Analysis of Democracy Performances of G7 Countries: An Application With Psi Method

Abstract

With the advancement of democracy in a country, sustainable development, innovation, economic growth and progress can be achieved. Therefore, the progress of major economies in democracy can influence the global economy. In this context, the research measured the democracy performance of G7 countries, which account for more than half of global capital, using the Democracy Index (DI) components data created by The Economist Intelligence Unit (TEIU), the most recent and up-to-date data available, through the PSI multi-criteria decision-making (MCDM) method. According to the PSI (Preference Selection Index) method, the democracy performance of countries was ranked as Canada, Germany, the United Kingdom, Japan, France, Italy, and the USA. Furthermore, the average democracy performance value of countries was calculated, and it was observed that the countries with performance lower than this value were the United Kingdom, Japan, France, Italy, and the USA. Therefore, it is considered that the countries with lower-than-average democracy performance need to improve their democracy performance to contribute more to the global economy. Additionally, according to sensitivity, comparative, and simulation analyses in the research, it was concluded that the democracy performance of countries can be measured using the PSI method within the scope of the DI.