 countries

19 countries + EU

• represents 80% of the world’s GDP and trade

G20 roles

• coordiante responses to shocks

• agendas on macro developments of the economy

• moolise collective initiatives sucha s debt service by makign action plans and standards

G20 criticism

• often has difficult agreements

• commitments lack timeline ad enforcement

• rotating presidencies break continuity and priorities, damaging relations and power dynamics

• overlaps with existing institutions, blurring accountability

What does OECD stand for?

Organisation for economic cooperation and development groups

OECD members

high income democracies, 38 countries

OECD role

• devlopemnets policy advice on governance based on evidences

• conducts peer reviews to ensure good practices and support rreform

• uses flgaship indicators and assessments

OECD criticism

• membership and data used favors HICs

• relies on peer support and reputational efforts, no legal enforcement

What does OPEC stand for?

organisation of the petroleum exporting countries

OPEC members

12 major oil exporting countries such as venezuela, iran, iraq

OPEC roles

• coordinate crude output to influence and stabalise global market

• monthly market reports and outlooks

• ad hoc meetings to respond to shocks

OPEC criticism

• price manipulation and transferring welath

• fraught alignment with climate goals

• strain between fiscal needs and affordibility for importers

• quota cheating

What does the IMF stand for?

International Monetary Fund

IMF role

• UN affiliated fiancial institution

• provides crisis fiancing during shocks

• for countries that cannot meet payments

• stablises global exchange rate

IMF criticism

• funding isn’t efficient

• favors advanced economies

• concerns of transparency

BRICS countries

brazil, russia, india, china, south africa

BRICS role

• Coordinate on finance, trade, development and global governance reform

BRICS criticism

• recently more political tension limit cohesion

• Uneven implementation capacity

What does NDB stand for?

New development bank

NDB role

• multilateral created by BRICS

• mobilize capital for infrastructure and sustainable development

• provide a voice for the global south

• technical assistance and policy dialogue

• provides contingent EM assistance

• Green and sustainability bonds to raise funds

NDB criticism

• small balance sheet and limited track record

• sanctions and geopolitical tension

• uneven implementation capacity

2 examples of material flows

Iron ore: Australia —> China, Asia

Oil: Middle East —> EU, Asia

2 examples of manufactured goods flows

Electronics: East asia —> US, EU

Textiles: Bangladesh, Vietnam —> US, EU

2 examples of service flows

Finance service: US, UK, Singapore —> global

Businesss service: India, Philippines, EU —> US, EU

4 chokepoints and their locations

1. Suez Canal (asia and EU)

2. Strait of Malaca (India and pacific countries)

3. Panema Canal

4. Subsea cables

2 machanisms of ODA

1. bilateral: country to country

2. multilateral: pool of funds distribute by an agency

4 terms of sovereign loans

1. interest

2. maturity

3. grace period

4. currency

4 mechanisms of debt relief

1. Paris club: official bilateral creditors

2. HIPCS

3. Market opeartions: reprofile terms, cut principal

4. standstills/ moratoria: temporary payment pauses

3 types of remittance transfers

1. formal

2. informal

3. transfer models