Ethiopian Trader Historical Development

Added At:  2012-12-04 9:21 PM

   Last Updated At: 2012-12-04 9:21 PM

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DR. BIJAN PANT

Domestic politics is important in order to avoid historical mistakes such as conflict and civil war. The strength of democratic institutions that interacts with globalization pressures determine the ways that governments respond to the competitive global environment

How does the government in a developing country like Nepal respond to globalization? For over a decade, my work on global to local policy issues has brought forth the realization that policy matter shifts between the fragile and the intense, depending on the gravity of the policy specifics, such as globalization. I had opportunities to work with national and international organizations and forums about globalization over a period of time. The question is: does globalization affect institutions in our country according to the same patterns we have seen in developed countries, or is the situation fundamentally different? It is important, therefore, to understand how to measure the response to globalization between developing and developed countries.

Before looking at responses to globalization in a developing country such as Nepal, I must justify why I believe developing countries are conceptually different from developed countries and why they merit a separate analysis. One reason for their difference is that institutional weaknesses in many developing countries prevent them from successfully managing change in the global economy. Strong and entrenched political and socio-economic institutions in developed countries, such as the free market, financial institutions, democratic processes, political parties (the leadership thereof), labour institutions (professional rather than political motivations) and coordination among those institutions have been important factors in the ability of these states to successfully manage global economic pressures while pursuing unique national goals such as...