Globalization and state sovereignty Essay Example | Topics and Well Written Essays - 1500 words

Globalization and state sovereignty - Essay Example Sometimes the issue centers on the exaggeration of globalization while at other times the question centers on whether any material change is brought about. The question still remains regarding the loss of state sovereignty or the significance of the state to international associations. Globalization and its consequential transnationalism has brought about a loss in state’s sovereignty in some respects while Before analyzing this argument of state sovereignty it is important to elaborate upon the different definitions of the concept and its relevant concept. The autonomy of the state gradually comes to be threatened under the pressures of market forces acting globally, or transnational administrative system. The country states have been losing grip over certain domains within and across the boundaries. Eli Noam observes that the influence of telecommunications will gradually lead to fading of the concept of the territory and the idea of a nation exerting influence over electron ic communication will become outdated. In most cases the power of the state is fragmented especially in complex system. The power is delegated stepwise to other institutions and organizations for taking collective decisions. It is difficult to identify any single origin of authority especially in the context of the international institutions. The international organizations project a framework which is competitive in nature but their ways of decision making through the principle of agreement or majority rule might lead to decisions which are not in tune with the state’s interest or different form state policy. The minimization or time and space resulting from globalization reduce the role of the state in the global context. This process of globalization, as described by Ronald Robertson might be stated as â€Å"compression of the world and the intensification of the consciousness of the world† which is caused by the fast progress in technology and growing economic acti vities (Lynch, 51). The self-sufficiency and the proficiency of the country’s power get eroded as the societies are penetrated by international forces. Government therefore loses control over the local or domestic market and the economy as it incorporates the â€Å"development of transnational practices† and â€Å"an increasing number of inter-state connections† (Lynch, 51). Eric Helleiner has however ventured towards a careful analysis of the loss of sovereignty concept. According to him economic globalization’s impact on the world is more complex compared to the argument centering on the challenge posed by financial globalization to the nations. His argument speaks in favor of information technology enabling the regulatory power of the states. Therefore one cannot say that the sovereign states have been able to regulate international funds into the nation’s economy. It has often been argued that as the movements of financial capital increased acr oss borders it created pressures for deregulation which in turn provoke liberalization of financial markets. According to Helleiner the influence of the nation states should not be emphasized. This is because the economic globalization has merely led to increase the nation states’