The Library

Globalization: is there anything to fear?

Tools

Drache, Daniel (1999) Globalization: is there anything to fear? Working Paper. Coventry: University of Warwick. Centre for the Study of Globalisation and Regionalisation. Working papers (University of Warwick. Centre for the Study of Globalisation and Regionalisation) (No.23/).

Preview

PDF
WRAP_Drache_wp2399.pdf - Requires a PDF viewer such as GSview, Xpdf or Adobe Acrobat Reader
Download (476Kb)

Official URL: http://www2.warwick.ac.uk/fac/soc/csgr/research/wo...

Abstract

Globalization in its many different forms is the last grand narrative of the 20th century. It evokes a universal vision of frictionless adjustment, endlessly innovative corporations, infinite progress and unlimited abundance for all through the power of the world market. What is particular about the latest tidal wave ‘where all are interrelated through the global market' is that it is not a popular force capable of mobilizing millions in the way working class internationalism once did. It is not a foregone conclusion that the global economy will come undone and crash but what is clear is that financial deregulation has gotten out of hand. Despite the triumphant nature of markets in Anglo-Saxon economies that have irreversibly altered the fundaments of economic and social policy management in many jurisdictions, there are still strong grounds for claiming that the world price system does not automatically build a level playing field across nations as its rhetoric claims. So far, the price mechanism has not produced the expected convergence between social market, laissez-faire, developing economics and Asia-Pacific. Governments ought to be highly vigilant in times of speculative booms, quick fixes that turn bad and too much easy money flowing across borders. Significantly, they have misunderstood the importance of the regulatory need to organize the market. The collapse of the miracle economies (once touted to last for decades) -- Mexico in the early 80s and more recently the Asian Tigers along with the former Eastern Bloc countries -- underlines the fragility of the existing order. What the paper demonstrates is that divergence at all levels is increasingly becoming more important as a feature of globalization despite the powerful authority of elite international institutions to move the global agenda towards the market end of the spectrum. The bottom line is that stability at any cost is simply the wrong target. The paper argues the political market for social protection -- jobs and a higher standard of living -- promises to be a more potent force than the most arduous tenants imposed by the dynamics of a laissez-faire globally-directed free trade regime. The question is, can governments and policy experts learn to think in a reasoned and critical way about the limits of global free trade? Or, will they continue to fear what they do not understand, engage in unnecessary risk-taking and be unable to react strategically to such complex changes in the international economy?

Item Type:

Working or Discussion Paper (Working Paper)

Subjects:

J Political Science > JZ International relations
J Political Science > JC Political theory

Divisions:

Faculty of Social Sciences > Centre for the Study of Globalisation and Regionalisation

Library of Congress Subject Headings (LCSH):

Globalization -- Economic aspects, Globalization -- Political aspects, Competition, International, International economic relations

Series Name:

Working papers (University of Warwick. Centre for the Study of Globalisation and Regionalisation)

Publisher:

University of Warwick. Centre for the Study of Globalisation and Regionalisation

Place of Publication:

Coventry

Official Date:

February 1999

Dates:

Date	Event
February 1999	Published

Number:

No.23/

Number of Pages:

Status:

Not Peer Reviewed

Access rights to Published version:

Open Access

References:

Adda, Jacques (1996). La Mondialisation de l'economie: 1. Genese 2. Problemes. Paris, La
Decouverte.
Albert, Michel (1997). The Future of Continental Socio-Economic Models. MPIfG Working Paper
97/6, Max-Planck-Institut fur Gesellschaftsforsh, June.
Albert, Michel (1991). Capitalisme Contre Capitalisme. Paris, Seuil.
Armstrong, Philip,Andrew Glyn, et al. (1991). Capitalism Since 1945. London, Basil Blackwell.
Bairoch, Paul (1996). Globalization Myths and Realities: One Century of External Trade and Foreign
Investment. States Against Markets The Limits of Globalization. Robert Boyer and Daniel Drache.
London, Routledge.
Barnet, Richard and Ronald Mueller (1987). Global Reach: The Power of the Multinational
Corporation. New York, Simon and Schuster.
Barnet, Richard and John Cavanagh (1994). Global Dreams Imperial Corporations and the New
World Order. New York, Simon & Schuster.
Bergsten, Fred (1996). “Globalizing Free Trade.” Foreign Affairs 75:3(May/June): 105-120.
Bhagwati, Jagdish (1989). Protectionism. Cambridge, Mass., MIT Press.
Blank, Stephen (1994). “The United States On the Eve of the 21st Century.” Global Business Policy
Council no.7(April): 1994.
Bowles, Paul and Barnet Wagman (1998). “Globalization and the Welfare State Four Hypothesis and
Some Empircal Evidence.” Eastern Economic Journal 23:3(Summer): 317-336.
Boyer, Robert and Daniel Drache, Ed. (1996). States Against Markets: The Limits of Globalization.
London/New York, Routledge.
Boyer, Robert (1996a). “La Globalisation: Mythes et Realities.” CEPREMAP/CNRS(juillet): Paris.
Braudel, Fernand (1980). On History. Chicago, University of Chicago Press.
Carnoy, Martin and Manuel Castells (1997). Sustainable Flexibility A Prospective Study on Work,
Family and Society in an Information Age. Paris, OECD.
Cable, Vincent (1995). “The Diminished Nation-State: A Study in the Loss of Economic Power.”
Deadalus 124/2: 23-53.
Cable, Vincent (1996). “The New Trade Agenda: Universal Rules Amid Cultural Diversity.”
International Affairs 72:2(April): 227-246.
Carr, E.H. (1981 (original edition, 1939)). The Twenty Years' Crisis 1919-1939. London, Macmillan.
Colin, Crouch and Wolfgang Streeck, Eds. (1997). Political Economy of Modern Capitalism.
London, Sage Publications.
Dahrendorf, Ralf (1995). “A Precarious Balance: Economic Opportunity, Civil Society and Political
Liberty.” The Responsive Community(Summer): 13-38.
Dore, Ronald (1996). “Unions Between Class and Enterprise.” Industrielle Beziehungen
3:2(Jahrgang): 154-172.
Drache, Daniel and Terrance Sullivan, Ed. (1998). Public Success, Private Failure. Market Limits
to Health Care Reform. London, Routledge.
Drache, Daniel (1997). Governance and Public Policy in a Global Economy. A Report on Jobs and
Investments Strategies in Canada, Robarts Centre for Canadian Studies.
Drache, Daniel (1996). “From Keynes to Kmart: Competitiveness in a Global Age”. In Robert Boyer
and Daniel Drache, Ed. States Against Markets: The Limits of Globalization. London/New York,
Routledge.
Drache, Daniel and Harry Glazebeek (1992). The Changing Workplace. Toronto, Lorimer.
Economist (1997) The State Against the Market, Special Report September 20.
Eden, Lorraine, Ed.(1994). Multinationals in North America. Calgary, University of Calgary Press.
Esping-Andersen, Gosta (1997). Welfare States at the End of the Century. Family, Market,
Community: Social Policy Studies No.21. OECD. Paris, OECD.
Group of Lisbon (1995). Limits to Competition. Cambridge, Mass., The MIT Press.
Greider, William (1996). One World, Ready or Not The Manic Logic of Global Capitalism. New
York, Simon & Schuster.
Hall, Peter, Ed. (1989). The Political Power of Economic Ideas: Keynesianism across Nations.
Princeton, Princeton University Press.
Helleiner, Eric (1997). Braudelian reflections on economic globalization: the historian as pioneer.
Innovation and Transformation in International Studies. Stephen Gill and James Mittleman.
Cambridge, University of Cambridge Press.
Hirst, Paul and Grahame Thompson (1996). Globalization in Question. London, Polity Press.
Hobsbawm, Eric (1994). Age of Extremes The Short Twentieth Century 1914-1991. London, Michael
Joseph.
Innis, Harold (1995). Staples, Markets and Cultural Change. Selected Essays. Montreal, McGill-
Queen's University Press.
Irwin, Douglas (1996). Against the Tide An Intellectual History of Free Trade. Princeton, New
Jersey, Princeton University Press.
Kay, John (1996).
Keil, Roger (1998). “Globalization Markes States: Perspectives of Local Governance in the Age of
the World City.” Review of International Political Economy(Fall).
Lasch, Christopher (1994). The Revolt of the Elites. Harper's Magazine: 39-49.
Lester, Richard (1998). The Productive Edge. New York, W.W. Norton.
Marshall, Herbert, Frank Southard, et al. (1936 and 1976). Canadian-American Industry: A Study
in International Investment. Toronto, McClelland and Stewart.
Modeleski, George (1972). The Principles of World Politics. New York, The Free Press.
Nickell, Stephen (1997). “Unemployment and Labour Market Rigidities: Europe versus North
America.” Journal of Economic Perspectives 11:3(Summer): 55-74.
OECD (1997). OECD Surveys United States. Paris, OECD.
OECD (1996). Technology, Productivity and Job Creation Executive Summary. Paris, OECD.
OECD (1994). The OECD Jobs Study. Paris, OECD.
Ohmae, Kenichi (1996). The End of the Nation State. New York, Harper Collins.
Ostry, Slyvia (1998). Globalization and the Nation-State: Erosion From Above. Timlin Lecture,
University of Saskatchewan. Regina.
Pauly, Louis W. (1997). Who Elected the Bankers? Surveillance and Control in the World Economy.
Cornell, Cornell Univeristy Press.
Pauly, Louis and Simon Reich (1997). “National Structures and Multinational Corporate Behaviour:
Enduring Differences in the Age of Globalization.” International Organization 51:1(Winter): 1-30.
Petrella, Ricardo (1996). Le bien commun Eloge de la solidarite. Bruxelles, Editions Labor.
Putnam, Robert (1993). “The Prosperous Community Social Capital and Public Life.” The American
Prospect 13(Spring).
Rifkin, Jeremy (1996). The End of Work. The End of the Global Labor Force and the Dawn of the
Post-Market Era. New York, Tarcher Putnam.
Rodrik, Dani (1997). “Sense and Nonsense in the Globalization Debate.” Foreign Policy
107(Summer): 19-36.
Rodrik, Dani (1997). Has Globalization Gone Too Far? Washington, Institute for International
Economics.
Rosenau, James (1996). The Dynamics of Globalization:Toward An Operational Formulation. Paper
given at the International Studies Association, San Diego, June, 1997.
Rosecrance, Richard (1996). “The Rise of the Virtual State”. Foreign Affairs
Ruggie, John Gerard (1982). “International Regimes, Transactions, and Change: Embedded
Liberalism in the Postwar Economic Order.” International Organization 36(Spring).
Ruigrok, Winfried and Rob van Tulder (1995). The Logic of International Restructuring.
London/New York, Routledge.
Sassen, Saskia (1996). On Governing The Global Economy. New York, University of Columbia
Press.
Sassoon, Donald (1996). One Hundred Years of Socialism The Western European Left in the
Twentieth Century. London, Fontana Press.
Stiglitz, Joseph E. (1998). More Instruments and Broader Goals: Moving Toward the Post-
Washington Consensus. The United Nations University, World Institute For Development Economics
Research, Annual Lectures 2, Helsinki, The United Nations University.
Strange, Susan (1996). The Retreat of the State The Diffusion of Power in the World Economy.
Cambridge, Cambridge University Press.
Streeck, Wolgang (1991). On the Institutional Conditions of Diversified Quality Production. Beyond
Keynesianism. Egon Matzner and Wolfgang Streeck. Eds.Aldershot, England, Edward Elgar.
Streeck, Wolfgang (1996). “Comment on Ronald Dore's Unions Between Class and Enterprise.”
Industrielle Beziehungen 3:2(Jahrgang): 187-196.
Weiss, Linda (1998). The Myth of the Powerless State. Ithaca, N.Y., Cornell University Press.
Wood, Adrian (1995). “How Trade Hurt Unskilled Workers.” Journal of Economic Perspectives
9:3(Summer): 57-80.
Yergin, Daniel and Joseph Stanislaw (1998). The Commanding Heights the Battle Between
Government and the Marketplace That is Remaking the World. New York, Simon and Schuster.
Wallerstein, Immanuel (1974). The Modern World System vol.I. New York, Academic Books.
World Bank (1997). The State in a Changing World. New York, Oxford.