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  • Essay / The impact of globalization on interstate relations

    "Globalization, both as an ideology and a process, has become the dominant political, economic and cultural force of the 21st century." Quote from “Globalism: The New Ideology of the Market” by Manfred D. Steger, page 6 One of the biggest questions currently being asked in international politics seeks to determine the role that globalization plays in the world and its effects on relations between states. Although there is debate about the extent to which globalization is occurring and influencing international relations, there is no doubt that countries are becoming more and more integrated. Mere integration, or “exchange across borders,” however, is not the same as globalization, which involves “elimination of barriers.” Although globalization has many dimensions, economic integration is of particular interest because it holds the most promise for preventing future wars. The period preceding World War I was characterized by a similar period of economic integration which led political scientists, such as Norman Angell, to speculate that war had become impossible, but only a few years later World War I broke out . In order to determine whether the war will again halt the processes of globalization and economic integration, one must compare the foundations of economic integration before the war and its resulting collapse with current economic integration. In doing so, we see that the creation and maintenance of international institutions from World War II through the Cold War to the present set standards of behavior, encourage international debate on ideas, and promote democratic values, all of which help prevent future war. However, the main reason why states join such institutions is economic benefit in the form of reduced tariffs and the absence of... very few wars between the United States, Japan and Europe since the Second World War. creation of these institutions (Ikenberry, 251). There is, however, a limit to the extent to which international institutions can influence global markets. International institutions are reluctant to develop general rules on the liberalization of foreign investments, because such rules would be dangerous for developing countries (Abdelal, 343). While open markets promote growth in developed countries, developing countries must divert resources from the more immediate needs of their citizens.6 In fact, the fastest growing countries do not liberalize trade and investment only after an initial period of strong growth (Rodrik, 326). This means that the scope of institutions must be limited to already developed countries. Steger, Manfred D. Globalism: The New Market Ideology. Rowman and Littlefield Publishers, 2002.