Global Political Economy Flashcards
What is Political Economy?
The area of study which agrees that the political and economic spheres of life cannot be viewed as separate.
Political Economy is the interaction between ___ and ___, and ___ and ___.
States, markets. Power, wealth.
What is International Political Economy?
The study of the relationship between the political and economic spheres in international politics.
What is Global Political Economy?
A critique on the concept of international political economy, arguing that the term “international” privileges some actors, when non-state actors can be just as important.
What are some important actors in Global Political Economy?
Countries/states, corporations, intergovernmental organizations, NGO’s, individuals, regional organizations, social classes.
What are Robert Cox’s 2 types of theory?
- Problem Solving Theory.
2. Critical Theory.
What is Cox’s Problem Solving Theory?
Works within given parameters, does not challenge parameters, creates narrow laws, ahistorical, fixed point of reference, perceived as value free, used in times of stability.
What is Cox’s Critical Theory?
Challenges parameters, how they originated and formed and potential change, more holistic approach, theory of history constantly changing to deal with new realities.
What do Mercantilists believe about GPE?
Is a zero sum game, winners win at the cost to losers. Hoarding all the silver and gold results in power.
What did Marx say about GPE?
Role of material factors, means of production can tell us more about global economy and power than political factors can.
What did Antonio Gramsci say about GPE?
Drawing from Marx, said that material factors were important in explaining who had power, but the role of ideas and language also important.
Antonio Gramsci is associated with the concept of ___ ___.
Hegemony central.
What did Karl Polyani say about GPE?
What had been thought of as natural order, specifically the free market, was in fact sustained through government intervention.
What did Robert Cox say about GPE?
Control over the means of production, which leads to surplus, is a key factor in which classes can shape political economy.
What is the Bretton Woods conference?
At the end of WWII, the world powers met and asked, how can we apply the learning from the 1920’s and 30’s to construct a new system of GPE?
What did the Bretton Woods conference conclude?
An open system with a social security net was best.
John Ruggae came up with the idea of…
The Compromise of Embedded Liberalism.
Who came up with the idea of the Compromise of Embedded Liberalism?
John Ruggae.
What is the Compromise of Embedded Liberalism?
To move towards a goal of increased trade and openness, national protection, you sacrifice fixing the north/south divide. Developing nations are forced to participate in the system, even though they have very little voice in shaping it.
Which factors shaped the Compromise of Embedded Liberalism?
Hegemony of Keynesian ideas as well as American hegemony.
How did the Global Financial Crisis of 1971 occur on a macro level?
Floating exchange rate set by the market and general liberalization leads to trade imbalances worldwide, especially with regards to U.S. and China.
How did the Global Financial Crisis of 1971 occur on a meso level?
Neoliberalism globally and globalized pressures have led to deregulation.
How did the Global Financial Crisis of 1971 occur on a micro level?
Individual irrationality, a belief that the housing market will always go up.
How were politics related to the Global Financial Crisis?
There was free trade, free mocement of capital, growth of power of the financial system, and political pressures. In response to the GFS, there were bail outs, stimulus packages, austerity measures, and regulatory returns.
