Economic & Political

• Security Council


  • Great powers dominate and use the veto in their interests of that of their allies
  • When they disagree nothing gets done, Cold War and now
  • Is a place to 'grandstand'
  • The US bypassed the security council over Iraq
• Security Council


  • The SC peacekeeping does some good
  • Refers human rights abuses to the ICC
  • Puts sanctions on countries that break the rules, eg North Korea and Iraq
  • The SC is meant to act in the interest of peace thats why it consists of the great powers - who balance against one another
  • But it also has 10 other non permanent members
• General Assembly


  • The GA is a talking shop, its resolutions are voluntary and not mandatory on other members
  • It's annual meeting, of heads of states, is a bit of a farce. Leaders use the opportunity to make propaganda
  • The GA is pretty powerless and cannot pass resolutions on security matters
• General Assembly


  • follows the idea of diplomacy, the more you talk the less you fight
  • Often it can stand up to the SC - eg. Making palestine a non-permanent member
  • it brings countries together
• Economic and Social Council


  • Seats on the Council are based on geographical representation with 18 allocated to African states, 13 to Asian states, 8 to East European states, 13 to Latin American and Caribbean states and 13 to West European and other states
  • Specialised agencies include: IMF, World Bank, International Civil Aviation Organisation, International Labor Office, UN Education, Scientific and Cultural Organisation (UNESCO), United Nations Children's Fund (UNICEF), United Nations High Commissioner for Refugees (UNHCR), United Nations Environment Programme (UNEP)
  • These organisations are run independently however they are directed by ECOSOC
• IMF


  • Aims to encourage global financial stability by offering short terms loans, and it is often also referred to as the 'international lender of last resort'
  • It also is involved in global economic surveillance
• World Bank


  • Focuses on long-term development and provides conditional loans to developing countries
  • The World Bank Group has set two goals for the world to achieve by 2030: End extreme poverty by decreasing the percentage of people living on less than $1.90 a day to no more than 3%, Promote shared prosperity by fostering the income growth of the bottom 40% for every country
  • One of the key areas of focus of the WB is poverty and development
  • Originally, it focused on the reconstruction of the economies' of states impacted by the second world war. it has shifted its attention to the developing world
  • The WB provides low interest loans and grants to developing countries and focuses on capacity building, funding specific development projects such as investing over $3 billion in reconstruction in Afghanistan since 2002
  • It also emphasises ending extreme poverty, having a goal to almost eradicate all poverty by 2050
• Extreme poverty is a standard of poverty that is based on an income level (World Bank measure $1.90 in 2015) - Some have argued it should be $2.00 and others say it should be as high as $5.00 per day
• According to the most recent estimates, 9 percent of the world's population lived on less than US$1.90 a day, compared to 11 percent in 2013. That's down from nearly 37 percent in 1990
• Current WB projects


  • US$ 12.00 million to Gambia to prevent, detect and respond to the threat posed by COVID-19 and strengthen national system for public health preparedness
  • US$ 58.00 million - To increase utilization of quality essential health services, especially for women and children, in targeted areas in the Central African Republic
• IMF


  • The IMF plays an important role in global economic governance by bailing out problem economies
  • It is central in preventing states from falling into economic recessions and preventing economic difficulties in one state from spreading to others
  • This was essential in preventing an extreme economic crisis during Covid-19, with $9 trillion in loans being granted and over 90 countries seeking IMF bailout
  • A further example of where the IMF played a fundamental role was during the aftermath of the global financial crisis in 2008, with countries such as Greece, Portugal, Spain, and Cyprus being unable to bail out their over-indebted banks alone
  • They played a key role in this Eurozone crisis, preventing these European economies from collapsing
  • Therefore, the IMF is not an outdated institution as they play a fundamental role in the response to international economic crises
  • As the world is becoming increasingly interconnected with the rapid economic globalisation of modern day, this role of the IMF is arguably becoming more important and necessary than ever before
• IMF bailout loans


  • Fiscal Discipline (cutting public spending)
  • Tax Reform - cutting personal and corporation tax)
  • Financial liberalisation - deregulation of financial markets and capital controls)
  • Floating and competitive exchange rates
  • Trade liberalisation (free trade)
  • Open to foreign direct investment
  • Privatisation
  • The policy of restructuring an economy is called Structural Adjustment Policies (SAPS)
• 3 'successes' of the IMF

  • Ireland
  • Columbia
  • Vietnam