Power by Proxy: Participation as a Resource in Global Governance

Abstract

Member state participation is essential in global governance, affording international organizations (IOs) legitimacy and translating member state preferences into institutional attention. We contend that institutional leadership positions bolster states’ authority via “proxy representation,” in which states are grouped together and indirectly represented by one leader. We argue that by serving as proxy group leaders, even relatively weak states can obtain greater influence in IOs. We examine these expectations in the context of the IMF’s Executive Board, where wealthy states represent themselves directly while other states belong to multi-member constituencies in which leadership often rotates among members. Focusing on issues related to climate change discussions at the IMF—a key concern for Global South countries and an increasingly important issue in international finance—we examine the extent to which countries’ preferences over climate issues are expressed at IMF Board meetings. Using textual data based on 52,551 internal IMF documents from 1987-2017, we find evidence to support our theoretical expectations; states more effectively advance their preferences when they are proxy leaders — this finding holds robustly even for otherwise weak states. These results suggest that even in IOs with highly asymmetric decision-making, weaker states can gain voice through proxy representation. This has important and positive implications for IO legitimacy, as member state participation is integral to the livelihood of these institutions.