Global Markets and National Politics: Collision Course or Virtuous Circle?
Author(s)
Garrett, Geoffrey
Abstract
World market forces have usurped political authority as the standard ruling power. Markets now rule the economies and societies that the state government once controlled. This article explains how the increasing exposure to foreign investments, liquid capital progression, and trade has driven even the less developed countries’ markets to intervene with government policies. The financial markets ignore the size of the government, caring only if the governments balance their “books” or not. A solution must be found to leave the markets open internationally while balancing the benefits of capitalism with the benefits of government-controlled state.
