Globalization and the Failure of Economic Policy

Müller, Ronald E.
May 1975
Challenge (05775132);May/Jun75, Vol. 18 Issue 2, p57
Academic Journal
Since the mid-1960's, economic policy has become increasingly ineffective, if not actually perverse. The resulting "stagflation" is a source of constant bewilderment to economists whose notions about economic behavior come straight out of the neoclassical text. But to economists who have been studying the emergence of multinational corporations as the dominant actors in the American political economy, the current era of economic instability is not incomprehensible. The globalization of the world's largest industrial and financial enterprises represents a structural transformation as fundamental as the post-Civil War development of the small local firm into the large, nationwide corporation. Because global corporations operate differently from merely national ones, this transformation has invalidated the behavioral assumptions of orthodox theory. Predictably, policies based on those assumptions tend to misfire repeatedly, particularly as the multinationals increase their dominant position in both the national and international economy.


Related Articles

  • U.S. International Public Relations: The Challenge of the Seventies. Moore, Frazier; Adamson, Carrie // Journal of Advertising;1975, Vol. 4 Issue 1, p15 

    The United States operates four dozen overseas agencies directly affecting its worldwide image. To these must be added state agencies and the private sector, including the communication media, the business community, tourists, entertainers, professionals, and academia -- all of whom make...

  • No Doctrine at All. Rothschild, Matthew // Progressive;Jun2000, Vol. 64 Issue 6, p4 

    Comments on the United States international economic policy and President Bill Clinton's doctrine of `humanitarian intervention.' Views of former World Bank chief economist Joseph Stiglitz on the role of the International Monetary Fund in the financial community; Two ways the Clinton Doctrine...

  • CHARTING THE TRANSNATIONAL DIMENSION OF LAW: U.S. FREE TRADE AGREEMENTS AS BENCHMARKS OF GLOBALIZATION. Murphy Jr., Ewell E. // Houston Journal of International Law;Fall2004, Vol. 27 Issue 1, p47 

    Examines the transnational dimension of law with regards to globalization by observing free trade agreements in the U.S. as the benchmarks. Identification of technology and transnational investment as the two powerful accelerators of globalization; Discussion of the agreements such as the...

  • THE IMPACT OF UNITED STATES ECONOMIC POLICIES ON INTERNATIONAL RELATIONSHIPS. Voris, William // SAM Advanced Management Journal (00360805);Fall72, Vol. 37 Issue 4, p40 

    Introduces a series of articles about the impact of the United States (U.S) economic policies on international relationships. Views of the U.S government on military power and intervention; Role of the U.S. in international affairs.

  • CONDITIONALITY AND FOREIGN ASSISTANCE. Ensign, Margee M. // Journal of International Affairs;Fall88, Vol. 42 Issue 1, p147 

    Focuses on trends and impacts of foreign assistance programs in the U.S. Changes in the emphasis of the programs in the 1980s; Information on the non-project assistance concept; Case studies of Jamaica and Costa Rica.

  • What Did Keynes Really Mean? Coddington, Alan // Challenge (05775132);Nov/Dec74, Vol. 17 Issue 5, p13 

    The article presents information on John Maynard Keynes, economics policy maker whose policies are discussed in explaining the inflation-unemployment dilemma of today. The author says the way economists have tackled the problems of controlling the economy is hardly as dramatic or colorful as the...

  • That '70s Horror Show. Moore, Stephen // American Spectator;Mar2009, Vol. 42 Issue 2, p20 

    The article compares U.S. economic conditions in the late 2000s to those in the 1970s, warning that the administration of U.S. President Barack Obama looks set to repeat the failed policies of President Jimmy Carter. The history of the 1970s is recounted, including wage and price controls,...

  • SAFER PASSAGE. Delaney, Laurel // Entrepreneur;Dec2005, Vol. 33 Issue 12, p113 

    Focuses on the Customs-Trade Partnership Against Terrorism (C-TPAT) as a voluntary partnership between the U.S. and the international business community that protects the global supply chain. Significance of the C-TPAT in preventing terrorist from infiltrating global trade; Views on the...

  • The Global Economy and the Nation-State. Drucker, Peter F. // Foreign Affairs;Sep/Oct97, Vol. 76 Issue 5, p159 

    The article presents a discussion on globalization in nation-states. By 1912, when the United States established the Federal Reserve System, every nation-state had its own central bank to control the commercial banks and their credit. But throughout the nineteenth century, one nation-state after...


Other Topics