ULUSLARARASI EKONOMİK SORUNLAR

34
A Review on the Dominance of Economic
Powers over Politics in the Context of
Current Globalization Process
The question of how the globalization affects the current political configuration of
world and nation-states is one of the main debate subjects in international relations.
Globalization can be defined as “growing economic interdependence of countries
worldwide through increasing volume and variety of cross-border transactions in goods
and services, free capital flows, and more rapid and widespread diffusion of technology”
(IMF 1997). From the theoretical perspective (especially the Liberal and Realist
Schools), the link between globalization and international politics in terms of global
governance, peace and welfare is about the economic interdependence and state
sovereignty.
Currently, there are two main arguments on the effects of economic globalization
on the international politics, especially the state power. The first argument argues that
due to the transformation of world economy and information technologies (IT), the
nation-states have been losing capacity to control their own economies and political
boundaries in the globalization process. Non-state actors (NGOs, international
organizations, “markets”, especially transnational corporations-TNCs) are challenging
the exercise of sovereignty of state. Some proponents of this argument say that the
nation-state is “an outmoded institution, ill-equipped to deal with economic entities”.
On the other hand, the second argument which depends on the Realist School
considers that although globalization has posed new challenges to states; states are not
being replaced, because no other non-state actor can equal the capabilities of the state.
In response to the first argument, Waltz (2000) states, “Many globalizers believe that
the world is increasingly ruled by markets. Looking at the state of states leads one to a
different conclusion. Rather than elevating economic forces and depressing political
ones, the inequalities of international politics enhance the political role of one country…
Politics as usual prevails over economics” (p.7). Like most realists, Waltz argues that
the dominance of markets over politics is an illusion of the last two decades.
_____________________________
(*) Master’s Student, Marmara University, Göztepe/İstanbul.
Uluslararası Ekonomik Sorunlar
Özgür ÇALIŞKAN*