CHAPTER NINE: How Globalization Works in Practice
Study
Chapter 8 looked at the causes of globalization; Chapter 9 explains the nuts and bolts of globalization--specifically the domestic policies that effect international economic interactions as well as the role international institutions play in coordinating those policies. The chapter also reviews the different approaches the perspectives take with respect to globalization policies. Realist perspectives, for example, take an inward-first approach that calls for countries to cooperate economically only after first fixing domestic problems. Liberal perspectives, conversely, stress outward-first approaches in which countries first make international economic agreements and then subsequently change their domestic policies to align with these agreements. Identity perspectives, meanwhile, focus on the substantive goals of economic cooperation, seeking to determine whether these objectives are appropriate. Critical theory perspectives emphasize a number of causal factors related to American hegemony.
Study Questions
- What are the differences between inward-first and outward-first approaches to international economics? Which perspective is likely to emphasize outward-first approaches? Inward-first?
- What are the four border policies, and how does each affect a country's relationship to the world economy?
- What domestic policies do the following international institutions address: WTO, IMF, and World Bank? Is one more important than another?