The Power Globalization : A Country 's Domestic Affairs And National Sovereignty By New International Actors Essay

2158 WordsDec 14, 20169 Pages
The power globalisation brings politically is extreme to the point that "globalization is thought to result in the erosion of nation states and national sovereignty by new international actors." (Yeates, 2001). This can be seen looking into transnational corporations and the huge rise of these, to the point that some TNC 's have huge influence of a state due to their size and worth, even to the extent of having a larger GDP than the country they are looking at redeveloping. "TNCs can be caught between competing value standards of political non-interference in a country’s domestic affairs and the pursuit of either activist involvement in such politics or a penalizing withdrawal from the country aimed at forcing changes in the host government’s policies." (UNCTAD, 1999). To the point the state create policies to allow for TNC 's to establish themselves within a given country, which benefits them most due to they have no attachment to government and move freely across the globe. "Since TNCs owe no allegiance to any state, they (re)locate wherever market advantage exists." (Yeates, 2002). Making TNC 's a very attractive investment for states due to the pulling power they bring to a countries economy. If even it means cutting costs in the public sector for example, as the opportunity to have a TNC within the country more be extremely beneficial for the economy and society due to the revenue and employment opportunities it brings. Also see how economic policies are being
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