Essay on The Role of Local Governments in the Global Economy

Analyzing this source, we should fully embrace the perspective it is portrayed because internationalism allows people to work in less developed countries around the globe offering security, economic stability and many other factors with the rest of the world thus making nations more interconnected with one another. The source states that combining global corporations with a strong effort, we can hope to solve many complex issues that threaten a nation-states safety as well as the well-being of all people. International cooperation To address global issues, would require a need of a strong majority of nation-states that are willing to protect civilians, bring economic stability and as well benefiting the countries both ways. This source is showing that though Conflicts and issues, they can be resolved more effectively with the help of nation-states; to accomplish this we would require nation-states to expand the scope of their interests to include the well being of all people. The source is adapting the ideology of internationalism allows us to help less developed countries with crucial issues as well has benefited by having the country providing aid grow and prosper. A factor that plays a role in international cooperations is foreign policy, foreign policy is best defined as a set of political goals that seek to show how a particular country will interact with other countries of the world. These foreign policies are mainly designed to help protect a country's national

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.

Over the years, the World Trade Organization (WTO) has prided itself as the central element in the international economic management system across the world. This system incorporates other international bodies such as the World Bank, the International Monetary Fund as well as a series of other regional trade regimes that are growing. Collectively, these structures provide a mechanism that addresses international economic interdependence as well enhancing economic interactions that offer the promise of maximizing social welfare across the globe. These aspects have been brought about due to the focus given in the post-Cold War era where international relations have evolved beyond a narrow emphasis on politico-military affairs.

Integration encourages a stable international arena by developing state economies and encouraging foreign trade. Karl Deutsch, a political scientist, states, “Integration means that a ‘sense of community’ has been achieved; people have come to agree that their conflicts and problems can be resolved ‘without resort to large-scale physical force’” (Jackson and Sørensen 103). The transnational ties lead to a secure community, which means a group of people have become integrated. Once integration is reached and the sense of community is formed, that group of people can handle the conflict and problems on their own rather than needing a lot of outside help to resolve the issue. This allows for, “Interdependency and collaboration transfer loyalty from the state to the transnational organization leading to economic interdependency” (Class notes 9/28). Since one state has economic interests in another state it facilitates greater trust and cooperation because that one state would not go to war with the other state

The development of international relations in the ancient world initiated the creation of theories on how the international system works. These theories over time have been backed by evidence and experience. The two theories that were created to govern international relations include realism and liberalism. Each of these theories ultimately have a common goal, which includes protecting the national interest of the state. For many, national interest includes: military security, and influence over other states, to name a few. Since national interest is broad and pertains to many states, it is common for many states to have the same national interest. What would cause them to differ however, is their approach to protecting and governing their

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.

Globalisation is the complex of processes that result in an increase in the interconnection of state through economy, politics and culture. Globalisation and increased state interconnectedness have been present since the late 1940s until today. Globalisation through the ages is seen through the Long Boom, the world wide recessions, neoliberal revival and neoliberal hegemony (Cerny, Menz and Soederberg, 2005: 7/8).

Free trade with minimal state intervention is the key tenet of neoliberal ideas driving most international organizations. In the contemporary world characterized by open markets, US hegemony, international organizations, regional cooperations and large inflows of foreign aids and technologies in economically less developed states, national governments are increasingly constrained in formulating and implementing policies that are deemed appropriate for their citizens.

The theory of globalization today is a field of intensive debate as the efforts towards defining globalization most often highlight its individual aspects. According to Held and McGrew (1999), “globalisation is an idea whose time has come, yet it lacks precise definition”. Despite the ambiguity of the term “globalisation,” the use of the term, according to Held and McGrew, reflects increased interconnectedness in political, economic and cultural matters across the world creating a shared social space. Given this inter-connectedness, globalisation may be defined as: “a process which embodies a transformation in the spatial organisation of social relations and

“Globalization has produced a new of level of interdependence among us. The economy and multinational supply chains do not abide by political boundaries. A computer ordered in Brazil is designed in California and assembled in several other countries. Economic integration was the first strong evidence of a new era” – Eduardo Paes. It can be seen now that globalization is something that cannot be stopped. This process of international integration has come as a result of an interchange of world views, ideas, product, and other aspects of different cultures. The rapid development of transportation and telecommunication and furthermore the internet, has boosted globalization greatly and as a result a greater interdependence of economic and cultural activities. Interdependence is one the main factors of the economic welfare of the countries. Both regional and international organizations preach this idea among their member states and this is one of their main objectives. Nevertheless regional and international organizations have different geographical areas of operations and different laws which at some cases might result into conflict with each other. Both the European Union and NATO, in which I’ll focus my essay on, show proof that there might be cases where the UN’s and international law’s influence is nullified. I believe that regional organizations should be in a continuous cooperation with the international organizations, but it should be regional organizations as the

While the nation-state was quite the popular and quite progressive, as it brought about a sort of union between the social, political, and economic facets of life, back in its heyday a few hundred years ago, its importance has lessened a great amount in the past few decades. Globalization has indeed undermined the importance of nation states as it takes three facets of life that were once unified under a nation-state and expands their horizons past the physical boundary lines to the rest of the world. However, globalization has not completely weakened the nation-state as it still retains, and most likely will continue to retain its sovereignty along with its authority over military defense, foreign policy, and a large portion of domestic issues (Rigby, “Globalization and The Nation-State”).

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

Rodrik describes an impossible trilemma of the global economy, torn between hyperglobalization, the nation-state and democratic politics. Rodrik prefers the sacrifice of hyperglobalization rather than that of the other two, placing particular emphasis on national soverignty.1 He desires to retain the nation-state as an important institution in economic affairs on the basis that too much diversity exists globally, and it is essentially impossible to reconcile different values. The overly homogenizing effect of the WTO, and its assumption of powers traditionally afforded to the state apparatus have

Do economic markets and state governments share an adversarial or symbiotic relationship? Scholars of International Political Economics have been at odds over what role, if any, the state should have in the International Economy. Despite such disagreements, most scholars can concur that IPE is ultimately concerned with the ways in which states shape the systems through which economic interactions are expressed, and conversely the results that economic interactions (including the power of collective markets and individuals acting both within and outside them) have upon political structures and outcomes. The relation between states and markets in the international scene, and whether, the relationship at home affects relationships abroad, is of great importance. One contemporary in particular Ian Bremmer has attempted to explain this relationship in light of the latest economic recession, and what impact the state should have in the future. In his book titled The End of the Free Market Bremmer believes that the Free Market Capitalism which has been a staple of American Economic prosperity is still the system that will provide for innovation and the free flow of ideas, information, people, money, goods, and services (Bremmer,183-184). Countries like China, Russia, Brazil, Mexico, and regions like Southeast Asia and Africa have all converted from command economies to a degree into state capitalist countries. These countries have all experienced the positives of the free market

Although it is right that globalization promotes free trade among the states and unites them, but there are also negative outcomes, which states whether rich or poor try to protect their own interests? These negative outcomes of globalization have made the dependency theory significant in describing the state of affairs in the present world. Poor countries attempt to protect their national markets and become self-reliant (Hewison, 1999). Self-reliance can be seen as supporting a strategy of controlled relations with the world economy. Poor nations should only approve relations on the condition that the relations will enhance the societal and financial well being of the larger population. However, endeavour by the peripheral states to oppose the impact of dependency can result in results in financial sanctions and/or military attack (Sen, 2010). One example of such resentment against globalization is “localism“that surfaced during the financial crisis in Thailand (Hewison, 1999). Localism is an illustration of populist response to the changes and disparities created by globalization. Localism gained substantial energy from the Thai King’s speech in 1997, where he recommended a self-contained economy to counter the negative effects