The traditional paradigms within International Political Economy (IPE) and International Relations (IR) have historically focused primarily on formal sectors of political and economic activities, often overlooking analyses of informal or covert realms. This approach has limited the comprehension of global power dynamics, neglecting crucial insights into phenomena occurring within the informal sector. The oversight of informal actors, considered irrelevant by conventional perspectives, hampers a holistic understanding of global relations. This research adopts a critical stance, drawing on the insights of Robert Cox and postcolonial contributions, to challenge the traditional paradigms of IPE and IR. It advocates for a more inclusive and comprehensive approach that recognizes the agency of non-state actors in transnational processes. Through a focused examination of the small and medium-scale gold-mining sector, this study seeks to transcend the state-centric approach, providing a broader understanding of global relations. The analysis delves into the intricate dynamics of this sector, shedding light on the significant role played by non-state actors in shaping transnational processes. By doing so, the research contributes to the development of a more inclusive and nuanced global political economy. It emphasizes the need to incorporate diverse perspectives and account for local realities, thereby enriching the academic discourse on global relations. In essence, this research challenges the established narratives, advocating for a paradigm shift that acknowledges the multifaceted and influential role of non-state actors in the global arena. The study’s findings offer valuable insights into the complexities of global relations, highlighting the interconnectedness of formal and informal sectors. This approach not only deepens the understanding of the small and medium-scale gold-mining sector but also fosters a more comprehensive and inclusive framework for analyzing global political and economic phenomena.
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The Global Political Economy of the Informal Mining Industry: A Critical Analysis of Latin American Perspectives
Santiago Carranco-Paredes
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Gramscian International Political Economy from a Feminist Perspective
Pooja Rishi
Feminist Gramscian international political economy (IPE) is an interdisciplinary intellectual project that has focused both on theoretical and empirical analysis of women and gender within the field. Feminist Gramscian IPE emerged from the confluence of an eclectic body of work over the last several years encompassing fields as disparate as international relations, IPE, feminist economics, the literature on gender and development, and feminist literature on globalization. As with feminist perspectives in other disciplinary fields, Gramscian feminists have largely embraced postpositivist, interpretivist, and relational analysis while trying to maintain the emancipatory potential of their work for women the world over. Current Gramscian feminist analyses are firmly grounded and draw from early Marxist/Socialist feminist interventions. They have also engaged with the three major categories of analysis in Gramscian thought—ideas, material capabilities, and institutions—in order to understand hegemonic processes that function to (re)construct and (re)produce both gendered categories of analysis and practice. Feminist revisions of Gramscian IPE have focused on international institutions, rules and norms, while simultaneously shedding light on contemporary states and how they are being transformed in this current phase of globalization. Three central tasks that feminist Gramscian scholars may consider in future research are: to be more engaged with the notion of hegemony, to revisit the political methodology employed by many feminist Gramscian analyses, and to devote more attention to non-mainstream perspectives.
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Hegemony
Luis L. Schenoni
Somewhere in between unipolar and imperial orders, hegemonies divide the continuum from anarchy to hierarchy in world politics, connoting interstate systems of the highest concentration of authority. However, depending on the author, hegemony might denote the concentration of relative capabilities in a single state, the presence of a state that seeks international leadership, general consent in the international society regarding subordination to a central order, or a combination of these phenomena. Similarly, scholars debate the extent to which the relation of authority entailed by hegemony should encompass the economic, military, and/or ideational domains. Given this multiplicity of meanings, this review of extant definitions illuminates some issues that must be addressed explicitly when dealing with this concept. Although hegemony might mean different things for different intellectual traditions, these understandings are interconnected in a family resemblance structure that has facilitated mutual intelligibility. A mapping of this network of meanings suggests that special attention needs to be paid to how scholars have thought about the capabilities that would-be hegemons have, the roles they play, and the type of response they elicit from subordinate states. It also suggests the economic, military, and ideational dimensions of hegemony should be explicitly considered in theoretical discussions. Finally, it highlights the importance of avoiding ambiguity by connecting theory with empirics and providing clear measurement strategies. Measurement is essential to delineate the geographical and temporal scope of hegemonies with more precision, to compare them, and to evaluate their effects on certain outcomes. Debates about hegemony have undergone important empirical progress throughout the decades rendering this a promising area for future research.
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Hegemony and the Global Political Economy
Richard Saull
Hegemony emerged as an analytical term to conceptualize different historical periods out of the combined post-1945 historical context of two key events: the dissolution of an international political order founded upon European colonial empires, and the establishment and evolution of a postwar liberal international economy under U.S. leadership. Within the subdiscipline of International Political Economy (IPE), the genesis of the concept of “hegemony” or “leadership” has two sources: the idea of hegemonic order or dominance within the world economy as articulated in Immanuel Wallerstein’s World-Systems Theory in the early 1970s, and the publication of Charles Kindleberger’s analysis of the Great Depression that initiated a debate involving neorealist and liberal-oriented scholars around what subsequently become known as “hegemonic stability theory.” John Ikenberry also articulated a nuanced understanding of hegemony from a liberal-institutionalist perspective with regard to the post-1945 international order. There exists a substantial amount of literature on the theory and history of hegemony within IPE, and much of this discussion has been fueled by ongoing developments in the world economy. Critics of hegemony situate and embed state power and behavior within the socioeconomic structure of capitalism, and also focus on class agency as central to the establishment and evolution of hegemonic orders. To varying degrees these scholars have drawn on the theory of hegemony developed by Antonio Gramsci.
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Information Technologies and the Global Political Economy
Jeffrey A. Hart
Information and communications technologies (ICTs) constitute a potentially transformative force in world politics. The industries associated with these technologies are growing rapidly, and some have argued that their importance in the overall economy at both the national and global levels increased in recent decades. ICT industries include both goods producers and service providers. ICT manufacturing includes all the goods-producing industries that use semiconductor components, such as consumer electronics, the computer industry, the telecommunications equipment industry, and industrial and military electronics. Within each of these groups, there are sub-industries that specialize in particular segments of the market. The services side of ICTs is also very large in terms of revenues and employment, and is growing rapidly. ICT services include, among others, the software industry, telecommunications services, data processing, and web-based information services. Many scholars argue that the importance of ICT industries goes beyond the revenues and employment generated in the industries themselves, however. ICTs may also be transformative in that they reduce transaction and communications costs in the overall economy. They make possible new forms of organization of human activity, especially as globalization and digitalization is progressing rapidly in the recent decades. Such processes have attracted the attention of international relations scholars, as they have been focusing on international regimes governing ICT-related activities in the past decade.
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International Economic Institutions and Global Justice
Pamela Blackmon
The international financial institutions (IFIs) have adapted and changed their policies over time to focus on global justice and poverty alleviation. This evolution is explored, with close attention to the role of political economy scholars and international events that increased the pressure on the IFIs to change their policies. Events such as the failure of structural adjustment policies, and the increasing role of nongovernmental organizations after the end of the Cold War were strong forces advocating for both debt relief policies and efforts designed to alleviate poverty. Problems surrounding the deadline for the Millennium Development Goals in 2015 and the increased role of the IFIs during the 2008 global financial crisis are also discussed.
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International Insertion: A Non-Western Contribution to International Relations
Fabrício Chagas-Bastos
International insertion is a concept that comes from non-Western intellectual origins and can help individuals understand how peripheral and semi-peripheral countries behave in world politics, and their interests, core values, and strategies. International insertion also expands the knowledge to characterize how agency spaces are created by peripheral countries. Insertion is a necessary step to those countries attempting to transition from the condition of one who seeks to be recognized as part of, to one who is admitted as possessing and capable of seeking status and acting within political, economic, and military global hierarchies. In a nutshell, insertion means being recognized by the small group of gatekeeping states as a relevant part of the specific social networks that constitute the global hierarchy. The conceptualization of international insertion allows a robust middle-range explanation that considers multiple dimensions (political, economic, and military) of the national and international structural and contextual aspects these actors must translate to navigate world politics.
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International Order in Theory and Practice
Kyle M. Lascurettes and Michael Poznansky
International relations scholars of all stripes have long been interested in the idea of “international order.” At the most general level, international order entails some level of regularity, predictability, and stability in the ways that actors interact with one another. At a level of higher specificity, however, international orders can vary along a number of dimensions (or fault lines). This includes whether order is thin or thick, premised on position or principles, regional or global in scope, and issue specific or multi-issue in nature.
When it comes to how orders emerge, the majority of existing explanations can be categorized according to two criteria and corresponding set of questions. First, are orders produced by a single actor or a select subset of actors that are privileged and powerful, or are they created by many actors that are roughly equal and undifferentiated in capabilities and status? Second, do orders come about from the purposive behavior of particular actors, or are they the aggregated result of many behaviors and interactions that produce an outcome that no single actor anticipated? The resulting typology yields four ideal types of order explanations: hegemonic (order is intentional, and power is concentrated), centralized (order is spontaneous, but power is concentrated), negotiated (order is intentional, but power is dispersed), and decentralized (order is spontaneous, and power is dispersed).
Finally, it is useful to think about the process by which order can transform or break down as a phenomenon that is at least sometimes distinct from how orders emerge in the first place. The main criterion in this respect is the rapidity with which orders transform or break down. More specifically, they can change or fall apart quickly through revolutionary processes or more gradually through evolutionary ones.
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International Political Economy: Overview and Conceptualization
Renée Marlin-Bennett and David K. Johnson
The concept of international political economy (IPE) encompasses the intersection of politics and economics as goods, services, money, people, and ideas move across borders. The term “international political economy” began to draw the attention of scholars in the mid-1960s amid problems of the world economy and lagging development in the third world. The term “global political economy” (GPE) later came to be used frequently to illustrate that what happens in the world is not only about interactions between states and that the GPE includes many different kinds of actors. The survey aims at a comprehensive picture of the different schools of IPE, both historically and as they have developed in the early 21st century. Authors of antiquity, such as Aristotle and Kautilya, explored the relationship between the political and the economic long before the term “political economy” was coined, presumably by Antoine de Montchrestien in 1613. The mercantilist writings of the 17th and 18th centuries, including those of Colbert, Mun, and Hamilton, argued in favor of the state using its powers to increase its wealth. List, writing in the 19th century, emphasized the tension between national economic self-determination and free markets. The 19th- to 20th-century iteration of the mercantilist view can be found in the form of economic nationalist policies, which link to a realist approach to international relations more generally. Theorists of the Global South have adapted economic nationalist policies to address the problem of development. The liberal tradition of IPE also has historical antecedents, beginning with classical political economy. Examples include the influential works of Locke, Hume, Smith, and Ricardo. After World War II, the economic writings of Keynes, Hayek, and Friedman were influential. Variants of neoliberal IPE can be found from the 1950s with scholarship on integration and from the late 1970s with scholarship on international regimes. Late-20th-century and early-21st-century liberal scholarship has also explored varieties of capitalism and economic crises. An alternative stream of IPE can be traced through Marxian political economy, beginning with the work of Marx and Engels in the 19th century and proliferating globally. This approach provides a critique of capitalism. Other critical approaches that have emerged in the 20th and 21st centuries include feminist global political economy and postcolonial critiques of liberal and Marxian analyses. Trends in scholarship include analyses of China and transition of the neoliberal order, queer theory for global political economy, and studies of growing trends toward precarious forms of labor. A final section discusses research beginning in the 1990s that is relevant to the global political economy of transborder transmission of disease, a topic of special concern in light of the Covid-19 pandemic of 2020.
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Investment and Transnational Corporations
Jonathan Crystal
Transnational corporations (TNCs) are networks of related enterprises, composed of a parent in one country and subsidiaries or affiliates in other countries. They play a central role in the global economy, and have recently come into focus in international political economy (IPE) scholarship. Early studies on TNCs and foreign direct investment (FDI) took place in the late 1960s and the 1970s. FDIs are a type of cross-border investment in which a resident in one economy establishes a lasting interest in an enterprise in another economy, in order to ensure a significant degree of influence by the direct investor in the management of the direct investment enterprise. Both TNCs and FDIs were controversial in the field, as tensions arose between TNCs and host states and people began to question whether or not FDIs were beneficial for developing countries. By the 1980s and 1990s, the world fell into the grip of financial crisis, and the study of TNCs fell largely into neglect, only to witness a revival during the 2000s. Since then, while the field of IPE has returned to focus its research on FDI, the current literature has taken a different track from the earlier work, and the results have made important contributions to answering questions about the effects of FDI and about what affects firm–state bargaining or the governance of TNCs in the twenty-first century. Too much of the recent literature, however, still focuses narrowly on explaining investment flows.
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Labor Migrations and the Global Political Economy
M. Scott Solomon
Cross-border migration of people from one country to another has become an increasingly important feature of the globalizing world and it raises many important economic, social, and political issues. Migration is overwhelmingly from less developed to more developed countries and regions. Some of the factors affecting migration include: differences between wages for equivalent jobs; access to the benefits system of host countries plus state education, housing, and health care; and a desire to travel, build new skills and qualifications, and develop networks. On a more economic standpoint, studies show that labor migration provides various advantages. Migrants can provide complementary skills to domestic workers, which can raise the productivity of both. Migration can also be a driver of technological change and a fresh source of entrepreneurs. Much innovation comes from the work of teams of people who have different perspectives and experiences. Furthermore, a convenient way to accommodate individual actors in the global economy is to view them as economically dependent workers rather than as citizens capable of bringing about social change. The economic globalization process has modified this perspective to some extent, with greater recognition of the integration of a diverse, but nationally based, workforce into production patterns that can span several sovereign jurisdictions and world regions.
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Legal Perspectives in IR and the Role of Latin America
Juliana Peixoto Batista
The room for dialogue between international law (IL) and international relations (IR) is vast. Since the emergence of the liberal world order in the 20th century, there is a growing closeness between IL and IR approaches. Latin America played a significant role in this process, helping to shape the liberal world order. Despite the fact that liberal approaches to IR and IL promote the most self-evident interdisciplinary dialogue, there is a growing intersection field in critical approaches to IR and IL that should be further explored, and Latin America also has a role to play in that cross-fertilization process. By analyzing critical approaches, the narrative in both disciplines can be expanded, bringing a Global South perspective to the mainstream debate. How did IL scholars read changes in the international system from the second half of the 20th century? How did IR scholars read changes in the role of IL in the international system at the beginning of the 21st century? What is the role of Latin America and its contribution to these changes? With this in mind, intersection spaces can be revealed where room for conceptual, methodological, and collaborative work can be explored.
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Liberal Perspectives on the Global Political Economy
Darel E. Paul
Liberal international political economy (IPE) is the offspring of a marriage between mainstream international economics with its focus on markets and mainstream international relations with its emphasis on the state. While clearly involving the traditional disciplines of economics and political science, liberal scholarship in IPE tends to be housed almost exclusively in the latter. Liberal IPE has always maintained a special relationship with its absentee father economics, looking to it particularly as a source of theoretical and especially methodological inspiration. In its earlier phase, the “American school” of IPE, also known by its practitioners as Open Economy Politics (OEP), was strongly oriented toward studying the societal determinants of state trade policy and indeed continues to expand upon this terrain. OEP has moved into many diverse areas since then. Having roots in both neoclassical economics and realist international relations theory, OEP has a strong tendency to limit its empirical interest to observable behavior, define interest in strictly material terms, and assume the psychology of decision-making to be rational and therefore unproblematic. Unsurprisingly, OEP has little room for ideas as interesting and important objects of study, and in turn some of the early pioneers of the liberal approach in IPE have lamented its becoming “too materialistic.”
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The Maghreb in International Relations
Yahia Zoubir
Since their independence from colonial rule, the three Maghreb states (Algeria, Morocco, and Tunisia) have interacted with foreign powers bilaterally rather than as an integrated region. Despite the foundation of the Arab Maghreb Union (UMA) in 1989, the Maghreb countries have pursued discrete foreign policies that reflected the nature of their anticolonial struggle and the ideological choices that they made following, or even prior to, their independence. While Algeria chose nonalignment as the foundation of its foreign policy, Morocco and Tunisia remained attached to the West despite proclaiming attachment to nonalignment. In the decade from 2010 to 2020, the Maghreb states have faced numerous political and socioeconomic challenges which created complicated geopolitical constraints. Thus, even if they wished to drastically reduce their dependency, primarily on the European Union (EU), their “pressing financial constraints and security imperatives in their borderlands ultimately prevented any change of direction or transgression of the existing patterns of their foreign policies,” for “structure prevailed over agency.” Nonetheless, the region is gradually moving away from Europe and the United States in some areas. At the same time, the 2019 pandemic and other constraints have created new geopolitical dynamics that were already in the making, for outside powers had already shown increased interest in the region. While the United States (under President Trump) neglected the Maghreb until September 2020, Russia, China, the Gulf countries, and Turkey have increased their presence. With the extension of the Belt and Road Initiative to the Mediterranean, China has increased its economic presence and extended its Maritime Silk Road, which requires access to ports. Russia has made its return in search for opportunities, including access to ports, which will position it close to NATO’s southern flank. The competition among the Gulf Cooperation Council (GCC) states (e.g., Qatar versus the UAE), on the one hand, and the rivalry between Saudi Arabia and UAE, Turkey, and Israel (since normalization with Morocco), on the other, have spilled over onto the Maghreb. Thus, domestic challenges and evolving geopolitical dynamics have compelled the Maghreb regimes to seek the support of outside powers to offset their internal instability and to compete with one another (Algeria versus Morocco).
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Measuring Global Poverty
Shatakshee Dhongde
Economists have long been preoccupied with trying to understand the nature and causes of poverty. From Adam Smith to David Ricardo, Thomas Malthus, Karl Marx, and John Stuart Mill, a common belief among economists is that the benefits of economic growth are rarely experienced by the poorer sections of society. An important issue is how to measure global poverty accurately. International organizations such as the United Nations and the World Bank have endeavored to measure global poverty since the adoption of the Millennium Development Goals (MDG), stated in the UN’s Millennium Declaration which was adopted in 2000 by 189 nations. However, measuring global poverty is far from simple. Estimates of poverty and particularly of global poverty are very sensitive to the underlying assumptions, such as the notion of poverty itself, the choice of welfare indicator, the unit of measurement used, and purchasing power parity rates. One of the significant advances in global poverty studies was the World Bank’s introduction of a poverty line in the 1990 World Development Report (WDR). Despite these efforts, the precise number of poor in the world remains ambiguous. Nevertheless, emerging frontiers in poverty analysis indicate new interest in measuring poverty more broadly. Some ideas that may dominate the future of poverty research include multidimensional poverty, vulnerability to poverty, and chronic poverty.
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Mercantilist and Realist Perspectives on the Global Political Economy
Daniel W. Drezner
Mercantilism and realism would appear to go hand in glove with each other. If realism represents both a systemic worldview and explanatory model for world politics, then mercantilism would appear to be the paradigm’s default foreign economic policy doctrine. And, to be sure, there are obvious and strong areas of overlap. Both paradigms stress the autonomous role of the state—and warn against capture by particularistic interests. Both also stress the conditioning effects of the distribution of power in defining national economic interests. Despite these constants, however, over time, the two approaches diverged more and more. Most modern-day writers who sympathize with mercantilism do so from perspectives ranging from left-leaning social democracy to more radical Gramscian critiques. Realists, on the other hand, have tended to gravitate towards the conservative, Burkean side of the political spectrum. While realists and mercantilists might agree on the role that power plays in the global economy, they do not necessarily agree on the normative implications of that insight. Paradoxically, as realism has acquired a more “scientific” cast, it has become less influential in international political economy (IPE) scholarship. For realism to maintain its relevancy in IPE, it must reacquire its deftness in incorporating nonstructural variables into its explanatory framework. The paradigm retains some useful predictive power for how systemic political variables affect global economic outcomes, but it is of little use in discussing the reverse causal effects.
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The Millennium Development Goals and the Politics of Global Poverty
Paul Nelson
The Millennium Development Goals (MDGs), endorsed by 189 governments at the Millennium Summit, propose a concerted global effort to reduce the incidence of severe poverty and many of its most serious manifestations over a twenty-five-year period. The MDGs offer crucial insights into the politics of poverty and poverty reduction in international affairs. Their political dimensions can be analyzed in terms of agency, the nature and limits of accountability, the use and manipulation of quantitative goals for political ends, the dangerous illusion that MDG objectives can be accomplished in large part by mobilizing more development assistance, and the MDGs’ distinctly apolitical approach to the structural causes of poverty. The MDG initiative should be situated in three ongoing streams of debate and discussion: the debate over the relative priority of growth and of human development for poverty reduction; the tension between the assertion of rights and the enunciation of donor-driven goals as the political engine of poverty reduction; and the debate over the roles of markets and of state direction and regulation. While the MDGs concentrate on increasing aid flows to reduce the incidence of poverty and its manifestations, international trade and finance arrangements too often impede rapid progress. This is evident in water privatization, trade rules, and anti-retroviral medicines for HIV/AIDS patients. A way forward is to integrate the MDGs more deeply with human rights guarantees. Donors, for example, must take seriously the 2002 Draft Guidelines for the application of human rights to poverty reduction strategies.
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Money and Borders
Mariana Santos and David Bassens
Money and finance are often thought of as forming a uniform, frictionless global space. While events in the last decades have certainly shown how monetary and financial practices and events have consequences that span the globe, this global reach of money and finance is far from evenly distributed. Rather, money flows and lumps unevenly across space, with the financial system connecting some places better than others, producing effects that are geoeconomic, sociocultural, and material in nature. One productive way of opening the black box of “global finance” is by exploring money’s manifold entailments with space and borders. Borders is here meant writ large. It means, of course, the geopolitical borders of the sovereign state and jurisdictional territory, showing how global finance is rooted in the contemporary architecture of states and international relations. But it also means attending to how lines in this cartographical space of geopolitical borders are rearranged, stretched, and inflected through cross-border networks of actors, notably financial institutions, concentrated in key places of international finance. This article seeks to bring to the broader academic debate on money and borders a reading whereby the “plumbing and wiring” of international finance is seen as entailed with practices of “b/ordering” that “dissolve” borderlands and connect space as much as they produce margins, edges, and fringes. Thinking money and finance in terms of borders and frontiers help us understand how money and financial markets (notably, credit–debt relations) materialize differently on either side of financial inclusion and exclusion lines, with implications for the bodies that inhabit them.
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Natural Disasters and Cross-Border Implications
Elena McLean and Muhammet Bas
Natural disasters such as cyclones, droughts, earthquakes, floods, landslides, volcanoes, or pandemics routinely have cross-border implications. Transboundary risks of natural disasters tend to be the greatest for neighboring countries but often extend regionally or even globally. Even disasters with seemingly localized impacts contained within the national borders of a given state may have indirect short-term or long-term effects on other countries through refugee flows, conflict spillovers, volatility of global commodity prices, disruption of trade relations, financial flows, or global supply chains. Natural disasters may increase the risk of interstate conflict because of commitment problems, reduced opportunity costs of conflict, shocks to status quo divisions of resources, or demarcation of territories among countries, or because of leaders’ heightened diversionary incentives in favor of conflict. In some cases, disasters may have a pacifying effect on ongoing hostilities by creating opportunities for disaster diplomacy among conflict parties. Population displacement in disaster zones can send refugee flows and other types of migration across borders, with varying short-term and long-term socioeconomic and political effects in home and host countries. Adverse effects of natural disasters on regional and global economic activity shape patterns of international trade and financial flows among countries. To mitigate such risks from natural disasters and facilitate adjustment and recovery efforts, countries may turn to international cooperation through mechanisms for disaster relief and preparedness. Regional and global governmental and non-governmental organizations (NGOs) are common means to initiate and maintain such cooperative efforts.
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Natural Resource Governance in Africa
J. Andrew Grant, Evelyn N. Mayanja, Shingirai Taodzera, and Dawit Tesfamichael
Although Africa is home to an abundant and wide variety of natural resources, both land-based and offshore, the governance of such resources has faced myriad challenges. Mineral and hydrocarbon (oil and gas) resources have often led to the vexing “resource curse” whereby weak institutions, corruption, asymmetrical power structures from local to global levels, and lack of economic diversification result in meager development outcomes and can generate episodes of violent conflict. This has resulted in numerous pledges to improve governance and management of natural resources at all stages of the supply chains, ranging from exploration to extraction to environmental remediation. In turn, global and regional governance initiatives have sought to put these pledges and their constitutive norms into practice in conjunction with varying levels of participation by governments, industry, civil society, and local communities.
