Globalization and the Government Essay Example | Topics and Well Written Essays - 1500 words

Globalization and the Government - Essay ExampleHence, it can be stated that planetaryization has weakened governance and dominance of government and has also restricted its role for the advance of the society. The essay highlights the supporting ideas for the argument globalization has reduced the ability of the government to govern (Weiss, 2000). International monetary Fund (IMF) has stressed on the growth interdependence of economy worldwide on the increasing good deal of cross-border transactions of goods or services and widespread transmission of technology. Dr. Ismail Shariff has defined globalization as a global process for homogenizing products, prices, wages, profits and interest rates. It depends on three main global forces of development such as the role of human migration, rapid movement of capital and international trade and lastly integration of pecuniary markets (Poggi, 1978). Globalization has been confounded by political and technical instruments such as polici es of trade, information technology, and financial liberalization. Thus, these instruments ar defined as the main drivers of globalization. However, there is a distinguishing lark about of globalization, which has been identified by IMF and the World Bank. The feature refers to the wide scope of revenue for the economy that is engaged in cross-border transaction. These two institutions have given its finding in the economic affairs and have limited government intervention into globalization. Free trade and growing mobility of capital to promote the supranational decision making of the companies have reduced the power of the governments globally. These factors have doubtless developed greater economic and social inequalities as globalization brought new realities to the market through its capitalistic approach (Held, 1991).