Global Economy Case Study Example | Topics and Well Written Essays - 2500 words

Global Economy - Case Study Example Dani Rodrik had proposed a new dimension for global economic conditions. There are a lot of factors which contributes towards financial capital and differentiates rich countries from that of poor ones. Economic development and growth is only facilitated through capabilities being accumulated over a longer period of time. This truly encompasses technologies, public institutions and skills. It is not possible for globalization to leverage all such capabilities. They can only be leveraged by nations. East Asian nations have been able to enhance domestic productive capacities before entering into international markets. Reinvigorating requires maintaining a balance between markets and states without losing essence. Financial globalization Dani Rodrik throughout his works has highlighted various aspects affecting globalization process. There lies a major threat with globalization in terms of providing social insurance by national governments. Globalization often results into conflicts between and within nations over social institutions and domestic norms. Domestic democracy plays a vital role in sustaining global capital. However it is often a challenge for such democracy to protect one’s nation from global threats. Culture and technology can only be strengthened through domestic democracy and these factors contribute towards achievement of global capital (Steger 52-55). On the other hand, skilled and unskilled workers during globalization tend to become substitutive and elastic. I certainly feel that globalization has supported many nations to strengthen their position across the globe. There are threats associated with globalization and this has made many countries impose strict regulations or norms while trading with international markets. For instance, some European countries have laws stating that international players need to