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What this open G tuning does is it voices a second inversion G chord, second inversion meaning putting the fifth (D) in the bass as opposed to the tonic (G).

One of the reasons the open tunings are so popular is that you're actually tuning the guitar to an open barre chord and you can just move one finger around to do all the different chords, and in this case with the capo on the third fret it puts the song in the key of Bb.

When you use a capo you should tune your guitar without it and make sure that you're in tune that way, and then simply apply the capo on the fret you want. Otherwise the intonation will be off. This is because a regular guitar is setup to be tuned between open position and the 12th fret, so if your guitar is setup properly it'll simply be like voicing a Bb chord the whole time.

Lesson Info
Instructor Henrik Linde