Interdependence On The Global Arena Essay
It is also difficult to analyse the conflicting relations between state and market without discussing the international scene. As Underhill (2001) suggests, “there is an intimate connection between the domestic and international level of analysis”. After all, changes in the international economic scenario will most likely affect the economic situation and the balance within a country. If it does not change, it is probably because the government has taken specific actions to avoid it.
Furthermore, much of the analyses today are focused on the field of International Political Economy (Cox 1981:126). The process of globalisation, the flows of capital, goods and people around the world, despite not being a new phenomenon, has dramatically increased in the last decades and reached new stages of complexity (Riggott 1999:3). It significantly affects not only the internal performance of countries, but also the equilibrium of power between economic pursuits and political responses.
There is another reason why Polanyi is important to the debate is his contributions regarding the national and international dimensions of states. In The Great Transformation he argues that the logic of the self-regulated market requires this model to be spread globally.
In contemporary terms, Underhill is one scholar who dwells on this theme. He presents the idea of “market-state condominium” and provides a sophisticated overview…