Globalization

Globalization has a concept is frequently used without understanding the context in which it applies and its effect on social, political, and economic processes. In a political economic context, Globalization is not a new phenomenon. Ultimately, globalization reduces the effect of distance on social, political, and economic interactions. This is frequently the result of ongoing technological innovation and is most evidenced by the introduction of steamships and rail transportation during the Industrial Revolution. Nowadays, popular opinion states that we are in a new era of globalization with recent innovations in communication and the free flow of ideas through the internet, fiber optic cables, and hand-held devices such as smart-phones. However, the reality is that globalization is an evolving process dependent upon government policies, individual decisions, and market forces that does not simply flow unilaterally with technology.

  In regards to international political economy, globalization is significant because it represents the vital link between markets and politics. Globalization can be measured in terms of global movements of trade, capital, and people (or migration). These measurements are imperfect because when aggregated they are unable to differentiate the types of movement, especially in regards to distance travelled, but they do give a general idea of the openness of the world.

  Globalization presents new challenges for international institutions. Barton notes that, "Perhaps the biggest single problem for trade today is that the domestic and international institutional mechanisms are no longer fully complementary: the range of domestic stakeholders has expanded, and the international issues have become more complex and demand more domestic institutional change.”