THE CORRELATION!
Economy, Politics or
Economy-Politics
There
is a game; on one hand, you have an opportunity to globalize the economy (Think
about Hong Kong or Swiss) and on the other hand, you implement an economic
dogmatic approach like Cuba or Iran (or an old example of Soviet Union). The question is if the globalization does help
nations, and if all know that, why still some nations are deprived of that.
Dogma is the official system of
belief or doctrine held by a religion; Yet it introduce in economy by Peter
Gordon. (http://www-bcf.usc.edu/~pgordon/index.php)
Nowadays,
almost all economists are agreed that globalization is happening; an attempt to abolish barriers, not just in economy, but also in politic.
This
term is new and in Northern America is mostly comes with WTO or NAFTA. The
question is;
How
globalization is getting control?
How
countries control global economy?
How
small economies influence the larger countries?
How
cartels are involved and with what degree of influence?
And
more importantly
Who
control who?
Are
all the nations are taking advantages of globalization or some nations hurt?
What
is the turnover of current global economy?
How
globalization is getting support?
WHAT
IS THE ROLE OF POLITICS IN GLOBALIZATION?
What is the “Economic
Backwardness” in political perspective?
Economy
is the part of the politics, inevitably the main part. Nations’ economic
horizons get changed by political priorities in most of the times (though, I
can bring an example like China that is totally reverse. They do organize their
international relationship with other countries with respect to the possibility
of taking economic advantages. China does use the power of Veto on the United Nations Security Council against US or England, just for the economic
reasons, not because of the difference in political point of views. They
ignored many sanctions activities against Syria or Libya, since they believe
that trade with the isolated countries are much more convenient (and also
beneficial) than doing the same with the WTO members). In other words, economy
is serving politics. The other example could be OPEC.
OPEC is the Organization of the Petroleum Exporting Countries. Probably,
the most influential economic cartel in the world.
OPEC decides about the price of the 68%of
world’s energy (http://www.opec.org/opec_web/en/data_graphs/330.htm). Though, most
of the decisions are coming from the countries that are not producers, yet are
consumers. Here, we can see how developed countries (mostly, Western countries)
dominate OPEC’s decision and how politics controls economics.
Conclusion; globalization exists. No Doubt. Countries
do take advantages of that, but not all of them. Since, the amount of economic
resources is limited; there is no chance to have positive affects everywhere. The
positive side of the globalization belongs to countries with stronger
participation with Western countries (and recently China/Russia) and the
negative impacts go through the countries with isolated political systems (such
as North Korea, Iran, and Syria). In other words, globalization does not
general more monetary resources. It just shifts available resources from a
point to other point.
The law of conservation of monetary resources looks like the law of conservation of energy, first formulated in the nineteenth
century, is a law of physics. It states that the total amount of energy/money in an isolated system/world remains
constant over time.
Endnotes:
-
Drazen, Allan (2008).
"Political business cycles,"
-
Rose, N. L. (2001). "Regulation, Political Economy of
-
McCoy, Drew R. "The Elusive Republic: Political Economy
in Jeffersonian America",
-
Lohmann, Susanne (2008).
"rational choice and political science,"
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