GLOBAL ECONOMIC GOVERNANCE: A NEW G20 REGIME?

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Since the onset of the current economic crisis, a global debate on the regulation of the new economic reality has intensified. Starting with three basic assumptions (the Westphalian system of states, national policies and its hard-law norms), the paper will examine the activities of the Group of 20 towards developing a new global economic regime, from the aspects of the regime theory and global governance concepts. Upon analyzing three distinct models of transnational governance, the paper will show the relevance of soft law in successful implementation of new global norms. INTRODUCTION The current economic and financial crisis has resulted, inter alia, in various ideas, plans and proposals how to revise the existing structure of or devise a new, global economic management model. Despite of a plethora of the ideas, stemming from multiple and diverse interests, not many of them have been elaborated afterwards. However, most of the proposals converge around two basic dilemmas: how to create a governing /managing structure and norms for the global economy, and how to devise a system to have the agreed norms implemented in practice. Should this integrated and interconnected world be regulated by one global authority or a group of national authorities who would agree on basic regulatory aims and principles – thus avoiding or better managing future crisis? This paper will examine the efforts of international community, exemplified by the Group of 20 (G20), since the beginning of the crisis in order to challenge three basic but common pillars of the traditional governance concepts. First, the Westphalian order and system of states still dominates both practice and theory of international relations. So, the issue is whether the nation st... ... middle of paper ... ...ss of the European Community Law: Institutions, Processes, Tools and Techniques”, in: Terence Daintith (ed.), Implementing EC Law in the UK: structures for indirect rule, Chichester, West Sussex ; New York : J. Wiley, 1995. Sorensen, Georg, “What Kind of World Order? The International System in the New Millennium”, Cooperation and Conflict, 41, 2006, p. 343-363. Trubek, David, M. Cottrell, and Mark Nance, “Soft Law Hard Law and European Integration: Toward a Theory of Hybridity”, University of Wisconsin Legal Studies Paper, No. 1002, 2005. Underhill, Geoffrey and Xiaoke Zhang, “Norms, Legitimacy, and Global Financial Governance”, WEF 0013, 2006, London: University of London. Vuletić, Dominik, “Pravni aspekti Lisabonske strategije i budući izazovi-razrada s motrišta pravne prirode mekog prava (soft law)”, Zbornik Pravnog fakulteta u Zagrebu, 3/2011, Zagreb, 2011.

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