Class Notes (836,147)
Canada (509,656)
POLI 381 (50)

International Political Economy.docx

6 Pages
Unlock Document

Political Science
POLI 381
Robert Neil Huebert

International Political Economy IPE  Objective: To understand the different lenses of IPE o What are the different ways of understanding the relationship between economics and politics o Why should you care? Different Visions  What is the role of Capitalism? o Capital should be free, allow industrial entities a relatively free reign.  Is it a force for prosperity/peace  Is it a force for inequality/poverty  How do we understand? o Economics  Prosperity? The countries who abandoned to go to capitalist did improve. Reduce barriers to trade and finance in the International Economic System, you can improve the prosperity of the entire system. o History  Liberal peace theory  countries that are functioning liberal democracies with open capitalist systems do not fight other liberal states. Structure of government ultimately determines if there is war.  Soviet union example of a closed control economic system that ultimately failed. o Culture  America  culture of individualism. Means they are the country that was most susceptible to creating a capitalist system.  How do you measure and do research on culture. o Acceptance of value of process High Politics vs Low Politics Increasing Profile 1989-2010  Low Politics – looking at economics  Increasing Global Interdependence o International system is becoming at the very least perceiving it is becoming more interdependent.  Relative Decline of US economy o China is making headway and could catch up.  Rise of other state economies  Rise (and for some – fall) of MNC o Seeing MNCs becoming equal partners/can no longer be contained within state power.  Oil shock o First one in 1973 – ongoing middle east war. Egypt and Syria launched a surprise attack on Israel and was almost defeated, but ended up defeating the other militaries.  EU  Growing Awareness of difference  Collapse of USSR Realism: Mercantilism and Economic Nationalism  Viewpoint that the economic system can in fact be controlled by governments. Belief and founded that economics are secondary politics.  “Buy USA”; “those jobs going over there”  See the world economy as zero-sum o Seen as a pie. As a nation, the more you got the less others got. o Occurred in the inter-war period, countries began enacting protectionist measures to hold onto their share of the pie.  Use of protectionism; tariffs; subsidies; quotas o Interfered with trade. Was about the responses to the Stock Market crash. Trade wars  lead to worst elements of depression. No trading, no demand, people were let go, unemployment, social services could not meet the demands. o Demi gods are usually the worst solution  don’t understand economic system. Tend to be authoritative in nature. Tend to want to be militarily aggressive.  Should GM be protected?  What of FTA?  Following great depression – mercantilism just isn’t working. Liberal Approaches: Classical Liberalism, Keynesianism, Institutionalism  Rejects Zero-Sum assumption o Economic system can continue to grow. How do we ensure we can get enough pies to ensure everyone gets their fill? o Argues that the market should be allowed to develop unimpeded.  All gain from improved economics o Mercantilism is a disaster. Take government out of the system. o Accept there will be times of economic depression. Market as readjusting themselves.  Laissez-faire Economics – allow the market to determine economic inter-action o Can’t have a government back stopping or intervening.  Keynes calls for some market regulations o State can have some minor elements of controlling the overall economy. Have state levers that can help you control the economic system. Provide a safety cushion (not a large one). Whereabouts to provide social assistance. Spend when times are rough, tax when times are good.  Role of International Organizations o Provide assistance to those countries that are particularly challenged from an economic perspective  Main issue is control of Economy  Get cycles  ebbs and flows. Productivity goes up and down. Downside: Human cost. Stress onto any state.  United Nations favours Keynesian system. State was unable to deal with the depression.  Keynesian: Effort to be able to control the economy.  Market should rule  argue as to how much they should intervene. Marxism  Historical study of Transition from one mode of production to next o Looking primarily of the political control o
More Less

Related notes for POLI 381

Log In


Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.