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Leading Democracies Struggle to Govern in an Era of Subscribers Only Content

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The World’s Leading Democracies Are Struggling to Govern

The G7 countries, which include some of the world’s most advanced democracies, are facing a crisis of governance. The leaders of these nations are struggling to maintain stable governments, and it’s not just due to local issues. Two major factors are contributing to this problem: the decline of the political center and the rise of populist parties, as well as a fiscal squeeze caused by slow growth, aging populations, and increased defense spending.

In Japan, corruption scandals have weakened the Liberal Democratic Party (LDP). In France, President Emmanuel Macron’s government was brought down after it tried to cut spending and raise taxes to combat a budget deficit. Similarly, in Canada and Japan, the difficulty of finding money in tough times played a significant part in their respective political crises.

The Role of Populism and Fiscal Problems

Populist parties are gaining strength across the G7, making it harder for governments to find common ground. In France, for example, the far left and far right have a large presence in parliament, making it difficult to broker compromises. Even when a government has a majority, as is the case with the UK’s Labour Party under Prime Minister Rishi Sunak, tax rises can contribute to falling popularity.

The fiscal squeeze is also a major factor. Governments are struggling to balance their budgets due to slow growth, aging populations, and increased defense spending. This makes it harder for them to implement policies that benefit all citizens.

The Influence of Donald Trump

The return of Donald Trump to the White House will likely contribute to the atmosphere of political instability across the G7. Rather than trying to help out his democratic allies, Trump and his favorite, Elon Musk, seem to enjoy piling on the pain. The MAGA Republicans particularly like baiting center-left leaders such as Canadian Prime Minister Justin Trudeau, German Chancellor Olaf Scholz, and UK Prime Minister Rishi Sunak.

Trump has gone out of his way to humiliate Trudeau, referring to Canada as America’s 51st state and its prime minister as its "governor." Musk has made headlines across Europe by posting on X: "Only the AfD can save Germany." He has also held a well-publicized meeting with Nigel Farage, the leader of Reform in Britain.

The Rise of Nationalist Parties

Far-right and populist parties are gaining strength across the G7. In Germany, for example, the Alternative for Germany (AfD) party is currently ahead of the Christian Democratic Union (CDU) in the polls. These parties now have a friend in the White House, thanks to Trump’s support.

However, this friendship could backfire at times. Nationalist parties such as France’s Rassemblement National have a strong anti-American tradition and will be wary of looking like tools of rich foreigners.

Conclusion

The world’s leading democracies are struggling to govern due to two major factors: the decline of the political center and the rise of populist parties, as well as a fiscal squeeze caused by slow growth, aging populations, and increased defense spending. The influence of Donald Trump will likely contribute to this instability, creating a situation where leaders of America’s closest allies come to regard the US president not as a friend but as a dangerous political enemy.

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