Distinguish between economic globalisation and political globalisation - 15

Short definition of globalisation...

Globalisation refers to the emergence of a complex web of increasing interconnectedness between states and other global actors (NGOs, IGOs, TNCs) meaning that our lives are increasingly shaped by events that occur, and decisions that are made at a great distance from us

2 political globalisation is often seen as a means of MANAGING OR REGULATING economic globalisation

A system of global governance has emerged which is specifically dedicated to setting rules for the world economy, led by such institutions as the IMF, World Bank, and World Trade Organisation (Bretton Woods institutions). Moreover, the G20 (comprised of the leaders of the 20 richest countries accounting for over 80% of world trade) set further rules on regulation during the global economic crisis including the Financial Stability Board which compels the most influential central bankers to meet up on a regular basis to discuss the global economy. The success of such measures is always limited by the fact that the states who set up these organisations can leave at any time.

1 DEFINITIONS

Firstly, economic and political globalisation can be differentiated by their definitions. Economic globalisation refers to the process whereby all national economies have, to a greater or lesser extent, been absorbed into an interlocking global economy, meaning that no national economy is now an island. In this global model, production is internationalised and financial capital flows freely and instantly between countries. Political globalisation by contrast refers to a shift in decision-making from states to international organisations comprised of states and other global actors. Such organisations have regional jurisdiction (such as the EU) or global jurisdiction (such as the UN). Most international organisations are modelled on the principle of intergovernmentalism rather than supranationalism, in that states are able to take collective action without sacraficing national sovereignty - their relevance and power seems to be on the increase

3 Political globalisation is MUCH LESS ADVANCED than economic globalisation because states are keen to protect their sovereignty but still have relative gains from a global economy

States are likely to join free trade agreements as it suits them but leave as they please too. They prefer the looser association of intergovernmental structures and some states may even be concerned with relative gains - the desire to stay ahead of perceived rivals in terms of economic and military power. Brexit serves as a good example of Britain as a state that has become so concerned about infringements to its sovereignty that it's prepared to leave the biggest single market in the world

(Lastly and optionally 4 Political globalisation could also be legitimately understood to refer to the global spread of political ideas (such as human rights) or of political structures (such as liberal democracy)

The key features of economic globalisation such as increased international trade, transnational production by TNCs and the emergence of a global financial system is seemingly-value free. However, the structure of global governance crafted by the United States seems to promote political values such as democracy, human rights and consumerism that are not to the states of many states around the globe