The impact of global influence on peace and stability conditions in G20 countries

Abstract

Peace, cooperation, and stable relations among nations are essential for maintaining global stability. This study applies Power Transition Theory (PTT) to examine how global factors influence peace and stability conditions among G20 countries. It uses 16 years of data (2008–2023) from 19 G20 countries, sourced from the Institute for Economics and Peace (IEP), World Development Indicators (WDI), World Intellectual Property Organization (WIPO), and Stockholm International Peace Research Institute (SIPRI). The Augmented Mean Group (AMG), fixed-effect with Driscoll-Kraay standard errors, two-step difference Generalized Method of Moments (GMM) estimators were employed, as they are well-suited for handling cross-sectional dependence and produce reliable, unbiased results. The findings reveal that economic power, political stability, innovation performance, and military strength positively and significantly influence peace and stability conditions among G20 countries. In addition, the moderating effects of regulatory quality, political stability, and military strength further strengthen these peace and stability conditions. The study recommends that G20 nations prioritize enhancing transparency, accountability, and adherence to international standards, particularly in trade, finance, and environmental governance. Key strategies should include streamlining regulatory processes, implementing anti-corruption measures, and strengthening legal frameworks to ensure compliance with global best practices.