Global

Hypothesis: The role of the state is diminishing in face of an increasingly globalized world that is characterized by technological innovation and decreasing communications costs. However, the role of the state is still very much needed.

Despite the free market and knowledge-based economy, the need for government has still not been diminished. Combining ideas from private and public sectors will strengthen both sectors and enhance the changes of society’s success. http://aabss.org/journal2005/AABSS%20Article%202%20ECONOMIC%20ROLE.pdf

Introduction

• Globalization, in economic aspects, is usually referred to as the ultimate expression of the marketplace in a world increasingly moving towards a borderless economy through a process driven by institutional change, technological change and modernization. P. 57

(Karagiannis, 2007)

• Globalization is a term which has been used to describe and explain many worldwide phenomena. It has been given positive connotations by those who advocate greater economic integration across national borders, while it has been fiercely criticized by those who perceive it as a threat to social cohesion and as the advancement of unfettered capitalism, which undermines the Welfare State. (This paper draws upon the United Nations World Public Sector Report 2001 on “Globalization and the State” to which the authors of the present paper were among the major contributors.)

• Globalization is a complex phenomenon, which encompasses a great variety of tendencies and trends in the economic, social and cultural spheres. It has a multidimensional character and thus does not lend itself to a unique definition. For purposes of simplicity, it may be described as increasing and intensified flows between countries of goods, services, capital, ideas, information and people, which produce cross border integration of a number of economic, social and cultural activities.

• There are four are main driving forces behind increased...