ECONOMIC REALITIES AND PROSPECTS OF BRICS AND G7.docVIP

ECONOMIC REALITIES AND PROSPECTS OF BRICS AND G7 1 Ioana-Iulica, Mihai , Georgiana, M?ndreci Abstract: In the context of the trends changing the balance of forces in the global economy, this paper mainly highlights the economic, political and strategic influences that the emerging countries, members of the BRICS group, undertake worldwide. The current economic crisis has imposed the enlargement of the debate framework focused on the global issues on the way of transition from the meetings of group G-7 of great industrial powers to the much wider group of G-20, to which the emerging countries also belong. There are also some estimates of the global economic environment for the following decades presented through the deductive analysis. It is expected that this context is highly influenced by the impact of the current crisis on the readjustment of the global spheres of influence. The rise of the emerging states, the change of their share in the global economy generates changes and influences the international decision-making framework. Practically, they are now major players on the stage of the new global order which the U.S. are forced to take into account, although they remain a world superpower. Keywords: emerging countries/powers, BRICS, G-7, balance of power JEL Classification: F01; F43 1. Introduction: From BRIC to BRICS The BRIC acronym, made up of the initials of the member countries (Brazil, Russia, India, China), seems to have been established by Jim O’Neill, expert of the Research Division of Goldman Sachs Group since 2001 to draw attention to the earning opportunities it offers, which the company called emerging markets. In his view, the BRIC group could rival with the G7 group (U.S.A., Japan, Germany, France, Britain, Italy, Canada) by the pace of economic growth, population size and economic potential. The political dialogue between the BRIC nations began in 2006 in New York by the foreign minister