International Political Economy in Context : Individual Choices, Global Effects.

Format:

Book

Author/Creator:

Sobel, Andrew C.

Language:

English

Subjects (All):

Economics--Political aspects.

Economics.

Globalization.

International economic relations.

Nation-state.

World politics.

Physical Description:

1 online resource (633 pages)

Edition:

1st ed.

Other Title:

International Political Economy in Context

Place of Publication:

Washington DC : CQ Press, 2012.

Summary:

Focuses on a micro approach to political economy that grounds policy choices in the competitive environments of domestic politics and decision-making processes.

Contents:

Cover Page

Dedication

Title

Copyright

Brief Contents

Detailed Contents

Figures, Tables, and Maps

Preface

PART I. BUILDING BLOCKS TO EXAMINE GLOBAL POLITICAL ECONOMY AND CONFLICT

1. Introduction: Political Economy, Rationality, and Social Science

Similarities across Domestic and International Politics

Globalization and Global Capitalism: Connecting Markets and Communities

The Past as Prologue

What Is Political Economy?

Three Core Assumptions within the Micro Political Economy Approach

Scarcity

Political Survival

Rationality

Rationality, Preferences, and Self-Interest Explored

Ordering Preferences

Rationality under Scarcity and Political Survival

Two Properties of Preference Ordering: Completeness and Transitivity

Context and the Interdependence of Choices: Opportunity for Strategic Behavior

Game Theory: Modeling Context and Interdependent Choices

Outcomes versus Choice: Using the Rationality Assumption

Backward Induction

An Example of Backward Induction

The Purpose and Process of Social Science

Social Analysis as Social Science

Tasks of Inquiry: Describing and Explaining What Happened and Why

Two Examples of Theoretical Failures: Liberalism and Realism

Liberalism: The Mutually Beneficial Exchange of Trade and Globalization

Realism: The Nation-State System and the Distribution of Power

Conclusion and Some Other Pitfalls

Appendix: Examples of Complete and Intransitive Preferences

Key Concepts

Exercises

Further Reading

2. Structure, Nation-States, Power, and Order in an International Context

The Context of International versus Domestic Political Arenas

Nation-States: Influential Political Organizations in the Global Arena

States and Their Defining Characteristics.

Functional Equality and Specialization: What Every State Does, but Some Better than Others

Nation: Development of Collective Identity and Social Cooperation

Origins of the State System: Empire and Fragmentation

The Treaty of Westphalia and Sovereignty: Redrawing the Lines of Political Authority

The Principle and the Practice of Sovereignty

Common Violations of the Principle of Sovereignty

Anarchy: Conflict, Competition, and Cooperation in the Global Arena

Self-Help Dispute Resolution under Anarchy

Hierarchy: Looking for Order and Predictability

Power Defined as a Relative Concept

Using the Tools of Statecraft and Diplomacy to Influence Behavior

Persuasion

Offer of Rewards

Granting of Rewards

Threat of Punishment

Nonviolent Punishment

Force

Analyzing Political Behavior: Weighing the Costs and Benefits of the Tools of Statecraft

Finding Order in Anarchy: Power Capabilities and Attributes

Motivation versus Capability in the Hierarchy of Influence

Tangible Attributes That Contribute to Power

Intangible Attributes That Contribute to Power

Conclusion

3. Economic Liberalism and Market Exchange in the Global Arena

Economic Liberalism: Competitive Markets and Social Outcomes

The Price Mechanism Coordinating Supply and Demand

Factors of Production: The Allocation of Land, Labor, and Capital

The Normative Appeal of Economic Liberalism: Individual Choice, Liberty, and Efficiency

Market Exchange as the Basis of International Trade: Mechanisms at the Core of Modern Globalization

Absolute Advantage: An Early Principle of International Trade

Comparative Advantage: A Revolution in Thought

Revisiting Factors of Production: Labor Theory of Value to Factor Endowment.

The Balance of Payments: Regulating Trade and Capital Flows in the Global Political Economy

The Role of Financial Invention and Integration in Expanding Global Capitalism

Money: A Functional Approach

Expanding Access to a Larger Pool of Capital

Labor Mobility: Creating Linkages across State Borders

PART II. MICRO TOOLS

4. The Micro Approach to Political and Economic Markets in Theory and Practice

Individual Preferences, Social Outcomes

Economic and Political Market Exchange

Market Exchange in the Political Arena: Rational Consumers and Producers

The Mechanism of Political Exchange

Voluntary versus Nonvoluntary Exchange

Social Choice and Voting Rules

Theoretical Prerequisites of Efficient and Competitive Markets

Clear Property Rights and Low Transaction Costs

Competition and Manipulation of Market Exchange

Externalities

Complete Information

An Example of Political Market Exchange: Elections, the Median Voter, and Selection of Policy

International Affairs If the Conditions for Efficient Economic and Political Exchange Hold

Market Failure and Suboptimal Social Outcomes

Understanding Market Failure

Incomplete Property Rights and Nonnegligible Transaction Costs

Manipulation of Supply and Demand

Third-Party Negative and Positive Externalities

Threats of Incomplete and Asymmetric Information

Context and Social Traps: Cycling, Coordination, and Cooperation Problems

Appendix: Using Game Theory to Explore Cycling and Coordination Problems

5. The Dilemma of Collective Action: Who Organizes, Who Does Not, and Why

A Paradox of Collective Action

Dismantling the Social Trap: Self-Interest and Collective Outcomes

What Is a Collective Good?.

Initial Expectations about Provision of Collective Goods

Positive Externalities and Incentives to Free Ride

The Unraveling of Collective Good Provision

Another Paradox: Collective Action despite the Social Trap

Mechanisms for Overcoming Barriers to Collective Action

Compulsion

Selective Incentives

Entrepreneurship

Piggybacking

Group Size

Some Other Collective Action Considerations

6. The Role of Hegemonic Leadership and Its Micro Foundations

Growing Global Exchange under a Liberal Hegemon

Hegemonic Leadership and Global Stability

Liberal Hegemons and Important Collective Goods

Open Market for Distress Goods

Countercyclical Lending

Stable Exchange-Rate System

Macroeconomic Policy Coordination

Lender of Last Resort: Managing Liquidity in the Global System

Sources of Hegemonic Capacity: Arising from Challenges to Political Survival

Public Finance and Hegemonic Provision of Collective Goods

Rule of Law

Taxation

Public Debt

Lender of Last Resort

National Currency as an International Reserve Currency

Private Finance and Hegemonic Provision of Collective Goods

Capital Market Size

Capital Market Diversification

Capital Market Depth and Liquidity

Market Transparency and Clearinghouse Mechanisms

Openness and Absence of National Bias

Change and Development of Hegemonic Capacity in a Global Financial Network

Credibility of Public and Private Financial Arrangements in the Global Political Economy

Increasing Returns and Network Externalities Necessary to Become a Global Capital Financial Center

Alternative Explanations of the Source of Hegemonic Leadership

Important Caveat

Further Reading.

7. Interest Groups and International Economic Foundations of Political Cleavage

A Puzzle: How to Anticipate Possible Cleavages and Coalitions in Political Economies

Explanations Grounded in Micro Political Economy

Interest Groups: Fragmenting Monolithic Perceptions of Society

Biological and Social Foundations of Cleavage

International Economic Sources of Cleavage

Factor Endowment: A Source of Preferences, Cleavage, and Coalition

A Critique of the Factor Endowment Framework

Industrial Sector as an Alternative Means of Interest Aggregation

Asset Characteristics as an Alternative Means of Interest Aggregation

8. The Role of Institutions in Political and Economic Market Failure

Constraining Social Traps and Market Failure

Institutions as Rules of the Game: Influencing Actions and Outcomes

Difference between Formal and Informal Institutions

Institutions as Social Bargains and Ex Ante Agreements

Institutions as Equilibria

Institutions as Incentives and Path Dependence

A Normative Caveat: Are Institutions Inherently Good?

Institutional Effectiveness and Durability: Lasting Consequences

Distributional Implications of Institutions

The Social Origins of Institutions: Intentional and Unintentional Design

Institutions as Devices to Overcome the Time-Inconsistency Dilemma

Important Institutional Considerations in Domestic and Global Affairs

Regime Type: Democratic and Authoritarian Regimes and the Rules of the Game

Electoral Systems: Influencing the Nature of Politics and Policies

Structure of Government: Domestic and Global Implications

Social Institutions: Influencing Uncertainty and Risk through Social Bargains

Veto Points: Institutional Checks and Balances in a Political Economy

Key Concepts.

Exercises.

Notes:

Description based on publisher supplied metadata and other sources.

ISBN:

9781071934104

1071934104

9781483301785

1483301788

9781452289878

1452289875

OCLC:

1347025354