Question

Explain the changing nature of state in the effect of globalisation

Answer 1

Answer:

Economic globalisation is the defining characteristic of our age and a process which is transforming the parameters of the national state and global power relations. However, it is also a contradictory, uneven and unpredictable phenomenon. East Asia has been at the epicenter of globalisation for the past 30 years and will continue to be so with the rise of China’s economy. The region has been one of the main beneficiaries of the globalisation process, with exceptional geo‐political advantages producing terms of engagement with the global economy not matched by other developing regions. However, its relations have also been paradoxical. At a time when globalisation theory predicted the demise of the national economy and the waning of national identity, East Asian growth was driven, above all, by the developmental state, with strong and interventionist Governments often successfully supporting ‘national’ neo‐merchantilist economic policies and strong state identities. Some argue that the developmental state has now run its historical course, made redundant by its own success in the global market. This article examines the evidence for the changing nature of the state in the global economy and asks what are the likely future forms of the state in East Asia.