The Political Economy of Geoeconomic Power

Christopher Clayton, Matteo Maggiori and Jesse Schreger

AEA Papers and Proceedings, 2025, vol. 115, 588-92

Abstract: Great powers are increasingly using their economic and financial strength for geopolitical aims. This rise of "geoeconomics" has the potential to reshape the international trade and financial system. This paper examines the role of domestic political economy forces in determining a government's ability to project geoeconomic power abroad. We also discuss the role that persuading or coercing foreign governments plays in projecting geoeconomic power around the world.

JEL-codes: D72 F10 F30 F50 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1257/pandp.20251040

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