States Markets Relations Essay

2590 words - 11 pages



Anthony Lake who was the national security advisor of Bill Clinton said: “Democracy and market economics are ascendant in this era.” Bill Clinton has been considered as the new international financial architecture after IMF-WB meetings. He wanted to support Clinton’s policy of democractic enlargement by giving respect to market economy with this sentence. Whether this statement is true or false, it is certain that there is a close link between democracy and market economy so that in general sense it refers to a close link between politics and economics.

In one hand, there are states which are pursuing power ...view middle of the document...

The term Globalization is used to refer to the deeping relationships and broadening interdependence among people from different countries. Another definition of globalization is the spread and intensification of economic, social, and cultural relations across international borders . Although there are other definitions, it is not certain which one explain the best way the globalization in today’s world system as there are different approaches to look to concepts in social sciences. But it is certain that with globalization, an increasing level of interdependence begins among people who constitute states and societies and according to economic liberalist approach, it directly leads to the integration process and transparency of international borders. It creates an interrelation between economic, social, cultural aspects of people of states but as state-market relations are sharpened more in the economic field of globalization, it is more useful to examine these relations in economic globalization.

Globalization is nothing new in world system, there were also process of globalization in the age of empires but it has shown a tremendous rise after WWII and mostly after the collapse of Soviet Union. After WWII, European states initiate a cooperative linkage among themselves because they suffered to much from the wars and had big economic and social damages inside the Continental. This cooperation among themselves has led later on to the creation of a regional integrated institution. Not all of them are willing to do it, but they had to do it otherwise it would be nearly impossible to have development in social, political, cultural and especially economic matters. So states

started to integrate economically which would then lead improvements in every fields in their countries such as agriculture, industry, services, health. And they formed today’s European Union. And a wide spread of international and regional organization started. So in other words, a new international system flourished in a multinational structure based on cooperation among individuals and states. At the end of this bipolar structure of international system, there were some states in Europe, in Asia and in United States try to cooperate in economic matters and attempts of the newly independent states from Former Soviet Union and Russia in 1990s to adapt themselves in this globalization process . However these newly independent states were not very successful because of lack of democratic institutions and unability to transform of a strictly state controlled market to an open one. In these days, they are still attemps to adopt more protective economic system as well as continuation of transformation to free market economy. As an example for late developer, China has had before Marxist Economy (controlled by Communist Party), it had a centrally planned market in which everything is controlled by state transformed itself to market economy. China has been grown until...

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