Regionalism and Globalization

Regionalism

• Some facets of regionalism that will be explored include identities, ethics, religion, ecological sustainability, and health.

Countries, Region, and Globalization

• Edward D. Mansfield and Helen V. Milner suggest that economic and political definitions of region possess certain basic features.

• Regions are groups of countries in a geographically specified area.

• Regions are an amalgamation of two regions or a combination of two or more regions organized to regulate and oversee flows and policy choices.

• Regionalization refers to the "regional concentration of economic flows."

• Regionalism is "a political process characterized by economic policy cooperation and coordination among countries."

• Countries respond to globalization economically and politically.

• Some countries have sufficient resources to dictate their participation in global integration.

• China uses its cheap workforce to attract business and grow trade with former adversaries like the UK and Japan, now seen as markets.

• Countries lacking resources sometimes capitalize on their strategic locations.

• Singapore and Switzerland have developed into financial and banking hubs, compensating for limited resources.

• Singapore's harbor facilities are first class transit ports for commodities ships carrying commodities from Africa, Europe, the Middle East, and Mainland Southeast Asia to countries in the Asia-Pacific.

• Countries form regional associations for military defense (e.g., NATO during the Cold War).

• Countries form regional associations to pool resources, improve export returns, and increase leverage against trading partners.

• OPEC (Iran, Iraq, Kuwait, Saudi Arabia, and Venezuela) gained power and convinced nine other oil-producing countries to join.

• Economic crises can bring countries together.

• The Thai economy collapsed in 1996, leading to demands to repay loans.

• The collapse of the Thai economy affected neighboring Asian countries, and devalued currency.

• The IMF tried to reverse the crisis, but ASEAN countries, China, Japan and South Korea established an emergency fund to stabilize Asian economies.

Non-State Regionalism

• Non-state regionalism organizations range from groupings of a few actors focused on a single issue to continental unions addressing food security and territorial defense.
• It relies on individuals and NGOs to achieve specific goals.
• Non-state regionalism is identified as reformist, sharing values, norms, institutions, and systems not part of traditional mainstream institutions.
• New regionalism differs from traditional state-to-state regionalism in problem identification.
• States treat poverty or environmental degradation as technical and economic issues, addressable through existing programs or state agencies.
• New regionalism advocates see these issues as flawed economic, environmental, and market based developments which do not have social welfare, especially for the poor, in mind.
• A challenge for regionalists is the discord that may emerge between them.

Contemporary Challenges to Regionalism

• The European Union is facing a financial crisis, forcing countries like Greece to potentially leave for more economic flexibility.
• ASEAN members disagree on sacrificing sovereignty for regional stability.
• The Association's link with East Asia is problematic.
• ASEAN countries disagreed over relating to China.
• The Philippines wanted support for condemning China's occupation of the West Philippine Sea.
• Cambodia and Laos favored diplomacy due to China's investments and economic aid.
• Differing visions for regionalism pose a challenge.
• Western governments see regional organizations as economic and political democratization tools.
• China, Russia, and Singapore view democracy as hindering economic globalization due to debates that slow implementation.

Conclusion

• Official regional associations now span large parts of the world.
• Countries joining the Asia Pacific Economic Council (APEC) comprised 37% of the world's population in 2007.
• Even isolationist North Korea participates in the Regional Forum, which discusses security issues.
• The need to participate in global economic integration as well as retain ties with their regions will likely continue.
• Even if the UK leaves the EU, it would continue to trade with its neighbors and adhere to EU rules.
• The future of regionalism depends on the significant changes in global politics during the 21st century.