Before delving into the readings, I just wanted to introduce a thought that came to mind during Tuesday's class discussion. After mentioning "things" that are traded globally (goods, information, capital) we stated that the one thing that can't be traded is land - the land that a nation inherently possesses. Yet as I thought about this some more, I wondered whether there existed other things that couldn't be traded or transferred from one nation to another.
What I was considering was the possibility of culture and national identity, as an "untradeable" resource. Surely, culture plays a vital role in determining a country's response to globalization. Until recently, nations such as China have long adopted protectionist policies which counter the globalization and free trade movements. India has been more responsive to global trade and has experienced tremendous growth as a result. Obviously these differing experiences stem from differences in national policy, but is it culture that influences these policies?
Are there underlying characteristics within a nation's culture that ultimately help determine their path in today's globalizing world? If so, should we look to the cultural and social aspects of the developing countries when trying to understand their situations and potential solutions? Or could this way of thinking be construed to be backwards - countries succeed because of their inherent socio-cultural backgrounds and identities?
On to the readings...
I found Wolf's discussion of the development of the market system and its implicit characteristics quite interesting. As Americans, the concept of a free market system is so ingrained in our history, that its omnipresence in today's society is hardly noticed. The notion of an "invisible hand" directing our economy, rather than an authoritarian regime or central government is commonplace to us. Our faith and trust in this market is integral, as noted by Wolf. This is often where the development of a free market economy breaks down in many countries. With corrupt politicians and corporations controlling the means of production, citizens do not feel invested in their nation and will not work towards the adoption of a market system.
This all just common sense right? Why don't other nations "get it"?
Perhaps as I've mentioned previously, it's the intertwined mess of politics and culture. Especially in today's "flat world", the factors of knowledge, technology, and resources are more equally distributed now than ever. Every nation should have the tools to adopt a free market at its fingertips, yet as evidenced by the status of developing countries, many have missed the boat. Why is this?
Wednesday, April 25, 2007
Tuesday, April 24, 2007
Subscribe to:
Posts (Atom)