Rodriks Trilemma
- cannot have a country with all 3 aspects
- Hyperglobalization
- National Sovereignty
- Functional Democracy
Golden Straightjacket
- National Sovereignty
- Hyperglobalizaiton
Choice of Coke and Pepsi. There are no local flavors.
- in the beginning of the Globalization - until WW2
- limits local/domestic choices, since economic incentives are placed above regional/cultural preferences
Global Governance
-
Democratic Policies
-
giving up national sovereignty
- multi-national institutions which govern trade and other policies
Bretton Woods Compromise
-
Democratic Policies
-
National Sovereignty
-
after WW2
- great global economic growth - although not commonly viewed as “globalization”
-
restricting capital flow between nations
- leaving maximum space for domestic rulings
-
if economies are widely different there would be constant conflicts
- converging markets are best way to go
-
getting back to Bretton Woods is not possible anymore in developed world
Example EU
- Hyperglobalization → single EU market
- “populists are winning in EU, since they are the only one talking about the trilemma, being transparent about national sovereignty and getting rid of internal market”