GLOBAL GOVERNANCEAlly Edwards, Kiah Thorn, Ebony Smallman, Julienne Lam, Savannah Haynes, Adam Klein, Shadi Bushra

Stiglitz

Globalization

=

mechanism of governance

Can be used for good if smaller powers are better represented

Meyer, Boli, Katzenstein and Keohane

Globalization = form of international organizational model

Perpetuates standards/policies that do not make progress

Ideals of globalization

__

Realities of globalization

Universal Declaration of Human Rights

World Society and the Nation-State

IMF: Globalism’s Discontent

World Trade Organization

Democratizing Globalization

Formal Structure as Myth and Ceremony

International Organization and the Study of World Politics

Universal Declaration of Human Rights

Ally Edwards

Eleanor Roosevelt, November 1949

History of the Declaration• Born out of the atrocities of WWII• Championed by Eleanor Roosevelt• It was presented Dec 10, 1948• Primarily political• Generally, not considered legislative

• Whether some countries define UDHR as legal document up for debate

• US not in favor of UDHR to be considered law

Praise for the UDHR• “an international document of the first order of

importance”

-- Charles Malik, Lebanese diplomat

• “It may well become the international Magna Carta of all men everywhere.”

-- Eleanor Roosevelt

• “one of the highest expressions of the human conscience of our time”

-- Pope John Paul II

Criticisms of the UDHR• Unenforceable• Biased: pro-Western• Missing minority rights,

right to petition, and

right to resist oppression• Can we call it

“international law”?• Morgenthau: international law

can be split into

political and

non-political facets

of international law

International

Law

Non-Political

Enables powers (small and large) to pursue their interests

Political

Legislative; challenges world

superpowers

The Document Itself: DIGNITY• Preamble: “Whereas recognition of the inherent dignity

and of the equal and inalienable rights of all members of the human family...”

• Art 1: “All human beings are born free and equal in dignity and rights.”

• Art 3: “Everyone has the right to life, liberty and the security of person.”

The Document Itself: Western Bias?• Art 4: “No one shall be held in slavery...”• Art 5: “No one shall be subjected to torture...”• Art 16: “Right to marry and found a family...”• Art 23: “Right to equal pay ... and trade unions...”• Art 10: “Everyone is entitled to a fair and public hearing

by an independent and impartial tribunal”• Art 11(1): “Right to be presumed innocent until proven

guilty according to law in a public trial at which he has all the guarantees necessary for his defense.”

• Art 21: “right to take part in the government of his country”• Art 24: “right to rest and leisure”• Article 25(2): “Motherhood and childhood are entitled to

special care and assistance”

UDHR: An Ideal of Global Governance

All humans born free

and equal in dignity and

rights

All are equal before the

law

Education shall be free

and shall promote the activities of

the UN

• Becomes more idyllic and unrealistic as it goes on

• Article 30 assures that no person or State may engage in activity that may destroy any of the rights or freedoms stated in the Declaration – does this undermine globalization efforts? Can’t truly work, but can help guide

World Society and the Nation State -- John W. Meyer John Boli, George M. Thomas and Francisco Ramirez

Kiah Thorn

Structural Isomorphism• Realist theories One would

expect striking diversity in political units around the world and in social life

• Instead, isomorphic developments lead to surprising levels of similarity between countries.• Mass schooling systems organized

around a standard curriculum• Constitutional forms expressing both

power and individual rights• Rationalized economic and demographic

record keeping/ presence of a Central Bank

• Expanded human rights in general• Standard definitions of disease and health

care

In a nutshell…• Worldwide models define and

legitimate agendas for local and national action, shaping the structures, policies and expectations of the modern nation-state in virtually all domains of social life• Business• Politics• Education• Medicine/Science• Family• Human/Gender/Child rights

Newly “Discovered” Isle of Globalization

We can identify the range of possibilities by looking at what has already happened to practically all of the societies of the world after discovery and incorporation into world society.

Why?• World models are more highly codified and publicized

than ever. • World society organizations devoted to “educating” and

“advising” about existing models are more numerous and active than ever.

• Media and other communications dominated by pre-existing world models are more accessible than ever.

In conclusion: Because of these pressures, governments are more willing to acquiesce to world standards and to play by pre-existing rules that they did not write and in which they may continue to have little say.

What processes in world society drive and shape isomorphism in

Nation-States?

#1 Construction of nation-state identity and purpose

• Nation-State Identity is based on a system of external recognition

• Particularly dependent on formal recognition from the dominant powers

• Problem 1: Simple mimesis does not solve substantive problems that are unique on a national level.

• Problem 2: Once recognition has been achieved, there is an increased emphasis on sovereignty at all costs. This occurs despite the fact that sovereignty does not preclude and may even increase instability within the government and nation.

#2 Systemic maintenance of nation-state actor identity

• Occurs from above and within the nation-state• By mere existence, nation-states are inherently

defined as being committed to certain self-evident goals (e.g. socio-economic development, citizen rights etc.)

• If a nation-state does not put proper or expected policies in place to achieve these goals, world-society organizations step in.

• Local actors can rely on legitimacy myths (democracy, freedom, equality) to activate the support of external groups to oppose the regime.

#3 Legitimation of sub-national actors and practices

• Nation-states are identity-supplying to their citizens.

• Nation-state governments create agencies and programs that support domestic actors (e.g. education, public health, economic stimulation).

• Citizen watchdogs serve as another force to ensure that the nation follows world standards.• Education• Media• External Organizations

Benefits to Nation-States Conforming to Pre-existing Models and Measures: Why Reinvent the Wheel?

• Already available• Morally Compelling• Easy to identify and decry

failures• Economic Incentive*• Pre-determined prescriptions

about standardized social actors/policies that should be engaged to resolve these newly recognized problems

Potential Problems/Disadvantages• What does this mean for

developing vs. developed countries (Global North vs. Global South etc.)? • Who is currently running the

majority of world institutions? What sort of voice do those who are not in charge have?

• Who wrote the rules for the current global standards? And who are they in favor of/biased towards (if anyone)?

• How much individual nation deviation is permitted and what effect(s) does this have on a nation’s ability to thrive?

Institutionalized organizations: Formal Structure as Myth and Ceremony

-- John W. Meyer,  Brian Rowan (1977)

Adam Klein

Neo-institutionalism

Explains isomorphism, or why so many organizations have similar formal structures:

• Organizations do not act out of rationality• Rather, they act based on the norms of other

organizations• Even if these norms are inefficient

• Institutional environments affect the way in which new institutions are created• Only institutions that incorporate preexisting practices

gain legitimacy and survive

Organization Theory

• Attempts to explain how rationalized formal structures came to be.• The underlying assumption being that rational formal structure is the best form of coordinating activities.• The problem: The assumption that formal

organizations have succeeded based on the coordination of activities is wrong, according to Meyer and Rowan.• Research shows that organizations do not follow the central,

“coordinating” structure of the organization.

Main Point

• The formal structures of international organizations are not reflective of their day-to-day operations, rather they are just a collection of the myths of their institutional environment.• Example of rationalized myths include:

• Universalism, contracts, and expertise• Econometric analyses• Education system

What This Means: Globalization

• The more centralized and integrated a state is, the stronger the extent to which these rationalized myths of rules and procedures become institutional requirements.

• In an institutional environment, organizations look to outside ‘experts’ for validation

Problems with Institutionalized Organizations

• Rules/myths come from different parts of the environment, so they may conflict

• Demands for efficiency create tension with efforts to conform• Organizations may be sacrificing efficiency in exchange for legitimacy/survival• For example, a Nobel Prize winning professor brings

legitimacy and respect, but not efficient on return per dollar

Working Within This System

• Decoupling• Organizations can show similarity in formal structures, but diversity in actual practice

• Logic of confidence• Avoidance, discretion, overlooking (to maintain face)

• Rituals of confidence and good faith

International Monetary Fund:Globalism’s Discontents

-- Joseph Stiglitz

Ebony Smallman

Debate (recap from last week)

• Prosperity vs Problems• Destroying cultures and increasing poverty?• Distributing benefits (equitably or not?)• Stiglitz: globalization means different things in different places

IMF Ideology

• Ideology from the finance world• Concerns about special interest groups • Tradeoff between inflation and unemployment• Unfair Trade agenda: set by north, policies better for developing countries

East Asia: Before Institutional Interference

• Management of globalization• Controlled engagement in world economy• Grown the fastest • Reduced poverty • Went against the ‘Washington Consensus’ • Financial markets highly regulated

IMF: top-down governance

• Top-down approach• Idea of ‘market fundamentalism’ • Stiglitz argues that globalization is not necessarily bad, it just depends on how the transition is managed

• Globalization with the help of institutions e.g. IMF have not fared as well

• When the IMF and pressure from US Treasury stripped East Asia of regulations, that is when they started to encounter problems

Negatives

• Increased tax burden on middle and poor classes• Hot money problem• Loss of jobs and creation of poverty• Ad hoc governance• Lack of accountability

Suggestions

• Lack of suggestions from Stiglitz•  Liberalization at a slower rate•  IMF needs a broader vision of society and the role of economics

• Address concerns that it is governed by and for special corporate and financial interests

• Differentiate recommendations/policies• One sided view – lets look at other institutions!

Fair Trade for All: The WTO-- Stiglitz, Charlton

Julienne Lam

World Trade Organization• The WTO agreements are negotiated by the majority of

the world’s trading nations • The goal is to help producers of goods and services,

exporters, and importers conduct their business • The WTO agreements cover goods, services and

intellectual property. • They spell out the principles of liberalization, and the

permitted exceptions. • They include individual countries’ commitments to lower

customs tariffs and other trade barriers. • They set procedures for settling disputes.

What Constitutes a “Fair Trade”

• Any agreement that differentially hurts developing countries more or benefits developed countries more should be presumptively viewed as unfair. In any case, a fair agreement aspires to have fair outcomes produced by fair, apparent procedures.

• Transparency is one of the most important factors of a fair trade as more voices can be heard during the negotiation process and it limits abuse by the most powerful.

Countries of the WTO

Least Developed Countries• Limited human capital and productive capacity• Weak institutions• Geographical handicaps• Poor Soil, Vulnerability to natural disasters, communicable

diseases, • Poorly diversified industries and underdeveloped markets• Limited access to education, health, and other social

services• Poor infrastructure• & Lack of access to information and communication

technologies.

Special and Differential Treatment (SDT)

The SDT are special conditions for LDC’s which allow developed countries to give them special rights and treat them more favorably than other members of the WTO.

Opposition to STD

• Abrogation to reciprocity

• Leads to ineffective protectionist trade policies

• Trade liberalization leads to a long adjustment period that may result in more costs than benefits

Doha Round Market Access Proposal (MAP)

WTO members would provide free market access in all goods to developing countries smaller and poorer than themselves.

Market Access Proposal (MAP)

• Smallest and poorest countries benefit the most• Largest and richest countries are liberalizing the most

• Does not demand complete reciprocity from poor to rich nations

Democratizing Globalization- Joseph Stiglitz

Savannah Haynes

Making Globalization Work• Globalization itself isn’t the

issue.• Its current management is.

Key Issue

• Economic globalization has outpaced political globalization.

• Two major outcomes of this imbalance:• Growing inequality• A democratic deficit in international organizations

The Threat of Outsourcing

• Lessons Learned: US and other service-oriented economies aren’t immune.

• “Upskilling” citizens doesn’t seem to be enough.

• Complete integration one global nation.• Average wages for unskilled labor in developed nations

will drop.• Average wages overall increase, but wages at the

bottom will decrease.

Possible Responses (3)• Do nothing

• Resist Fair Globalization

• Reform

Cope With and Shape Globalization

• Developed nations – accept the depression of wages for unskilled labor• Implement

measures to deal with this (more progressive income taxes, “upskilling”, research).

The Democratic Deficit

• International Organizations reflect the interests of large industrialized nations.• Local thinking• Declining confidence in IOs

• Response• Look at methods of international decision making more

carefully.

Major Elements of Reform

• Changes in Voting Structure• Changes in Representation• Increased Transparency• Conflict-of Interest Rules• Improved Accountability• Better Judicial Procedures• Better Enforcement of Rule of Law

“This is not how it is supposed to be. We can make globalization work, not just for the rich and powerful but also for all people, including those in the poorest countries…The time to begin is now.”

-- Joseph Stiglitz

International Organization and the Study of World Politics

-- Katzenstein, Keohane, and Krasner

Shadi Bushra

Academia ≠ Policy

Academia is also not uniform in its opinions.

Academia is also not uniform in its opinions.

Especially political science.

Although policy and academia are sometimes separated by a huge gulf...

Although policy and academia are sometimes separated by a huge gulf...

Scholars (like everyone else) are influenced by real-world events.

Let’s trace some historical events and how they’ve influenced

academics studying international organizations

(particularly those related to political economy: WTO, IMF, etc.)

1940s and 1950s

1940s and 1950s

“[International organization scholars] had the task of analyzing both the formation of new international organizations and the superpower rivalry that threatened to kill or maim them at birth”

1940s and 1950s

But scholars were sharply focused on realist assumptions of self-interested nations and their work did not stray from the analysis of formal international organizations.

1940s and 1950s

Behavioralism only entered as statistical analysis of UN voting patterns.

1960s and 1970s

1960s and 1970s

“European integration as an intellectual opening”

1960s and 1970s

Rise of int’l political economy:

- Liberals rejoice!

1960s and 1970s

Rise of int’l political economy:

- Liberals rejoice!

- Realist reaction

1960s and 1970s

Rise of statism

Post Cold War

Rationalism: Reshaping of liberalism and realism

Post Cold War

Constructivism: Revival of sociological and cultural perspectives

Author’s Conclusion

Despite the seemingly incompatible different theories, we can continue to

respect their differences while borrowing and blending their specific

research methods.

SYNTHESIS