globalisation vs nationalism essay upsc

SUYASH KUMAR SINGH RANK 159 (UPSC CSE 2023) UPSC ESSAY MOCK TEST TOPICS | International -vs- Nationalism

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International -vs- Nationalism

(relevant for essay paper- upsc civil service examination).

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Globalization vs. Nationalism: What Is the Difference?

What is the distinction between Globalization and Nationalism, and how does this dichotomy affect political theory?

What is globalization? What is nationalism? How can we understand the theory of politics in light of this dichotomy? This article begins with an attempt to clarify the relationship between globalization (as a process) with nationalism (as a theoretical position). It then moves on to discuss the relationship between globalization and nationalism in democratic politics. The questions of rhetoric and whether there are material disagreements to correspond to the strictly discursive confrontation are addressed. The relationship between this dichotomy and the field of political aesthetics is then considered, before an attempt is made to distinguish various defenses of globalization and nationalism from one another, however partially.

Characterizing The Debate Between Defenders of Globalization and Nationalism

How best can we characterize the dichotomy between globalization and nationalism? It is worth beginning with an attempted clarification of some confused terminology. Whereas globalization is a process, albeit one of which the terms are severely disputed. The term which might be best for designating those who roughly hold globalization to be a “good thing” is globalism. Yet globalism has acquired such specific, negative connotations in recent times that the term feels odd, although it will crop up periodically in this article.

The philosophical discussion of globalization and nationalism is a new one. Indeed, this way of characterizing developments in economics, politics, and culture is itself quite new. One of the first questions to address is how we should define these two opposing ideologies. A balanced definition will be as free as possible from pejoratives, from misrepresentation, allows a conversation to take place, and thereby justifies our use of these two, opposing terms as the frame for productive discourse about contemporary political problems.

Let’s start with a provisional definition. globalization stands for a defense of the increased fluidity of goods, wealth, people, and culture across borders. The perspective of globalization is one in which we are arbitrarily restricted by national boundaries (and indeed other exclusionary forms of identification) in such a way that our lives are more difficult, and many opportunities for collaboration on shared problems are thereby lost.

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The nationalist perspective, in contrast, holds that national boundaries are not wholly arbitrary, and indeed whatever the status of their origins, there is value in preserving them.

The Democratic Context

To go further, it is necessary to separate off certain subjects and consider if and how far discourse within them can be developed with reference to the confrontation of globalization and nationalism.

Let us start with politics, and specifically democratic, electoral politics. It is important to account for the irrationality of democracy as we attempt to analyze it. There is, after all, no reason to think that the way a democratic political campaign pans out has much to do with material states of affairs and not an accumulation of accidents of persuasion.

Framing the latter in terms of a confrontation between globalization and nationalism is often extremely helpful. Indeed, globalization and nationalism can be understood in this context as two opposing political aesthetics .

Globalization might, for instance, express a certain kind of confidence towards new, as yet unrealized forms of politics, the possibility of politics surpassing its current theatre of national governance. On the other hand, nationalism might make appeals to conserving what we presently have, to the instability of the world beyond the known, national border. These are common ways in which stances with respect to globalization correspond to broader political perspectives. However, it is the very slipperiness of these terms with respect to the political “big picture” (that is, with respect to ideologies as such) that makes an analysis of globalization and nationalism so difficult and so interesting.

Rhetorical Devices? 

The aforementioned way of conceiving of the difference between globalization and nationalism (globalization as expressing optimism about new ways of doing politics, nationalism as conserving existing structures of political stability) might appear to constitute them as, in some sense, rhetorical devices rather than rational concepts by which political action can be structured (outside of whatever attempts are being made to alter public perception).

Certainly, both nationalism and globalization are powerful rhetorical tools. There is a totemic significance to referring to someone as a “nationalist” or “globalist,” independently of any particular policy that might be associated with these terms.

The discursive force is, if anything, heightened by the very formlessness of the political aesthetic associated with these terms. Take the binary we discussed above, for instance, in which nationalism stands for stability and globalization for unrealized possibilities. We can imagine, of course, a conservative globalization that emphasizes the pre-existing relationships between economies and cultures. On the other hand, nationalism can also be conceived as radical and seeking to remodel societies, a nationalism that thrives on—rather than oppose—instability.

Political Aesthetics 

Here is where attempting to demarcate the relationship between nationalism and globalization turns into a problem of political aesthetics. What is political aesthetics? What is the relationship between the political and aesthetics?

Roughly, we can conceive of political aesthetics as the study of politics, its systems, and processes in terms of its aesthetic elements. The very idea of “political theater,” or of the political “text” (be it a work of political theory, a constitutional document, or a policy statement) implies an aesthetic dimension to politics. Understanding the aesthetic dimension of politics means understanding where in politics it is the aesthetic component that is doing the most work.

Given the lack of any strict definition of the globalization-nationalism dichotomy in terms of practical political change, we might turn to the realm of aesthetics to explain the appeal of these categories. The range of aesthetic qualities which can be ascribed to something and, even more broadly, the aesthetic judgments which can be made of it, are extremely broad. There is a cluster of aesthetic qualities which appear to group themselves around the categories of globalization and nationalism in a given political environment and manifest in forms of political expression as an undercurrent.

The Point of Political Aesthetics

Yet that isn’t to say that globalization and nationalism represent their own, respective, mobile army of aesthetic signifiers. There is a sense in which the dichotomy between globalization and nationalism constitutes a dispute over the value of political aesthetics itself.

Nationalisms, in general, tend to place more emphasis on the symbolic elements of politics. Nazi Germany is almost inevitably the first case study for any attempt to relate aesthetics to politics. Nationalism’s attachment to its aesthetic goes beyond a kind of instrumentalization of aesthetic features, but an independent attachment. The idea of doing things for symbolic purposes, the idea that the independence of the nation-state is a symbolic act, is peculiar to nationalism.

Indeed, the dichotomy between globalization and nationalism can be conceived of as an extension of the problem of constructing politics itself. Certain theories of politics hammer this point home more explicitly than others. Carl Schmitt , for instance, held that politics begins just as the point where we can draw distinctions between our friends and our enemies, and the debate over globalization and nationalism is nothing if not an attempt to draw that very distinction.

Forms of Nationalism and Globalism

Although this article has so far attempted to draw out the differences between nationalism and globalization, it is important to stress that modern confrontations between these two ways of thinking are partly defined by their very fluidity.

Liberal forms of nationalism tend to emphasize the pragmatic value of thinking of politics in terms of the nation-state, rather than any deep ethnic or otherwise intrinsic “right.” Similarly, insofar as globalism is often posited as a pragmatic political position, it is also best understood as receptive to nationalism within certain, clearly prescribed limits. After all, globalization is a process that, at least on a globalist account of things, cannot be stopped (or at least, cannot be stopped without other severe trade-offs). Given that, the persistence of certain forms of national organization isn’t problematic per se for those who favor globalization , even if these are largely expected to ebb away in the long term.

Here we can draw the distinction between forms of nationalism/globalism that are more or less “pragmatic” positions, and those which express some other, more absolute commitment. We can also attempt to distinguish nationalisms and globalisms that understand their respective ideology to be an observation of historical inevitability, against those who take their ideology to be a stance against, in spite of, regardless of history.

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Between nationalism and globalism.

From UPSC perspective, the following things are important :

Prelims level: Not much.

Mains level: Paper 3- Is the globalisation past its peak? what will be the impact of corona crisis on the globalisation?

Although all world leaders have acknowledged the global imperative in dealing with the virus, they have put the nation first without much consideration to the collective action.

The middle path between extreme globalisation and hyper-nationalism

• ‘Nation first’ approach: Although all world leaders have acknowledged the global imperative in dealing with the virus, they have put the nation first . Are all nations now for themselves? Not so fast.
• Sovereignty is certainly back. Solidarity is under stress, but not dead. The drift is towards a middle path between extreme globalism and hyper-nationalism .
• The last few decades have seen the growing awareness of “global problems” like climate change and the need for “global solutions”.
• Lack of collective action: The corona pandemic certainly adds to that consciousness. But as in the case of climate change, collective action is not easy to come by.

Closing of the borders and the idea of a “borderless world”

• One of the first steps most governments took during the current crisis was to shut down their borders.
• The idea of a “borderless world” had gained much acceptance in recent years but is now under serious questioning.
• For example, how the US, Canada and Europe are outbidding each other in buying medical material from China.
• They are ready to pay a hefty premium if Chinese suppliers break from an earlier commitment.
• Nations banning medicines: Meanwhile, many nations, including India, have banned the export of much-needed medicines and equipment to combat the virus.
• Washington, which initially criticised other countries for limiting exports of essential drugs, has had no option but to go down that path as the toll from coronavirus rose rapidly.
• Donald Trump is angry with 3M, one of the leading American producers of masks, for exporting to other nations at a time of huge domestic shortfall.
• The US ban on exports of medical supplies came just days after the G-20 affirmed that its member states “will work to ensure the flow of vital medical supplies , critical agricultural products, and other goods and services across borders”.

Globalisation and related ideas under stress

• A testing time for two ideas: The problem is not that governments are being hypocritical. They are simply trapped in a crisis that is testing two important assumptions that guided the world in the last three decades.
• One is that globalisation, with its long and transborder supply chains, generates prosperity through economic efficiency.
• The second was that economic globalisation based on the dispersal of production will serve the interests of all nations.

Opposition to globalisation in the West

• The new objections to economic globalisation are not coming from the traditional champions of sovereignty in the East and the South, but the West.
• It was North America and Europe that had preached the virtues of unhindered economic
• They also championed the idea of globalism that will transcend national sovereignty in terms of both institutions and values.
• New converts to nationalism and sovereignty began to appear in the West well before corona crisis.
• Brexit to take control own borders: Britain walked out of the European Union claiming the need to “take back control” of its borders.
• Storming the White House against all predictions in 2016, Trump has sought to push Washington away from the trinity of America’s post-war political commitments-to open borders, free trade, and multilateralism.
• Globalisation and corona crisis: For Trump and his team, the corona crisis is confirmation of the dangers of excessive globalisation.
• This argument is finding some resonance in Europe.
• Addressing workers at a factory that makes masks in France, President Emmanuel Macron echoed the same feelings.

Arguments against globalisation

• An argument against efficiency: The efficiency argument of the globalists has been countered in the West by many who say societies are not merely economic units; they are also political and social communities.
• The disadvantage to working people: While expansive globalisation has helped generate super-profits for the capital, it has put the working people at an increasing disadvantage.
• Uneven distribution of benefits: The uneven distribution of the benefits from the dispersal of production and free movement of labour has undermined political support for economic globalisation in the West.
• Role of China: Reinforcing this downward trend is the belief that China is misusing global economic interdependence f or unilateral political advantage.
• There were indeed strategic consequences to China’s emergence as the world’s factory .
• After all, China is not a passive territory; it is an ancient civilisation with ambitions of its own.

Future of globalisation and the role of China

• The peak of expansive globalisation is over: While economic interdependence among nations can’t be eliminated, we might be past the peak of expansive globalisation and hyper-connectivity.
• Many countries are likely to move to the diversification of external production , short supply chains and stockpiles of essential materials to limit vulnerability during times of crises.
• China-West relations may change: The palpable anger against China in the US and beyond, for keeping the world in the dark about the spread of the coronavirus, has been magnified by Beijing’s “mask diplomacy” and political triumphalism after it got in control of the situation in Wuhan.
• This anger is bound to translate into long-term changes in the relations between China and the West and some rearrangement of multilateral mechanisms.

Out of this restructuring new international coalitions are likely to emerge. Even as world leaders put their own respective nations first, they will also explore new forms of solidarity. Like the instinct for self-preservation, solidarity too is part of human nature.

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Globalization in India | UPSC Notes

Introduction—   

• Multidimensional, multifaceted & Complex web of phen
• Kenichi Ohame— “Borderless world” 
• Marshall Machluhan— “Global village”
• Thomas Freidman (“The world is flat” )
• Thomas Freidman (“The Lexus & olive”)—”Inexorable integration of markets, N-S & tech to a degree never witnessed before” — Today individuals, corp, Nations r reaching the world farther, faster, deeper & cheaper
• Anthony Giddens— Intensification of worldwide social relations & Compression in time & space

Beginning of Globalization

• Formally after demise of C.W–1990s—End of history (Fukuyama) & N.W.O (Ascendency of Neo liberalism)– Est of WTO marked its highest point.
• Marx—  “Search for profits will take bourgeoise to settle everywhere & nestle everywhere”
• Hirst & Thompson— Present Glbl is a Rhetoric or a “New buzz word” for old capitalist exploitation– It is just a global expansion of capitalism.

Models of Globalisation

• Present model —based on Neo-liberalism led by USA—Free market capitalism & Liberal democracy (“End of History”) 
• Chinese model — At WEF– Xi expressed that China is willing to lead the Glbl & China led model will be more inclusive & Sustainable unlike USA. 
• Bhikhu Parekh– Norms governing the cosmopolitan w.o shd not be based on value system of one civilization, but shd be the result of “Dialogue b/w civilization”

Theoretical perspectives on Glb— 

• Liberals— Glbl promotes Free trade, Interdependences– ↑ Peace, prosperity & Dev
• Realists—Sceptical— Reinhold Niebuhr— Heightened E.I is likely to breed mutual vulnerability + It may have altered S, P & C domains but has not transcended the political domain.
• Marxist—WST— ↑ Gap b/w Core & periphery
• Feminists—Feminisation of poverty & migration, sex tourism.
• Post-Colonial Perspective—It results in Neo-colonialism—Subverting indigenous cultures + Spreading soulless consumerism

Globalisation: Myth vs Reality 

• Hyperglobalists— 
• Sceptics / Myth—Marxists—H & T— Globalisation is a fantasy— New buzz word
• Transformationalists—Rosenau / Giddens / David Held—  Profound changes have taken place but est features have not been swept altogether    
• Although it has become universal, however there are lot of regional & inter-sectral variations in terms of its depth—so “Real but not perfect”

Impact of Glb on Nation-state

• Glbl stimulated a major debate about power & sig of state in a globalized world—Glbl in its E&P forms, has led to a process of state retreat, even fashioning what some called the “Post-sovereign state”
• Glbl defined as borderless world & De-Territorialization but N-S rep Territorialized enitiy—These r anti-thetical ideas
• Marshall McLuhan—Global village
• Kenichi Ohmae—Borderless world
• Susan Strange– ‘where states were once masters of markets, now it is the markets which, on many issues, are the masters over Govts of states’.
• Traditional conception of sovereignty–States had supreme control within their borders, but forces of Glbl have made the hard shell of state perforated (Borders became increasingly ‘permeable’)
• Rise of ‘supra-territoriality’,with increasing range of economic activities take place within a ‘borderless world’.
• Financial markets that have become genuinely globalized– that financial crises in one part has impact in other parts of the world.
• Changing BoP b/w Territorial states &‘De- territorialized’ TNCs
• Glbl has not rendered state redundant as an economic actor, States retain a vital role in bringing about economic modernization(Robert Gilpin).
• Market based economies can only operate effectively within a context of legal & social order that only the state can provide.
• Although states, when acting separately, may have a diminished capacity to control transnational economic activity, they retain  facility to do so through macro frameworks of economic regulation, as provided by G-20, WTO, IMF
• Although profound changes have taken places, but w/o traditional features being swept away altogether. We are witnessing the both. In some aspect, globalization is winning & in other aspects, states are holding the power.
• Advanced Industrial States— Post-modern multilevel governance
• Weak post-colonial states— Lost sovereignty
• Modernising States like BRICS— Better positioned
• It has effected sovereignty of poorer & smaller nations in a worse way than the bigger ones 

Impacts on Devg countries— Xi–Glbl is a “Double edged sword”

+ve— In general Asian countries r winners, evident from prediction of “Asian century” & shift in C.O.G of IP from T-A to A-P.  

• Share of India, China & S-E Asia in global GDP ↑ from 12.5% to 31.8% b/w 1990 & 2016 + Poverty alleviation in Global south + achivement of MDGs.
• China’s share in Global GDP– from 4% to 17.5% in 2019, India’s share– 7%
• Vietnam— miracle—In a single Gen moved from poorest to middle income economy (Bcz it invested in health & edu)
• Branko Melinoski’s Elephent curve
• Inequalities ↑, Inequitable & Exclusive growth, Jobless growth (Ex– Service sector perpetuated but Agriculture stagneted due to WTO policies etc), -ve on food security, Env degrd
• Benefitted rich sections the most, as PBM says–Rise of “Plutocracy”
• Inter & Intra state disparities— WST
• Jagdish Bhagwati— Glbl has to be properly governed to yield desired result
• Xi– Glbl is a “Double edged sword”— It has its own Challenges & Opp– Depends on how we face & how well we r prepared– countries which has invested in capacity building & Skill dev have taken max benefits
• Amaratya Sen (Book– “Economic Dev & Social opp”)– Countries which joined have been better than those remained outside– Can serve as opp only by Capacity building of people

Impacts on Developed countries—

Initially benefitted but now adversely impacted— so Resentment & retreat– Rise of Right, Protectionism, Social mov like Occupy wall street mov, Middle class worst affected

-ve— Economic C.O.G shifted towards east— Fareed Zakaria— “Decline of west & Rise of rest”

• G-7—from 51% to 31% + EU’s share– from 27.6% to 16.8% + PIGS adversely impacted
• Security issues— Refugee crisis, Terrorism 
• Joseph Stiglitz—  Backlash in Devd world— as growth has not been inclusive
• “No point in blaming Glb for world’s problems”— Not Glbl but Automation & incorrect policies of Govt r R/S for job losses—Even GFC was bcz of regulatory failures
• “Pursuing protectionism is like locking oneself in a dark room. Wind and rain may be kept outside, but so is light and air”
• Glb is a “double-edged sword” but benefits far outweighed the -ves  
• “Global economy is a big ocean you cannot escape from” 
• Sweden & Germany benefitted bcz of steps in skill dev, while UK & UK neglected this.

Critics of Globalization

Marxist criticism

• ↑ gap b/w Core & peripheries
• Time to sing Swang Song  for it– Glbl has reached its “Dead end”
• Humanity has 2 options—Barbarianism / Socialism
• Samir Amin   (“Capitalism in age of Glb”)– Applied Dependency theory to show continuing Drain of wealth
• Hirst & Thompson— Just a “New Buzz word” for Old Capitalist exploitation

Other criticism

• Thomas Piketty  (Capital in the 21st century) 
• Arundhati Roy  (Capitalism: A Ghost Story )—Mutant variety of colonialism – remote controlled & digitally operated 
• Dark side—Rise of uncivil society—TN terrorism, H- trafficking
• Not “end of history,” but “end of geo”. 
• Aversely impacted S-E rights & strenghtend property rights
• Aversely impacted economic sovereinity, cultural integrity & Social stability.
• Vandana Shiva— Glbl is brutal for nature
• It has also -vely impacted Developed countries as well    
• Capitalist wars, -ve impact on health, education

Current phase

• Initially protests in Devg but now in Devd world
• Prof Deepak Nayyar— Glb is under stress with its present disrupted & future uncertain
• PBM— “Pincer moment”—attack from all sides—World doesn’t seems so flat now—Optimism of “end of history” is under challenge
• ↑ support for Rightist parties
• Anti-Glb mov—Occupy Wall Street mov, Protests against WEF, WTO  ( In Seattle )& G-20 ( In Humberg ) meetings
• In Europe– Tends of ” Border control” instead of “Borderless world” + Growth of Nationalistic & Xenophobic sentiments.
• Trade barriers— “Border control rather than borderless world”
• Multilateral inst are crumbling
• PBM— Rising “Me First” sentiment 

Future Prospects

• Although Glbl is passing through uncertain phase, but It is irreversible—as there r global challenges— Climate change, Terrorism

Hence there r imperatives for co-op— Aurobindo —“Aggregation is the law of Universe, Nature will destroy if we go against it”

• Jospeh Stiglitz (Making Glb work)—Address Democratic Deficit in inst of G.G

Can China lead Future Globn ?

• Xi Jinping at WEF— China ready to lead globn
• Enhanced RBEO— AIIB, NDB, BRI  
• Reforming its currency policy 
• Chinese economy slowing down 
• China-US great Thucydides trap.
• PBM (The second coming)—Even if China manages its domestic transition to slower growth, it is doubtful whether it has global political legitimacy to act as leader– China always see itself as “Middle kingdom”.

Globalisation & Covid-19

It was already in decline 

• Richard Fontaine & C. Raja Mohan— It was in decline well before COVID-19
• The Economists— Already a process of Slowbalisation was going on—GFC, trade war, Halt of  WTO talks—Covid has not led to decline but it has hastened its decline
• While heat against globalisation was simmering, pandemic added fuel to fire. 

-ves— Covid has prompted a new wave of  Glb obituarie s

• Highlighted risks inherent in overdependence on global supply chains— Prompted Re-nationalization of production
• Idea of a “Borderless world” is under serious questioning—Travel ban, US banned export of medicines 
• Harsh V. Pant — Covid-19 will strengthen the ongoing anti-globalisation voices
• Stephen M Walt—Realist Guide to Coronavirus Outbreak–Crisis is vivid reminder of centrality of state in IP + proves that— Intl co-op is fragile & Underlying anarchy of G.G is being exposed. 
• The recent Covid Crisis is seen as the beginning of deglobalization and the comeback of the state .

Will Globalisation will die?— No

• Steven Altman—Covid-19 is a “ bend but won’t break crisis ” for globalization.
• Shyam Saran— Covid may have stalled Glbl but it is here to stay. Also Pandemic has triggered Galloping Glb in digital economy

Covid-19 Will unleash a new phase of Glb—

• Richard Fontaine— Covid-19 will accelerate not its demise rather the likely result will be a new, different & more limited form of globl
• C. Raja Mohan— Sovereignty is certainly back. Solidarity is under stress, but not dead—Drift is towards a middle path b/w extreme globalism & hyper-nationalism, Also Corona added awareness of “global problems” & the need for “global solutions” 
• Suhasini Haider— While it will be impossible for countries to cut themselves off from Global market entirely, But regional initiatives will become the “Goldilocks option”—Middle path b/w Globalisation & Hyper-nationalism
• Further politicise migration, entrench biasness towards self-reliance & Inward looking economy—  Modi— New era of economic self-reliance has begun
• “Import substitution” may again gain currency as perils & pitfalls of overdependence on foreign supplies become clear. 
• Harsh V. Pant —Obituaries of globl have been written many times in past as well. It will surely survive this latest assault. But the form in which it might endure will requires us to think more creatively 

Which type of Glb needed in Post Covid world– A “New Templete” of Glbl is needed–

• Modi— “In post covid world, we need a new template of Glb based on fairness, equality & humanity”– Thus needed a “More inclusive Glbl with Humane face”
• Joseph Stiglitz– Reform Inst of G.G & global financial inst like WB, IMF + address Democratic Deficit

Features of Globalization

• Complex process– Creates conditions for a more co-op world but also a major source of Instability, inequalities & Conflict
• Emergence of Globalism– collective awareness or conciousness of the world, Globalised way of life
• Relative De-Territorialization of S, E & P activities
• Relative De-nationalisation of power.
• Economic Power shift in World politics– BRICS, G-20.
• Menifests in all domains of social life, albeit with varying intensity– But Economic Glbl > Cultural, Pol etc
• Uneven / Assymetric in nature– has diff degree of enmeshment — Rich countries more globalised than poor.

Globalization’s impact on world order

• Instead of “End of state, Glbl has produced a “More activist state”– To achieve Domestic objectives, State engages in co-op & collaboration
• A shift from a world of discrete but interdependent N-S to the world as a shared social spaces that transcend National bounderies.
• Power & Political authority now is not the sole preserve of State but is diffused among diverse Actors, Pvt agencies, NGOs, Supra state bodies
• Sovereignity is now shared among national, regional & Global authorities.
• Baylis & Smith– A shift from state centric Geopolitics to Geo-centric Global politics
• Territoriality– still relevent, but now emergence of new Political org that transcends Territories & Borders
• State Sovereinty– Transformed not eroded- Now Sov rep shared exercise of power & Authority by National, Regional & global authorities + States now uses Sov as a bargaining chip in Intl Negotiations
• State Autonomy– To achive Domestic objectives in interdependent world, States r forced to engage in co-op & collaboration (But this also compromises their autonomy of self governance) 

Globalization & Return of Geo-politics

• Matter of Debate whether Glbl & Geopolitics r compatible or not
• Brian Blouet– While Geopolitics restricts movements, est imperial controls but Glbl stands for De-territorialization
• Ellen Frost– We r moving towards a much more ‘interconnected world system’ + External threats have assumed transnational forms that traditional geopolitics of BoP is now largely irrelevent
• Realists– Imperitives of Geopolitics outweighs the principle of Glbl
• Realpolitik is again taking centre stage– Present Realist ex
• “New Geopolitics” is emerging in era of Glbl–It rests less on military power & more on soft power
• “winless withdrawal” of US from Iraq & Afghan r evidence that superiority in military power ‘is no longer able to reach desired political outcomes in violent conflict’– US shd learn that depending on “Old Geopolitics” will bring only ‘Frustration & defeat’

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Globalization

Globalisation is the phenomenon of rising integration, interdependence, and interconnectedness of the global community (socially and economically).

Factors affecting Globalization in India

• Economic reforms : In 1991, India implemented a series of economic reforms that aimed to liberalize the economy, open up to foreign investment, and encourage private sector participation which played a crucial role in integrating India into the global economy and attracting foreign companies to invest and operate in the country.
• Information technology boom : India's skilled workforce, particularly in the field of software development and IT services, has made it a global hub for outsourcing and offshoring.
• Trade liberalization : Reductions in tariffs, removal of trade barriers, and the facilitation of cross-border trade have increased India's participation in international trade and boosted globalization.
• Foreign direct investment (FDI): The opening up of key sectors to foreign investment and the relaxation of FDI regulations have attracted multinational corporations (MNCs) to establish a presence in India.
• Infrastructure development : Investments in infrastructure, including transportation, logistics, and communication networks, have improved connectivity within India and with the rest of the world.
• Demographic advantage: The availability of a vast labour pool has attracted outsourcing and offshoring activities, making India a preferred destination for certain industries seeking cost-effective solutions.
• Technological advancements : Advancements in technology, especially in communication and information technology, have played a significant role in India's globalization. E.g., Access to affordable mobile phones, widespread internet penetration, and the growth of digital platforms have enabled greater connectivity, communication, and access to global markets for businesses and individuals.
• Cultural exchange: Indian diaspora communities across the world have also fostered connections between India and other countries, facilitating trade, investment, and knowledge exchange.

Forms of Globalization and its Social Impact:

• Cultural Globalization: This refers to the transmission and diffusion of ideas, meanings, and values around the world in such a way as to extend and intensify social relations.
• Economic Globalization : This involves the increasing integration and interdependence of national economies around the world.
• Political Globalization: This refers to the growing influence and cohesion of transnational governmental actors and the increasing role of international organizations such as the United Nations.
• McDonaldization: A term used by sociologists to describe a societal shift toward efficiency, predictability, calculability, and control in societies.
• Global Culture: This refers to the notion of a single global culture emerging, mainly Western, facilitated by the rise of mass media and the internet.
• Homogenization: The process by which cultures are becoming more alike through globalization.
• Hybridization: This concept refers to the blending of elements from different cultures as a result of globalization.
• Cultural Imperialism : This term refers to the domination of other cultures by a powerful nation, particularly in terms of cultural values and norms.
• De-territorialization: This is the severance of social, political, or cultural practices from their native places and populations.

Glocalization:

• Glocalization is a term that combines "globalization" and "localization." It refers to the concept of developing or tailoring products, services, and strategies in accordance with both global and local requirements.
• The goal of glocalization is to create a global product or service that has been adapted to the local culture, taste, laws, and market demands where it is being sold.
• Glocalization is particularly relevant in the world of business and marketing, where a balance must be struck between reaching a global audience and catering to local tastes, customs, and regulations.

Key features:

• Understanding Local Culture : This involves gaining knowledge about local customs, values, and tastes. This is a crucial aspect of glocalization, as businesses aim to make their products or services relevant and appealing to local markets while maintaining their global brand identity.
• Adapting Products or Services : Adapting a product or service to cater to local preferences can involve changes in design, packaging, colors, features, and even the product name to resonate with the local market.
• Compliance with Local Regulations : Businesses often need to modify their products, services, or operations to comply with local laws and regulations. This can include safety standards, environmental regulations, import/export rules, and other legal requirements.
• Local Marketing Strategies : Marketing strategies can be modified to suit local preferences. This can involve using local languages, appealing to local cultural values, and using local media and advertising channels.

Some Examples of Glocalization:

  Impacts of Globalization on Indian Culture: 

• Cultural Exchange: Globalization has facilitated increased cultural exchange between India and other countries, leading to the assimilation of foreign ideas, practices, and values into Indian culture.
• Influence of Western Culture: The influx of Western media, technology, and consumerism has significantly impacted Indian culture, particularly among the younger generation, leading to changes in lifestyle, fashion, and social norms.
• Culinary Fusion: Globalization has introduced international cuisine to India, leading to a fusion of flavors and culinary practices. Indian cuisine has also gained popularity worldwide, contributing to cultural diversity.
• Language and Communication: Globalization has led to the adoption and widespread use of English as a global language of communication. This has affected regional languages and dialects, altering linguistic patterns and communication dynamics in India.
• Entertainment Industry: The global reach of Indian cinema (Bollywood) and television shows has popularized Indian culture and traditions abroad. However, it has also influenced Indian entertainment, leading to a blend of local and international styles.
• Consumerism and Materialism: The rise of global brands and consumer culture has influenced Indian society, leading to an increased emphasis on material possessions and changing values related to wealth and status.
• Cultural Preservation and Revival: Globalization has also sparked a renewed interest in Indian traditions and cultural practices, leading to efforts to preserve and revive indigenous art forms, crafts, music, and dance.
• Education and Employment: Globalization has provided new opportunities for Indian professionals in various sectors, leading to cultural exchange and exposure to different work cultures and practices.
• Religious and Spiritual Influence: Globalization has brought diverse religious and spiritual beliefs to India, leading to an interchange of ideas and practices. It has also led to the growth of global religious movements within the country.
• Challenges to Cultural Authenticity: Globalization has posed challenges to preserving the authenticity of Indian culture, as commercialization and commodification of traditions can dilute their true essence.

Impacts of Globalization on Women 

  Positive Impacts

• Greater Employment Opportunities: Globalization has led to the growth of industries and the service sector, creating new job opportunities. Women have been able to find employment in sectors like technology, hospitality, and healthcare.
• Improved Access to Education: Globalization has played a role in spreading awareness about the importance of education for girls. There's an increased emphasis on women's education, resulting in more educated women in the workforce.
• Increased Social Empowerment: With access to global media, the internet, and various forms of communication, many women are more aware of their rights and have been empowered to fight for them. Globalisation has brought feminist movement to India and hence gave voice to their ideas and concerns. e.g. #MeToo movement.
• Economic Independence: Many women now have more financial freedom and independence, which can empower them in their personal and professional lives.
• Exposure to New Ideas and Lifestyles: Globalization brings in a flow of ideas and cultures from around the world, leading to more progressive attitudes towards women's rights and roles in society.
• Greater Representation : There has been a significant increase in the representation of women in various fields such as politics, science, and technology.

  Negative Impacts

• Wage Disparity: Despite an increase in employment opportunities, wage disparity remains a significant issue. Women often earn less than their male counterparts for the same work.
• Exploitation in Unorganized Sector: Many women work in the informal sector with little or no job security or benefits. They may also be subject to exploitation and abuse.
• Inadequate Social Security: Many women employed in the global economy lack access to essential social security benefits like maternity leave, health insurance, and pension schemes.
• Dual Burden: Women often face the dual burden of paid work outside the home in addition to unpaid domestic work, leading to long work hours and stress.
• Increased Consumerism: The rise in consumerism due to globalization can lead to financial stress and societal pressure.
• Cultural Displacement: The influx of western culture can lead to a sense of cultural displacement and conflicts between traditional and modern values, particularly in terms of gender roles.
• Marginalization of Rural Women: While urban women may benefit from globalization, rural women are often left behind, further exacerbating rural-urban inequalities.

  Impact of Globalization on Family:

• Nuclear Family: With the movement of younger generation for education and employment, nuclear families have replaced joint families.
• New forms of family: With westernisation and modernisation, new forms of family are evolving e.g. dual career family, single parent family and live in relationship.
• Individual interests: are becoming more important than the family interests.
• Decline in caring functions: The caring and nurturing functions of family are declining due to employment of women, rising physical distance etc.
• Declining role in finding life partners: Online dating sites have reduced family’s role in finding life partners.
• Decline of traditional authority: The traditionally accepted authority of Husband or Father is declining.
• Modernisation of the industrial sector: India became a favourite offshore market for pharmaceutical manufacturing, chemical, and petroleum industries.
• Privatisation of the financial sector: Prior to globalization and privatization, India’s financial sector had been mismanaged by a combination of corrupt and inept government officials.
• Agriculture sector: The new technological capabilities of farmers have increased helping drive global exports of Indian products such as tea, coffee and sugar.

Impact of Globalization on Sections of Society:

  The Phenomenon of Anti-globalization

• Economic Inequality : Globalization has led to uneven distribution of wealth, with certain individuals and corporations benefiting significantly more than others. According to a report by Oxfam, the world's richest 1% have more than twice as much wealth as 6.9 billion people. This has led to feeling of alienation from the process of globalization.
• Rise of Protectionism: Countries imposing tariffs and trade barriers to protect their domestic industries and jobs can undermine the free flow of goods and services that characterizes globalization.
• Populist Movements: The rise of populism in various parts of the world, driven by economic dissatisfaction, often manifests in resistance to globalization. This can lead to policies aiming to regain national control over economic affairs.
• Geopolitical Tensions: Political and economic rivalries between major powers can lead to 'decoupling', where the global exchange of goods, services, and information is disrupted.
• Technology Disruptions: While technology can accelerate globalization, concerns over issues like data privacy, cybercrime, and digital divides are leading some countries to impose restrictions on the free flow of digital information.
• COVID-19 Pandemic: The pandemic has disrupted global supply chains and led to calls for increased domestic production of key goods. This could result in a more localized approach to production in the future.
• Environmental Concerns: The environmental impact of globalization is leading to calls for more sustainable, localized practices.
• Issues of Sovereignty: There's an increasing call for national sovereignty against perceived overreach by global institutions, which may prompt a shift away from multilateral agreements.
• Migration Crisis: As large numbers of people move across borders due to economic disparity, conflict, or climate change, it can fuel anti-globalization sentiments and policies.
• Rise of Nationalism: Increasing nationalism can lead to a backlash against globalization, as citizens seek to prioritize national interests over global ones.

The Resilience of Global Trade: Continuity Amidst Changing Dynamics:

• Global Trade Defies Headwinds: Despite challenges, global trade remains robust. e.g., COVID-19 pandemic, Russia-Ukraine war effects.
• Selective Changes in Global Trade: The structure of global trade is evolving selectively. Example: De-globalization or regionalization may occur in specific industries and countries over the next five to ten years.
• Regionalization as a Response: Countries and regions pursue self-sufficiency and regional trade. Example: Rising regionalization of supply chains, such as Asia's increasing share of machinery imports into China.
• Shift from Unipolar to Multipolar: The global economy moves away from a unipolar framework. Example: Sino-U.S. relations deteriorate, leading to a fragmented global economy with multiple ecosystems.
• Implications for Inflation and Growth: Changes in globalization dynamics may impact inflation and growth. Example: Increased regionalization and potential inflationary pressures could lead to structurally higher interest rates and lower growth.

Conclusion: The economic and social shifts that have occurred as a direct result of globalisation are also encompassed within the definition of globalisation. Consumers in today’s world have access to a diverse array of options for both the products and services they purchase. Globalization brought positive social changes in the society; however, it becomes a point of concern when an overwhelming impact of globalisation can be observed on the Indian culture and environment.

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Globalisation & Indian Society

• Globalization is a process of interaction and integration among the people, companies, and governments of different nations, a process driven by international trade and investment and aided by information technology.
• Modern globalization originated with the end of the Cold War and the disintegration of the Soviet Union in 1991. The driving factors are democracy and capitalism—Washington consensus or neo-liberalism.
• In India, after the LPG Reform of 1991, globalization came as a revolutionary force along with liberalization and privatisation and changed the soul of the Indian economy .
• Globalization is primarily an economic process, but it is one that clearly has profound social implications.
• There has also been opposition to globalization in certain parts of the globe. People wary about the uprooting of the culture have started assertion of their identity. This has led to movements such as:
• Rise of religious fundamentalism.
• Rise of Cosmopolitan Localism.

Glocalisation: It is a phenomenon that is a combination of words such as ‘globalisation’ and ‘localisation’. It points to the simultaneous occurrence of both universalizing and particularizing tendencies in contemporary social, political and economic systems.

Examples of Glocalisation in the Indian context:

• Popularisation of Desi Chinese in India.
• Mcdonald's selling Aaloo Tikki burgers in India etc.

Impact of Globalization on Indian Society

Young people are growing up in a world of globalization and inequality, taking part in a development process that is simultaneously bringing people closer together and widening the divisions between them.

Positive Impacts

• Health and education provision has improved in many developing countries that have been more actively involved in globalization.
• Win-Win situation: Youth getting the best of both worlds. For a casual gathering, they might choose to wear jeans but for formal occasions, they prefer traditional dresses. Furthermore, while they may decide to marry for love, they are equally eager for their parents to accept their choice of partner and give their blessings on the marriage .
• More aware, more independent: The role of parents are decreasing in the various important decision of their children's lives in general and on the study and job-related matters.

Negative Impacts

• Growth of consumerism: Youth culture today tends to be strongly associated with increasing commercialism that has permeated and changed the fabric of contemporary Indian society observable by youth’s acceptance of Western foods and beverages, dresses, cosmetics, ornamentations, music dance etc.
• Traditional Indian values weakened: For example, relationships and marriages have had a severe blow from the pornography available on the internet.
• Leads to exclusion: Globalization is characterized by spatial segregation; in that, it actively increases the disparities that already exist between global elites and the localized majority.

While youth and adult are the main carriers of this process, children-as a passive agent has also been variedly affected.

• Broadened access: to goods and services e.g., childcare products.
• Infused multiculturism: Increasing respect and tolerance for other cultures and ethnicities.
• Enhanced avenues for learning: e.g., Student exchange programs have broadened student exposure.
• Internet as an equalizer: has opened a window of opportunities for kids belonging to all classes of society.
• Awareness: due to the ease of access to the internet and related technologies
• The exploitation of the environment: e.g., the dumping of e-waste by developed nations into poor developing countries has exposed kids to the problems of toxic air and water.
• Fast food culture: e.g., McDonaldization has tilted children's dietary preferences towards unhealthy junk food over home-cook food.
• Enhanced unproductive time: being spent on social networking and online gaming like Pubg.
• Exaberated problem of child labour : e.g., due to huge global demand an estimated 300,000 children work in India’s hand-knotted carpet industry.

Thus, although globalization has made Indian children are now more future ready. But its dark side as seen, presents a word of caution.

• Caste System: Globalization has relaxed norms of socializing, intermingling, and inter-caste marriages. Expanding economic opportunities and a breakdown of the traditional division of labour led to social mobility.
• Religious System: Spread of religious ideas through migration has caused the rise of spiritual affiliation in Western countries. Also, globalization led to the questioning of exploitative traditions like Deva-Dasi, and Triple Talaq.
• Marriage: There is an increase in the concept of love marriages. Web-based marriage alliance systems have also become a common phenomenon.
• Homogenization of culture: The process of rising global interconnectedness and interdependence has led to the uniformization of culture across the world.
• Food Culture: Lifestyle changes due to the consumption of junk foods promoted by global food chains like McDonald's and KFC are not only affecting food culture but also giving rise to sedentary lifestyle-based health disorders.
• Clothing Culture: Traditional dresses has become a symbol of the ceremony while Western clothing like denim dominate everyday life across regions, gender and demography
• Family: Decline in joint family pattern, the dominance of nuclear families. Modern thoughts like live-in culture have also been recognised as seen in the famous Kanniammal case.
• Linguistic culture: The influence of transnational corporations dominated the English language over regional and minority languages. For example, Families in urban areas often use English in their daily communication. However, it has led Indians to excel in the country's services sector.

Rural India

• Revolutionized the primary sector: Activities like agriculture, animal husbandry , pisciculture, and horticulture. by providing cheap and affordable machines, tools, hybrid and different varieties.
• Generated employment: Thereby elevating the standard of living in rural India.
• Opened access to newer markets: To sell their products globally at good prices.
• Intensification and internal labour migration: Labour migration to cities from rural areas in search of employment is a common phenomenon.
• Access to better services: ICT led to better service delivery like Common Service Centre (CSC) and better health services using e-Health.
• Technical education: Available on the internet via tele-education has helped students from rural areas to secure employment.
• Exposure to global culture: Through mass media and education has encouraged rural people to abandon traditional social conservative norms and taboos.
• feeling of Casteism.
• Globalization has resulted in growing urbanization, which has facilitated a secular pattern of living and hence impacted the “separation of contact” aspect of the caste system.

However, despite changes, the caste system has shown immense resilience and still continues to exist as one of the significant features of Indian society .

Deterioration in the emotional attachment: with the spread of mobile handsets and internet in the rural areas people are getting detached from social gatherings.

Spread of consumerism: the culture of consumerism has penetrated in rural areas due to globalization which has led to the growth of materialism in rural areas.

Culture of imitation in the name of modernisation: in the blind race of progress people are imitating rather than modernising like buying a car by selling land or having caste-based speakers on their vehicles.

• Growing global demand has given a boost to the tribal economy: For example, Orissa tribal culture became very popular, because of dance, handicrafts such as wooden products stone products and some other handmade product sales in the global market.
• Displacement of Tribals: About 55 per cent of the country’s tribal population now resides outside their traditional habitats. Development induces displacements like irrigation developments are the major causes. For eg: The Narmada Bacho Andolan.
• Unsustainable development of Tribal regions: Rapid technological advancement and unrivalled economic and political strength of capitalism, have created favourable conditions for the evasion and extraction of natural resources from the ecologically fragile territories of tribal people.
• New advances in technology, the reorientation toward export-led development, and the imperatives of pleasing global financial markets are all driving forces in the extermination of countless native communities which stand in their way.
• Traditional sovereignty over hunting and gathering rights has been thrown into question as national governments bind themselves to new global economic treaties.
• New trade and investment agreements, which are opening up previously inaccessible territory to industrial extraction of natural resources have forced indigenous peoples to defend their homelands under an invasion of unprecedented rate and scale: Big dams, mines, pipelines, roads, energy developments, and military intrusions all threaten native lands.
• Global rules on the patenting of genetic resources via the WTO have made possible the privatization of indigenous peoples’ genomes, the biological diversity upon which they depend, and the very knowledge of how that biodiversity might be used commercially.
• National governments making decisions on export development strategies or international trade and investment rules do not consult native communities.

Positive impacts

• It promoted equal wages to women including in the informal sector .
• It has increased the average wages of women
• Women’s employment opportunities have increased
• The social choices of women have increased
• In addition to giving them self-confidence and increasing their morale

Negative impacts

• Women work two full-time jobs. As they moved to workplaces but their responsibilities have not decreased.
• Although some women enjoy the freedom of delaying marriage, they soon realize that this form of independence might actually be a burden because finding a husband later in life is not as easy as in their youth.
• Sexual harassment at the workplace .
• Due to illiteracy and unawareness rural-area women are more exploited than urban-area women.
• Women’s weaker property rights and limited access to productive inputs also constrain their capacity to benefit from trade openness.
• Many new jobs in growth sectors have low wages, insecure tenure and limited training or promotional prospects.
• Globalisation has decreased costs and increased access to new healthcare technology Average life expectancy and health has increased because of improvement in technology, medical facilities, and living standards.
• The rapid growth in communication technologies has made the world a small place. Aged people who could not be lucky to live with their children due to the job pressures of the young, can now easily interact with them over Skype and Zoom.
• Remittances: 18 million India living outside send money to their parents at Home to improve their quality of life The
• longevity dividend: The people now have become more economically prosperous because of better employment opportunities across the world, and due to this they are able to save more for their old age.

Negative Impacts:

• Fallouts of disintegration of joint families
• Unclear Roles in a fast-changing world
• The problem is aggravated when parents are economically dependent on children.
• The rapid cultural shock that they experience because of globalisation has led them into a trap of anxiety.
• Globalisation has not only led to faster growth but also faster inflation. The elderly population find their savings are often eaten away by inflation.
• Psychological problems like a sense of dependence, insecurity, fear and alienation.

Agriculture

• Increase in farm productivity: Globalization has enhanced farm productivity on account of new seeds, technology like drip irrigation etc. It has also led to the efficient utilization of farm inputs, making farming financially viable and profitable.
• Increase in export of agricultural goods: The prices of agricultural goods are higher in the international market than in the Indian markets. The international market for agricultural goods in India has increased farmers’ income.
• Research collaboration with foreign countries: Has increased R&D in the field of agriculture and technology.
• Contract farming: Globalization has encouraged corporate and contract farming which have helped farmers.
• Value addition: Through the proliferation of food processing industries has improved farmers’ income.
• Intellectual property rights: Intellectual property rights cause unfavourable impacts on Indian agriculture . Multinational companies can easily enter the field of agriculture and it will be bad for the margin farmers .
• International institutions: Like WTO pressurizing to curb amber box subsidies such as Electricity, Fertilisers, Seeds, Water, MSP etc. Since it considers nearly all domestic support measures as distortion on production as well as international trade.
• Price fluctuation in global markets: Import inflation impact local prices that affect Indian consumers e.g., Edible oil.

Informal sector

The informal sector consists of units engaged in the production of goods or services with the primary objective of generating employment and income for the persons engaged in the activity. The worker work under highly exploitative, low paid and low social security conditions, owing to their low human capital capabilities, and hence are more exposed to economic upheavals.

• Heightened competition due to Globalization: Encourages sub-contracting of work to the informal sector because of low wages and lost cost of production in the informal section.
• The casualization of labour: Global competition tends to encourage firms to shift formal wage workers to informal employment arrangements without minimum wages, assured work, or benefits.
• Rise of the Gig Economy : Presents new opportunities for the unskilled worker of the informal economy. Eg – new employment opportunities introduce by companies like Uber.
• Globalization benefits large companies which can move quickly and easily across borders but possess disadvantages to labour, especially lower-skilled workers that cannot migrate easily or at all.
• Women are pushed to the lowest income end of the informal economy as more and more men enter the informal economy.

Deglobalization/Reverse Globalization

Deglobalization is defined as the process of diminishing interdependence and integration between certain units around the world, typically nation-states. It is widely used to describe the periods of history when economic trade and investment between countries decline. It stands in contrast to Globalization in which units become increasingly integrated over time and generally span the time between periods of globalization.

It is marked by the outbreak of a series of "black swan" incidents such as the Brexit referendum, the US-China trade war, growing trade protection, border crossing and immigration control, which has caused widespread concern.

Reasons behind the emergence of deglobalisation

• Protectionism and unilateral withdrawal from international organizations and agreements. For example – Brexit.
• Changing geopolitical equations. For example, the US withdrawal from Afghanistan, and the aggressive rise of China.
• The rise of national consciousness and unemployment in Western countries led to stricter immigration policies. For eg, the policies in Saudi Arabia against immigrant workers.
• Crisis and inflow of refugees affecting national resources. For example – Syrian refugees, and Rohingya refugees.
• Fear of the spread of the pandemic especially COVID-19 .
• Restriction of labour movements : India would be affected because it enjoys the benefit of remittance in the global economy. For eg, Kerala’s Remittance economy has been shaken during the lockdown.
• The affected inflow of foreign investments:  This will affect employment generation, forex reserves and the flow of new technologies in the country.
• Reduced cooperation and coordination among countries: Will impact overall global economic growth.
• While globalization and deglobalization are antitheses, they are no mirror images. But global leaders must come together to timely mould this trend in a manner that makes reverse globalization more like a self-correcting mechanism to overcome the challenges posed by globalization while retaining its benefits.

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Economic Nationalism

Last updated on February 17, 2024 by ClearIAS Team

Economic nationalism, a multifaceted phenomenon that intertwines economic policies with national interests, has seen a resurgence in the global arena. Read here to learn more.

In the context of global markets, economic nationalism should be viewed as a collection of strategies to establish, support, and defend national economies.

Economic crises, nationalist movements, and expanded governments all contributed to the development and institutionalization of economic nationalism in the 20th century.

This article delves into the intricacies of economic nationalism, examining its historical context, key features, benefits, challenges, and implications in the contemporary world economy.

Table of Contents

Economic Nationalism: Historical Context

Economic nationalism is not a new concept; it has roots in the mercantilism of the 16th to the 18th centuries, where nations sought to accumulate wealth primarily through trade surplus and colonization.

The ideology gained prominence during the 19th and early 20th centuries, paralleling the rise of nation-states and industrialization, which saw countries imposing tariffs and quotas to protect nascent industries and preserve national wealth.

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The post-World War II era , particularly with the establishment of the Bretton Woods system and the General Agreement on Tariffs and Trade (GATT), marked a shift towards liberal internationalism, focusing on reducing trade barriers and fostering global economic cooperation.

However, the late 20th and early 21st centuries have witnessed a resurgence of economic nationalism, driven by globalization’s discontents, financial crises, and geopolitical tensions.

What is Economic Nationalism?

Economic nationalism can be characterized by policies that prioritize national interests, economic independence, and security.

It manifests in various forms, including protectionism ( tariffs, trade barriers ), state capitalism (state ownership or control of businesses), and efforts to control foreign direct investment (FDI) .

The ideology is underpinned by the belief that the state should have a pivotal role in directing the economy to protect and promote national interests and sovereignty.

Unlike globalization which promotes interdependence among nations, economic nationalists favor tariffs to restrict free trade, promote indigenous industries, and seek import substitution.

• Protectionism : Imposing tariffs and non-tariff barriers to protect domestic industries from foreign competition. For instance, the U.S. steel and aluminum tariffs imposed in 2018 aimed to protect these industries under national security grounds.
• State Capitalism : Governments taking ownership stakes in key industries or sectors. China’s model, where the state owns or controls significant portions of the economy, including technology and manufacturing sectors, exemplifies state capitalism within an economic nationalist framework.
• Foreign Direct Investment Scrutiny : Increasing scrutiny of FDI to prevent foreign control over strategic industries. Examples include the Committee on Foreign Investment in the United States (CFIUS) reviewing foreign investments for national security implications.

Benefits of Economic Nationalism

• Protection of Domestic Industries : By sheltering local industries from international competition, economic nationalism can help preserve jobs and promote industrial development.
• National Security : Ensuring control over strategic sectors and reducing dependence on foreign entities for critical supplies can enhance national security.
• Economic Sovereignty : Economic nationalism advocates for a country’s right to pursue its economic policies without external coercion, preserving its sovereignty.
• Prevents drain of foreign exchange : Imports cause a drain of foreign exchange, and the ideology prevents this from misbalancing the trade.
• Trade Wars and Retaliation : Protectionist policies can lead to trade wars, as countries retaliate with their tariffs, potentially harming global trade.
• Economic Inefficiency : Protectionism can lead to inefficiencies, as industries shielded from competition may lack incentives to innovate or improve productivity.
• Impact on Global Supply Chains : Economic nationalism can disrupt global supply chains, increasing costs for consumers and businesses and potentially leading to shortages of goods.

Economic Nationalism in the 21st Century

The 21st century has seen a notable rise in economic nationalism, driven by several factors:

• Global Financial Crises : The 2008 financial crisis led to questioning of the global financial system and calls for more national control over economies.
• Globalization’s Discontents : While globalization has lifted millions out of poverty, it has also been associated with job losses and wage stagnation in developed economies, fueling nationalist sentiments.
• Geopolitical Tensions : Rising tensions between major powers, such as the U.S. and China, have spurred efforts to decouple economies and regain control over strategic sectors.

The resurgence of economic nationalism presents both challenges and opportunities for the global economy.

• On one hand, it poses risks to the multilateral trading system and could lead to fragmentation and inefficiencies.
• On the other hand, it prompts a reevaluation of globalization’s impacts and the need for policies that ensure more equitable growth and resilience against global shocks.

Economic nationalism in India

Economic nationalism in India has been a significant force in shaping the country’s economic policies and strategies since its independence in 1947.

This approach has gone through various phases, reflecting India’s evolving economic priorities, political ideologies, and the global economic environment. Understanding economic nationalism in India requires an examination of its historical context, key policies, shifts in economic ideology, and the impact of these policies on India’s economic development and position in the global economy.

Post-Independence Era (1947-1991)

In the aftermath of independence, India, led by its first Prime Minister, Jawaharlal Nehru, and influenced by the economic policies of the British Fabian Society , adopted a model of economic nationalism that emphasized self-reliance, protectionism, and a significant role for the state in economic development.

• The government implemented a mixed economy model, where key industries were nationalized, and the state-controlled critical sectors like mining, telecommunications, and transportation.
• The Industrial Policy Resolution of 1956 and the establishment of the Planning Commission in 1950 were significant steps in this direction, focusing on heavy industries and aiming to reduce dependence on foreign investments and goods.
• This period was marked by the License Raj, a regulatory system that required businesses to obtain government licenses to set up and run industries.
• While this system aimed at protecting domestic industries and preventing monopolies, it eventually led to inefficiencies, slow growth, and corruption.

Economic Liberalization (1991 Onwards)

The economic crisis of 1991, characterized by a severe balance of payments problem, forced India to adopt structural reforms and liberalize its economy.

• The New Economic Policy (NEP) introduced in 1991 marked a significant shift from protectionism to integration with the global economy.
• The reforms included deregulation, privatization of state-owned enterprises, and opening up to foreign investment.
• Despite this shift, economic nationalism continued to play a role in shaping policies that sought to balance liberalization with protecting national interests.

Key Features of Economic Nationalism in India

• Protection of Domestic Industries : India has implemented various tariffs and non-tariff barriers to protect its emerging industries. For example, the Make in India initiative, launched in 2014, aims to encourage companies to manufacture their products in India and incentivize domestic production. Other initiatives like Vocal for Local, and Atmanirbhar Bharat also fall under the broader vision of economic nationalism.
• Promotion of Domestic Innovation : Programs like Digital India and Startup India aim to foster innovation within the country, reduce dependencies on foreign technology, and create a self-reliant digital infrastructure.
• Strategic Global Engagement : India’s approach to economic nationalism also involves strategic engagement with the global economy through bilateral trade agreements, participation in international forums, and attracting foreign investment in sectors critical for India’s growth while ensuring that it does not compromise its economic sovereignty.

Impact and Challenges

Economic Development: Economic nationalism in India has had a mixed impact. On the one hand, it has helped develop domestic industries, reduce foreign dependence, and improve self-reliance. On the other hand, protectionist policies have sometimes led to inefficiencies and hindered India’s competitiveness in the global market.

Balancing Global Integration and National Interests: One of the significant challenges facing India is balancing its integration into the global economy with protecting its national interests. While foreign investments and technologies are crucial for India’s growth, there is also a need to ensure that this does not lead to a new form of economic dependence.

Addressing Inequalities: Economic nationalism must also address the issue of inequalities within the country. While India has seen significant economic growth, this has not always been evenly distributed. There is a need for policies that ensure that the benefits of economic nationalism and growth reach all sections of society.

As India continues to navigate the challenges of the 21st century, the principles of economic nationalism will likely continue to shape its strategies, aiming to achieve a balance between self-reliance and global integration, and ensuring that economic growth translates into broad-based improvements in living standards for its population.

Economic nationalism, with its emphasis on prioritizing national interests in economic policy, presents a complex challenge to the liberal international economic order established in the post-World War II era.

While it offers potential benefits in terms of protecting domestic industries and enhancing national security, the risks of protectionism, trade wars, and global economic fragmentation cannot be overlooked.

As the world economy continues to grapple with the ramifications of globalization, technological change, and geopolitical shifts, the debate over the merits and drawbacks of economic nationalism is likely to remain a pivotal issue. Finding a balance that promotes economic sovereignty and national interests while preserving the benefits of global trade and cooperation is one of the foremost challenges facing policymakers today.

Related article: Dollarization of economy

-Article by Swathi Satish

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Back to main page, between nationalism and globalism.

Although all world leaders have acknowledged the global imperative in dealing with the virus, they have put the nation first without much consideration to the collective action.

The middle path between extreme globalisation and hyper-nationalism

‘Nation first’ approach:  Although all world leaders have acknowledged the  global imperative  in dealing with the virus, they have put the  nation first . Are all nations now for themselves? Not so fast.

Sovereignty is certainly back.  Solidarity is under stress,  but not dead. The drift is towards a middle path between  extreme globalism and hyper-nationalism .

The last few decades have seen the growing awareness of “global problems” like climate change and the need for “global solutions”.

Lack of collective action:  The corona pandemic certainly adds to that consciousness. But as in the case of climate change, collective action is not easy to come by.

Closing of the borders and the idea of a “borderless world”

One of the first steps most governments took during the current crisis was to  shut down their borders.

The idea of a  “borderless world” had gained much acceptance  in recent years but is now under serious questioning.

For example, how the US, Canada and Europe are outbidding each other in buying medical material from China.

They are ready to pay a hefty premium if Chinese suppliers break from an earlier commitment.

Nations banning medicines:  Meanwhile, many nations, including India, have banned the export of much-needed medicines and equipment to combat the virus.

Washington, which initially criticised other countries for limiting exports of essential drugs, has had no option but to go down that path as the toll from coronavirus rose rapidly.

Donald Trump is angry with 3M, one of the leading American producers of masks, for exporting to other nations at a time of huge domestic shortfall.

The US ban on exports of medical supplies came just days after the  G-20 affirmed  that its member states “will work to  ensure the flow of vital medical supplies , critical agricultural products, and other goods and services across borders”.

Globalisation and related ideas under stress

A testing time for two ideas:  The problem is not that governments are being hypocritical. They are simply trapped in a crisis that is testing  two important assumptions  that guided the world in the last three decades.

One  is that globalisation, with its long and transborder supply chains, generates prosperity through economic efficiency.

The second  was that  economic globalisation  based on the dispersal of production will serve the interests of all nations.

Opposition to globalisation in the West

The new objections to economic globalisation are not coming from the traditional  champions of sovereignty in the East  and the South,  but the West.

It was  North America and Europe  that had  preached the virtues  of unhindered economic

They also championed the idea of  globalism that will transcend national sovereignty in terms of both institutions and values.

New converts to nationalism and sovereignty  began to appear in the West well before corona crisis.

Brexit to take control own borders:  Britain walked out of the European Union claiming the need to “take back control” of its borders.

Storming the White House against all predictions in 2016, Trump has sought to push Washington away from the trinity of America’s post-war political commitments-to open borders, free trade, and multilateralism.

Globalisation and corona crisis:  For Trump and his team, the corona crisis is confirmation of the dangers of excessive globalisation.

This argument is finding some resonance in Europe.

Addressing workers at a factory that makes masks in France, President Emmanuel Macron echoed the same feelings.

Arguments against globalisation

An argument against efficiency:  The  efficiency argument of the globalists  has been countered in the West by many who say societies are not merely economic units; they are also political and social communities.

The disadvantage to working people:  While expansive globalisation has  helped generate super-profits  for the capital, it has put the  working people at an increasing disadvantage.

Uneven distribution of benefits:  The uneven  distribution of the benefits  from the dispersal of production and free movement of labour has undermined political support for economic  globalisation in the West.

Role of China:  Reinforcing this downward trend is the belief that China is  misusing global economic interdependence f or unilateral political advantage.

There were indeed  strategic consequences to China’s emergence as the world’s factory .

After all, China is not a passive territory; it is an ancient civilisation with  ambitions of its own.

Future of globalisation and the role of China

The peak of expansive globalisation is over:  While economic interdependence among nations can’t be eliminated, we might be past the peak of  expansive globalisation and hyper-connectivity.

Many countries are likely to move to the  diversification of external production , short supply chains and stockpiles of essential materials to limit vulnerability during times of crises.

China-West relations may change:  The palpable anger against China in the US and beyond, for keeping the world in the dark about the spread of the coronavirus, has been magnified  by Beijing’s “mask diplomacy”  and political triumphalism after it got in control of the situation in Wuhan.

This anger is bound to translate into long-term changes in the  relations between China and the West and some rearrangement of multilateral mechanisms.

Out of this restructuring new international coalitions are likely to emerge. Even as world leaders put their own respective nations first, they will also explore new forms of solidarity. Like the instinct for self-preservation, solidarity too is part of human nature.

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Globalization: Drivers, Impacts and India’s Role

Globalization emerges as a central theme, consistently echoed throughout literature and across various academic discussions . This chapter deconstructs the essence of globalization , examining its primary drivers and delving into its political , economic , and cultural implications . A notable aspect of inquiry revolves around interplay between India and globalization : finding the influence of this global trend on India and, conversely, India’s contributions to shaping globalization.

Globalization

Globalization can be defined as a dynamic process involving movement or flow of ideas , capital, commodities, and people across globe . At its core, it is characterized by the concept of ‘worldwide interconnectedness,’ facilitated by these various flows. This multifaceted phenomenon extends its reach across political , economic , and cultural dimensions , affecting nations and societies in diverse ways. Its impact is far from uniform , as it exerts distinct influences on different regions and communities . Therefore, it is imperative to emphasize the importance of assessing specific contexts and nuances before attempting to draw overarching conclusions about the complex and ever-evolving concept of globalization.

Nature of Globalization

• Potential Drawbacks: It is not solely positive, with potentially detrimental effects on individuals and communities.
• Beyond Economic Indicators: It doesn’t focus purely on economic aspects; influence isn’t confined to transitions from rich to poor countries.

Globalisation in Service Sector

• Cultural Adaptation in Service Delivery: Employees in service sectors often adopt Western personas and accents to service overseas clients.
• Time Zone: Adjustments are made to cater to different time zones and even holidays of international clients.

Globalisation in Trade and Commodities

• Global Consumer Preferences: Imported products, such as cycles made in other countries, are often chosen for their affordability and quality.
• Globalization of Toys and Entertainment: Popular toys, originating from countries like the US , find markets in other nations.
• Shift from Tradition:
• Increased Global Opportunities: There is a noticeable trend of individuals , especially women , pursuing careers and lifestyles that might have been unconventional in their traditional contexts.
• It often leads to conflicts between old values and new global perspectives.

Examples of Globalization

• Agricultural Dependence: Farmers face repercussions due to reliance on products from multinational companies.
• Domestic vs. Foreign Business: Acquisitions of foreign companies by domestic enterprises amidst opposition.
• Local Businesses Under Threat: Local businesses fear competition from major international retail chains.
• Cultural Appropriation: Cultural influences lead to accusations of copying in media industries.
• Tradition vs. Modernity: Social tensions arise from adopting Western attire or lifestyles.

Causes of Globalisation

Historical Precedents: Globalisation, in terms of the flow of ideas, capital, commodities, and people , is not a new concept. Historically, such flows have always been present.

• Uniqueness of Contemporary Globalization: The distinct nature of contemporary globalization lies in the scale and speed of these flows . So understanding today’s globalization requires knowledge of its historical roots.

Technological Advancements

• ICT Revolution: The invention of telegraph, telephone , and modern microchip has transformed global communication.
• A catalyst for Change: Just as the invention of printing paved the way for nationalism , modern technology reshapes personal and collective identities.
• Technology-Driven Globalisation: The enhanced movement of ideas , capital , commodities , and people across the globe owes largely to technological progress.
• Uneven Pace: However, speed of these flows differs; for instance, capital and commodities often move faster than people.

Global Interconnections

Improved communication alone isn’t the sole driver of globalization.

• Global interconnectedness is realized when individuals across the world recognize their shared experiences and impacts.
• Catastrophic Ripple Effects: Events in one part of the world, like the Bird flu or tsunamis, are not restricted to that region but can have a global influence.
• Economic Interdependence: Major economic events can resonate beyond their immediate environments, causing worldwide repercussions.

Globalization is a complex process that goes beyond just economic factors to include political, cultural, and social aspects. The effect differs in various areas, impacting communities in distinctive manners. The interaction between India and globalization emphasizes how the country influences and is influenced by global trends. Technological progress and past events highlight the intricate nature of modern globalization, stressing the importance of detailed evaluations in comprehending this dynamic concept .

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Nationalism

Nationalism is an ideology that holds that a nation is the fundamental unit for human social life, and takes precedence over any other social and political principles.

In other words, it is a sense of national consciousness, encouraging one nation to put emphasis on promoting its culture and interests instead of those of other countries or supranational groups.

Nationalism is an idea and movement that holds that the nation should be congruent with the state.

History of Nationalism

Nationalism is a modern movement. In most part of our history, the people have been attached to their native soil and territories, but it was only by the mid of 18th century that nationalism was generally recognized as one’s sentiment in public and private life.

One of the earliest manifestations of Nationalism occurred in 18th-century England, during the Puritan revolution (English Civil War) whereby, nationalism, as an idea and a force, emerged alongside doctrines of popular sovereignty.

American War of Independence and the French Revolution further strengthened the idea of Nationalistic affiliations and hence Nationalism has become a dominant theme in the modern world.

Anthony D. Smith proposed preconditions for the formation of a nation. They are as follows

• A fixed homeland (current or historical)
• High autonomy
• Hostile surroundings
• Memories of battles
• Sacred centres
• Languages and scripts
• Special customs
• Historical records and thinking

Types of Nationalism

1. Ethnic Nationalism: Ethnic nationalism holds that nations are defined by common ancestry, language, and beliefs.  Ethnic nationalism is based on the idea that ethnic groups have the right to self-determination.

2. Cultural Nationalism: Cultural nationalism is nationalism in which the nation is defined by a shared culture and a common language, rather than on the concepts of common ancestry or race.

3. Civic Nationalism: Civic Nationalism also known as democratic nationalism and liberal nationalism, is a form of nationalism that adheres to traditional liberal values of freedom, tolerance, equality, and individual rights and is not based on ethnocentrism.

4. Ultra-Nationalism: It is an extreme and more aggressive form of nationalism. It has negative connotations as it can result in hatred towards others nations and their citizens.

5. Post-Nationalism: Post-nationalism as an ideology, it is a critique of nationalism and is tilted more towards internationalism. Post-nationalism is a process or trend where the importance of nation-states and national identities is reduced relative to cross-nation or supranational and global entities as well as local entities.

6. Civic Nationalism: It is a theory or an ideology which is built around shared citizenship in a liberal-democratic state. It believes in an inclusive form of nationalism that adheres to traditional liberal values of freedom, tolerance, equality, and individual rights.

7. Eco-nationalism: It is an ideology where the state and its people appropriate environment and environmental policies as a form of national pride and believes that the state and its citizens have a special duty to protect the environmental resources of their country.

Nationalism vs Patriotism

Nationalism is an ideology based on the premise that an individual’s loyalty and devotion to one’s country should come above the interests and opinions of other citizens or the interests of a certain group of citizens.The pride of nationalism, however, trumpets its country’s virtues and denies its deficiencies. Nationalism is contemptuous toward the virtues of other countries. It wants to be and proclaims itself to be “the greatest”.

Patriotism is an attachment to a homeland. The love and adoration for the place where an individual is born. brought up, and the nation that place belongs to. These attachments can be related to ethnic, cultural, political or historical. Patriotism is also being proud of a country’s virtues but with an eagerness and readiness to correct its deficiencies to be better. A patriot acknowledges the patriotism of citizens of other countries and respects their virtues.

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Debate on Nationalism – Essay for UPSC Preparation

October 11, 2019 by Sandeep

The rise of nationalism in India can by and large be credited to the freedom struggle of our country against British colonialism and their after effects on our people. We can confidently say that the seeds of nationalism were sown in people from all walks of life through the freedom struggle movement.

Though people of our country vary extremely and diversely in culture, traditions and religious beliefs, the one thing that binds them all in one mould is nationalism. It is simply said, the love, respect and patriotism for our motherland. How far we are able to testify ourselves on grounds of nationalism with changing times is a point of debate for the citizens of our country.

Are you preparing for IAS Exam? Check out the UPSC 2020 linked article.

Effects of Globalisation

Nationalism is a feeling of seeing our country above the rest of the countries in the world. Globalisation is to welcome participation under mutual concerns with other countries and nations of the world. It is simply the taking out of barriers or hindrances, this allowing free flow of trade and commerce activities, talks, communications, discussions and cultural exchange programs between different nations of the world.

If we were to see nationalism from a stand alone point of view the general opinion of the masses is that, nationalism starts diminishing under normal functioning. However, when you place the concept of nationalism in a global perspective a fresh wave sets in.

Nationalism then gets a broader and better meaning among the masses in a global concept. Thus we can say that globalisation has helped nations to revive the feeling of nationalism amongst its countrymen.

Global Capitalism

When trade and commerce operations got a non-interference protocol from the government, the economic spheres saw huge bounds and leaps. Capitalism are bound by the laws of the land that allow their smooth operation.

This becomes capitalism within the structure of the nation and simply does not garner much nationalism, when the same concept is applied at a global level keeping the global economy in perspective, globalisation and capitalism get interlinked to nationalism.

Outsourcing jobs to other countries increasing production by buying technology from other countries is possible with global capitalism. Whether this feeling masks the idea of nationalism or not is debatable.

The advantages of high production rates and global way of handling trade and commerce operations gives a country’s nationalism or very good boost. When India opened its doors to global capital markets, it saw huge inflows of economical advantage, from all corners of the world where it carried out active trade.

Socialist Internationalism

This concept is a little away from capitalist views, though it has a global approach. India has always faced different kinds of nationalism activities in India. This is mainly due to different kinds of leaders from governments that sought with different thinking platforms to perform as a country. When we talk of socialism, the word democracy easily comes to the context.

But leveraging democracy on a global plate or giving it an international tag is something that our government recognised much later. Under the BJP led Modi government, our prime minister has visited many nations around the globe to bring in better economic prospects to our nation.

The concept of socialist internationalism is against the ‘left’ way of thinking. The ‘left’ always consider their local population above everything else and work in the horizons of a communist and capitalist nature. But with changing times, democracy reined a more powerful concept of sticking to global trade, inviting global manufactured goods, inflows from both our country and elsewhere.

Being a nation that is called the biggest democracy is one side of the coin and accepting views from the west and adhering to business operation out on the ‘left’ box of thinking has only surged improvement of nationalism in the country.

UN multilateralism

On a general note, multilateralism is like a part or a treaty among nations that have common interests. Multilateralism is like a membership card to international collaboration like minded countries coming together to create a powerful cluster with the aim to derive and exercise greater power is common scene on international platforms

When we talk about UN multilateralism the very functioning and operational structure of such a big organisation is multilateral by its very nature. In the UN disparities, the big players have an upper hand over the smaller powers and can vest / exercise more power and authority in this regard.

So, India is also part of the international play arena where it is considered a multilateral group among many other like minded nations. India is also group of many such similar alliances for effective multilateralism to create its own place for interests and policies and strengthen nationalism.

Territorial Conflicts

We can find in the pages of history that since times immemorial, India has been witness to outside attacks from invaders and crusaders. Be it the likes of Alexander or Mohammed Ghazni, they all attacked India because the spirit of nationalism was thriving high and as such it was a rich and prosperous nation then when Britishers first entered the scene of India through the East India Company, they understood what would work for India to make it their easy colony.

This divide and rule policy created rifts throughout the length and breadth of the country. The countrymen were severely paralysed. But the British used this policy mainly because that kind of a situation was already prevalent here.

The kings and the rulers of various states had no peace for harmony with the neighbouring states, so they were always in war with each other. If we compare this to the present scenario, we find political parties struggling and fighting with each other, not with an intention to work for and strengthen nationalism of the country.

They fight and argue for their own personal gains and reasons, hence nationalism takes a beating or gets severely crippled. To exploit the country for one’s personal reasons literally curbs the backbone of a country’s operating machinery and gives rise to many wanted cooperation issues. A leader is supposed to carry his nationalism in his hands. If a certain political party is not too strong, it will easily bring down the nationalism of the country.

To uphold nationalism of India, we must try our bit and help countrymen understand the need and necessity of having hardcore nationalism towards India.

In short, we can definitely say that coping with new problems that arise out of territorial conflicts affect nationalism to a greater extent than anything else. This also poses a major challenge for the country as a whole.

Sub-Nationalism

To understand the concept of sub nationalism we have to first understand regionalism. In our country, since many decades, it is so likely that the central government is more popular in the north than in the south. The southern states, though connected in every aspect with central legislature, remains a different entity when it comes to direct politics.

That is exactly where nationalism plays a different role. Regionalism is more prominent in the southern states as compared to a higher grade of nationalism in India. Territorial influences create more regional affinity in the south and citizens in this part live with a small kind of isolation with the rest of the country.

It is here that the concept of ‘sub nationalism’ sets in. People are more averse to giving undue importance to regional politics than setting higher standards of national interest. It is like people locking themselves in their own homes and thinking of an interest only in their own homes rather than thinking about the whole society that they are a part of. Sub nationalism in a way masks the beauty of nationalism and paves way for regionalism and love for one’s own territorial limits.

Economy and Nationalism

Of late, the IMF and World Bank have abridged space for macro economic policy making by nation states. This in a great way is very beneficial to the economic progress for a country like India. If we look at the recent demonetization activity, black money from various holes and dark corners of the country were brought to light and justice was served outright. Nationalism thrives under such schemes that are made in the benefit of the whole country.

There is fear that with the setting of the new world economic order India might have to shut down its large base of small scale industries permanently. Once upon a time, the nationalism of our country stood on the progress of these industries. Later macro economic policies replaced these age old economic structure to develop a new and strengthened national order.

Multinational companies in India

The left groups in India are against the automation industry or the setting up of foreign companies on our shores. MNC’s are not welcome on our land in their world. But foreign direct investment has only been able to create more jobs and employment opportunities in our country.

At the lowest order in society, it may not deliver satisfactory results for example, if we see the online shopping giant Amazon which is doing big business in our country, at every level it has been able to offer jobs to various strata of people. On the flip side, small shopkeepers are facing a threat of closing down shops with the increasing numbers of online shopping.

Nationalism on the whole is that innate feeling and respect that garners an identity creation and construction which goes synonymous with one’s nation. We have to believe in our leaders who are striving to gives us a better future so that the country as a whole prospers and nationalism shines at a better rate than ever.

Incidents like terrorism and cross border infiltration tend to dent the image of nationalism and make our homes a living hell. Today NRIS resent coming back to their own country, it is not that they lack patriotism for their country, but they just fear for their own lives.

Globalization vs. Nationalism

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Globalization and Nationalism: Contending Forces in World Politics

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Niccolò W Bonifai, Nita Rudra, Carew Boulding, Samantha L Moya, Globalization and Nationalism: Contending Forces in World Politics, International Studies Review , Volume 24, Issue 2, June 2022, viac021, https://doi.org/10.1093/isr/viac021

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Globalization is facing widespread condemnation at a time when worldwide crises ranging from climate change to pandemic policy increasingly demand a coordinated response. Rising nationalist, populist, and anti-globalization movements in many of the world's richest nations are placing great pressure on the international system pioneered by Western democracies following World War II. This special issue showcases new research on the sources and types of backlash. It also considers the consequences of this backlash for democracy, for international institutions and foreign policy. We aim to broaden the debate on the causes and consequences of rising populism and nationalism and offer unique perspectives on how and why the current international order is struggling to address the many global challenges in need of large-scale cooperative solutions.

La globalización se enfrenta a una condena generalizada en un momento en que las crisis mundiales, que van desde el cambio climático hasta la política de pandemias, exigen, cada vez más, una respuesta coordinada. En muchas de las naciones más ricas del mundo, el aumento de los movimientos nacionalistas, populistas y antiglobalización está ejerciendo una gran presión sobre el sistema internacional que las democracias occidentales pusieron en marcha después de la Segunda Guerra Mundial. Esta publicación especial presenta nuevas investigaciones sobre las fuentes y los tipos de reacción. También evalúa las consecuencias de estas reacciones para la democracia, las instituciones internacionales y la política exterior. Nuestro objetivo es ampliar el debate sobre las causas y consecuencias del aumento del populismo y el nacionalismo, y ofrecer perspectivas únicas sobre cómo y por qué el actual orden internacional está teniendo dificultades para abordar los numerosos desafíos globales que necesitan soluciones cooperativas a gran escala.

La mondialisation fait l'objet d'une condamnation généralisée à l'heure où les crises mondiales, allant du changement climatique à la politique de lutte contre les pandémies, exigent davantage une réponse coordonnée. La montée des mouvements nationalistes, populistes et antimondialistes dans de nombreuses nations parmi les plus riches du monde exerce une forte pression sur le système international mis en place par les démocraties occidentales après la Seconde Guerre mondiale. Ce numéro spécial présente de nouvelles recherches sur leurs causes et leurs différentes répercussions. Il examine également les conséquences de ce contrecoup sur la démocratie, les institutions internationales et la politique étrangère. Notre objectif consiste à élargir le débat aux causes et conséquences de la montée du populisme et du nationalisme et à offrir des perspectives uniques sur les façons et les raisons pour lesquelles l'ordre international actuel peine à relever les nombreux défis mondiaux qui nécessitent des solutions de coopération d'envergure.

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International Relations

Make Your Note

Protectionism vs Globalization

• 15 Dec 2021
• GS Paper - 2
• Deglobalisation & Protectionism
• Effects of Globalization on Indian Society

For Prelims: Globalization, Protectionism, Atmanirbhar Bharat Initiative

For Mains: Pros and Cons of Globalization, Decline of Globalization, Protectionism in India.

Why in News

The External Affairs Minister of India (EAM), at the recent Global Technology summit , has asserted that the Covid-19 pandemic has brought India’s capabilities and need for more domestic production rather than unchecked globalization.

• He further held that, to foster tech growth, nations must seek more start-ups, supply chains and jobs to be created internally.
• This speech of EAM has sparked a debate between protectionism vs globalization.
• About: Globalization envisages a borderless world or seeks a world as a global village.
• Origin of Modern Globalization: What today is referred to as globalization, started with the end of the Cold war and the disintegration of the Soviet Union in 1991.
• Driving Factors: Globalization was the offshoot of two systems — democracy and capitalism — that emerged victorious at the end of the Cold War.
• Dimensions of Globalization: It may be attributed to accelerated flow of goods, people, capital, information, and energy across borders, often enabled by technological developments.
• Manifestation of Globalization: Trade without tariffs, international travel with easy or no visas, capital flows with few impediments, cross-border pipelines and energy grids, and seamless global communication in real-time appeared to be the goals towards which the world was moving.
• It heightens competition within the domestic product, capital, and labour markets, as well as among countries adopting different trade and investment strategies.
• Vehicle of Social Justice: The proponents say globalization represents free trade which promotes global economic growth, creates jobs, makes companies more competitive, and lowers prices for consumers.
• Increases Cultural Awareness: By reducing cross-border distances, globalization has increased cross-cultural understanding and sharing.
• Sharing Technology and Values: It also provides poor countries, through infusions of foreign capital and technology, with the chance to develop economically and by spreading prosperity.
• Rise of Global Problems: Globalization has been criticised on account of exacerbating global disparities, spread of international terrorism and cross-border organised crime, and allow for the rapid spread of disease.
• Backlash of Nationalism: Despite the economic aspect of globalization, it has resulted in National competition, advancement of national ambitions.
• Due to this, there is a danger of losing precious cultural practices and languages.
• Also, there are threats of cultural invasion of one country over another.

De-Globalisation or Protectionism

• Protectionism refers to government policies that restrict international trade to help domestic industries.
• Tariffs, import quotas, product standards, and subsidies are some of the primary policy tools a government can use in enacting protectionist policies.
• Globalization had already begun to plateau or stagnate since the 2008-09 global financial crisis (GFC).
• This is reflected in Brexit and US’ America First Policy.
• Further, trade wars and the halting of WTO talks is another recognition of the retreat of globalization.
• These trends pave the way for an anti-globalization or protectionism sentiment, which may further amplify due to the spread of the Covid-19 pandemic.
• Not opening up for imports, particularly after the Indian Government failed to agree on terms for a mini trade deal with the US.
• India walked out of the 15-nation Regional Comprehensive Economic Partnership of Asian countries.
• The “Aatmanirbhar Bharat (Self-Reliance) initiative” , launched in May 2020, after the beginning of the pandemic, was also perceived internationally as a protectionist move.

Way Forward

• A holistic and easily accessible ecosystem, from the procuring of raw materials to the outlet of finished products, must be made available.
• People-centric policies: The only way to trigger employment is to step-up value addition in the local area. There is a need for such people-centric and sector-specific policies in order to accelerate growth.
• Alternative global alliance: India needs to now move beyond regional alliances and look forward to a cooperative alliance between like-minded countries in terms of trade such as the USA, EU, and Japan, to figure out an alternative to break the hegemony of China in the global supply chain.
• Promote R&D and capacity building: There’s a need to prioritize building capacity and policy framework to become cost-competitive and quality competitive.
• Increasing Production: Enhance domestic Production as well as put thrust to increase exports and promote research to become more independent. India needs to plan now for the next 20 years.