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The state and globalisation notesFrancis Fukuyama
Prominent Japanese American academic
Argued that war would become a thing of the past due to the rise of liberal democracies and
their unwillingness to engage in conflict with one another
Indicated that close connectivity between democracies could evolve to change the importance
of state
- EU would provide a model for the future relationship between nations
Sovereignty – the principle of absolute and unlimited power and the defining characteristic of a
state
National sovereignty – a state has absolute authority over all its citizens within its borders
Nation-state – an autonomous political organisation defined by the common ties of shared
nationality and based upon a recognisable culture.
Characteristics of a nation state and national sovereignty
State has increasingly become the main player in global relations, providing the foundation for
domestic peace and international relations
According to Dutch scholar Hugo Grotius, ‘the state is a complete association of free men joined
together for the enjoyment of rights and for their common interests’
Treaty of Westphalia
Important in the development of the principle of state sovereignty
No state has the legal right to intervene in the sovereign affairs of another state
All states, whatever their size, possess the same legal right to independence.
The nation state in the 20th century
Westphalian principles dominated the globe
In his 14 points, US president Woodrow Wilson established the principle that nation-state
sovereignty should be founded upon the right of self-determination based on shared ethnic
heritage
The Montevideo convention determined that a sovereign state must possess
- a defined territory
- a permanent population
- a viable government
- the capacity to enter into diplomatic relations with other states
1
,The process of globalisation
Globalisation – the process by which businesses or other organisations develop international
influence or start operating on a global scale
Has had a dramatic impact on the influence of the state
Had created a complex web of interconnectedness that challenges the states sole authority to
make decisions affecting the lives of its citizens
Interconnectedness – the way in which states become more linked through their shared
membership of intergovernmental and regional organisations.
Has created a world in which nation states cannot separate themselves from what is happening
globally
The significance of economic and financial globalisation
Economic liberalism or the Washington consensus has led to the dominance of free trade
principles
- States need to establish the sort of conditions that global investors find attractive, which
includes policies of low corporate taxation and light regulation (too much
taxation/bureaucracy will repel investment)
- Example: Vietnam has corporate income tax of just 20%
- Any state that seeks to act in defiance of economic globalisation will risk loss of investment
Economic globalisation – process by which states across the world become more closely
connected and interdependent according to the principles of free trade
The influence of non-state actors
Non state actors – entities such as INGOs, IGOs, transnational corporations and even
criminal/terrorists networks that wield significant influence over global affairs.
Global interconnectedness has been advanced due to non-state actors
World problems are becoming more complex – international terrorism, climate change
- Collective security dilemma is created – cannot resolve on their own
- Work together in IGOs to solve problems
Example: The Intergovernmental Panel on Climate Change provides an international forum in
which recommendations for action are agreed.
The influence of intergovernmental organisations
2
, The Bretton Woods Institutions
1. World Bank
2. International Monetary Fund (IMF)
3. World Trade Organisation (WTO)
All of them impact state sovereignty by advancing global free markets and free trade
The programmes implemented by IMF and World Bank are founded on the core promise that
economic growth is maximised through free-market reforms and free trade.
WTO is associated with globalisation
- Encourages free trade by persuading nations to reduce import tariffs
- Tries to resolve trade disputes
- Provides a forum for resolution of trade wars
Economic globalisation has created a consensus that free trade creates greater wealth
The United Nations
Most significant IGO that was established in 1945
Based on the liberal principle that the international community needs to work together to solve
‘collective dilemmas’
Nation states do not sacrifice their sovereignty by joining the UN
Responsible for the Millennium and sustainable development goals – have helped reduce
poverty
Includes the following:
- World Health Organisation (WHO): spearheads/coordinates global responses to epidemics
- United Nations International Children’s Fund (UNICEF): promotes children’s rights
- World Food Programme (WFP): provide food relief
Regional organisations
1. 1957: EEC (Now EU)
2. 1967: Association of Southeast Asian Nations (ASEAN)
3. 1991: Mercosur
These regional IGOs function as mini-free trade areas, encouraging trade
Cooperation provides these regions with greater influence in international trade
There is protection from global competition
Influence of non-governmental organisations
1. Amnesty International
2. Greenpeace
3. Human Rights Watch
Have incredible soft power influence on states by enriching political debate (pressure groups)
Internet’s impact
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