Between collective action and a fragmented political economy: the G20 and the return of protectionist impulses

Not unlike the 1930s, the current state of global economic governance is marked by a vacuum of leadership as neither traditional leading states nor emerging economic actors have proven able or willing to coordinate collective action. This interregnum has allowed space for the G20 to emerge as a calibrating force for the maintenance of a liberal economic order. Protectionist impulses, however, are increasingly emerging victorious as unemployment and domestic interests drive political action. The stabilizing presence of the G20 is thus tested in an environment privileging divisive domestic-oriented forces allowed greater space under conditions in a fragmented post-hegemonic global economy. These spaces for domestic concern, and the receptiveness of policy leaders to them, represent a return to the promise of embedded liberalism and away from the era of hyper-liberalization that has marked the past several decades of broadly measured economic growth.