In: Economics
Global institutions (i.e. UN, IMF, et al) require the consent and cooperation of their member states. Recently, the United States has withdrawn from several (e.g. WHO and the Paris Climate Accord), threatened to withdraw from others (e.g. WTO and NATO), and choose not to participate in the Trans-Pacific Partnership. Can global institutions effectively carry on without the world’s largest economy, that is, the United States? What might be the alternative consequences for such institutions?
Global institutions such as UN ,IMF etc receive crucial fundings from the United States.When US decides to withdraw this may effect the funds of such world institutions.US remains the largest donor to the UN contributing one fifth of the body's collective budget.By withdrawing from Paris accord the second largest global emitter cold undercut collective efforts to reduce emissions.It will be difficult for the global institutions to carry out their functions effectively without the participation of worlds largest economy.