The Importance Of Globalization

Rostow's suggests that development is seen as an evolutionary process that countries progress up a ladder, his five-stage model;

In the current international economic system, the behaviors and interactions of emerging states indicate that the previous norms of an open, global, and liberal international economy are being replaced with their own interests, which Stewart Patrick as well as Andrew Nathan and Andrew Scobell examine in their articles.

Thus far, I have laid out some of the most important arguments in the extant literature on the East Asian Miracle with particular reference to South Korea. In this section, I integrate the preceding two sections on the existing literature and propose an alternative theory. In brief sum, the existing developmental state literature, including that specific to South Korea, argues that the developmental state causes economic growth through export-led industrialization. I reverse the order of two links in that theoretical chain. Specifically, I argue that the developmental state does not give rise to export-led growth. In fact, it is the inception of the export-led growth strategy that gives rise to the developmental state, which emerges as a

However, the Second World War brought about an entire change. With the defeat of Germany, Italy and Japan, the inter­national focus of powers moved from Europe to the United States and the Soviet Union. The European provincial forces were weakened to the point that they could no longer keep up their abroad states. With decolonization a substantial number of independent countries experienced growth in Asia and Africa.

In the book Prosperity and Violence, the author Robert Bates reveals the relationship between political structures and economic exploitation. Bates did an outstanding job highlighting the ways the early states in Europe came forth, but his argument had some weakness. Bates shows how in the post World War II era, many of the countries of the Third World gained their independence in the heart of the split of the Cold War, which both the Soviet Union and United States were in search for allies around the world to destabilize the position of the other country. Bates argues that in undercutting the process of state development, both the Soviet Union and United States had to offer exploitation assistance to gain alliances with the new and poor country in order to generate legitimately functioning economies, which I seem not to be convincing. Lastly, Bates argues that the increasing of new cities promoted prosperity, which brought economic growth not only in the urban centers, but also in the countryside, which I believed was logical.

The timing of industrialization does affect the economic development strategies pursued by states. We have states, like Brazil, who were late developers trying to play catch-up, and then we have other states, like Japan, who were early developers always ahead of the game. These two states have grown to become some of the largest states in the world today, nevertheless, the timing of its’ industrialized growth has made a difference of how these states maintain and control their economic development.

Globalisation is a phenomenon that has been increasingly used in the lexicon since the latter half of the 1980’s, achieving widespread and common currency amongst politicians, political analysts, academics, economists, the media, business, trade and finance. The term has become synonymous with the “global village” concept, where nations and states are drawn closer together; where economic, political and cultural spheres extend across the world’s major regions and continents. A world where development in one part of the globe will impact life in another part of the globe.

The creation of new modern-states saw hope for better international society, marked not only by economic exchange but also by political cooperation after the dilution of superpower deadlock. The collapse of Soviet Union led to the formation of modern states - states with liberal, representative democracy constituting the network of transnational development and interconnecting global society. Goods, Capital, People, Knowledge, communication, weapons, crime, beliefs rapidly moved across territorial boundaries (McGrew, 1992). As rightly said, “Today, these modern-states

Globalization is the proximate and multidimensional set of political, economic, social, and technological integration around the globe. The increasing interconnectedness among countries can be seen through the prism of globalization. Essentially, the lives of people living in distant cities like Bangalore and Silicon Valley are brought closer as a result of this phenomenon. Drivers of this adjacent include; the expansion of trade, technological exchange, labor movement and investments (Stearns 2017). The discourse of globalization encompasses several multidisciplinary themes. The paper, however, concentrates on the economic factors, “which, entails the closer economic integration of countries of the world through increased flow of goods, services, capital and even labor.” (Stiglitz 2007: 4). The paper focuses on economic globalization and elucidates whether the globalization has reduced poverty and inequality or had reproduced the reversed implications. Meanwhile, the paper reveals if the developing world has benefited from the set. This seems to be the central question that policymakers, development economists, and politicians have been grappling with for years. The paper is presented in three parts. Part one reflects on the historical context of the problem statement. The second part compiles literature and juxtaposes with cases to corroborate the globalization-poverty-inequality triangle. Finally, the conclusion represents the author’s viewpoint on the

Economic nationalism is one of the characteristics, which has been observed in successful developmental states.

Recent developments in the global economy would seem to suggest that it is in the interest of states to be integrated into the global economy, although it is also obvious that most would like to do so in the most beneficial and equitable ways. The increase in the number of states seeking membership in the World Trade Organization is perhaps evidence enough that states, whether developed or underdeveloped, democratic or non-democratic, want to play a role in the World Liberal Order. The circumstances under which states are influenced to be integrated into the global economy

Kohli identified Cohesive-Capitalist state in South Korea as being the most effective in fostering industrialization because of its centralized cohesive state authority and close relationship between the state and the capitalist class. The Neo-patrimonial state in Nigeria is characterized by a weak decentralized authority and consists of a corrupt relationship between the state and the private sector, which makes it least effective. The Fragmented-Multiclass state in India consists of a fragmented state authority and a broader class alliance which falls in between the two other states (Kohli, 2004). Successful state intervention can be identified by different methods of state intervention aimed at promoting industrialization. Ultimately, the role of different types of colonialism, state intervention, nationalist movements, and state commitments, effect state development in the developing world.

Twentieth century East and Southeast Asia showed remarkable achievements in terms of state formation and economic development. Many countries in Latin America failed to create developmental structures that allowed them to develop economically. Meanwhile, their Asian counterparts, the “East Asian Tigers”, (Vu,2010) were able to establish structures that have allowed them to become world powers as is especially evident in the case of China and Japan and establish stability within states. The relative success of state formation in this region is important because it helps to understand what factors lead to the creation of stable developmental states with the ability to compete worldwide.

State building: Briefly, it’s the development of a more centralized rule. It is the ability of the political centre to penetrate the periphery in other to make its presence felt and to maximize political authority (Agi, 1999). While nation-building has to do with horizontal relationship, state building deals with vertical relationship.

For this reason, state was not just entitled as a provider of assistance and supervision for industrialization as it was manifested in Japan, South Korea and Taiwan; but its role was protracted as an authority on all operational settlements including technological improvements or adaptations and position and spectrum of the operation itself (Narang, 2012).