Globalization, Free Trade and Democracy: an Empirical Analysis

Globalization, Free Trade and Democracy: an Empirical Analysis

  • Submitted By: Goblue3n1
  • Date Submitted: 03/19/2009 7:47 PM
  • Category: Business
  • Words: 3236
  • Page: 13
  • Views: 2


This paper addresses how economic openness, with respect to globalization and increased trade, affects the overall democratic governance of those countries involved. Three competing views are circulated on globalization’s affect upon democracy; one view is that globalization promotes democracy, another view argues just the opposite; the last view, claims that globalization and democracy are not inner related. This paper will focus on the first two competing views by trying to find a link between globalization and democracy. Once a link is established; critical analysis of literature, from a theoretical stand point will serve to further develop a stronger foundation in the understanding of these two competing schools of thoughts. Lastly, an informal data analysis, supported by tables and graphs, will further summarize current trends in globalization and its relations to trade and democracy.

In the past fifty years, there has been a surge in the use of buzzwords such as “globalization”, “free trade” and “the spread of democracy”. One of the biggest questions today is: Does globalization and increased trade have an affect on levels of democracy in the countries involved? This is a question that has captured the attention of many in academia and policy makers alike; various recommendations and policies have been made based upon their given answers. This paper attempts to bring together and analyze two competing schools of thought using literature and theoretical evidence, found in many debates, and the less used statistical evidence, in an attempt to fill in some of the empirical gaps on this topic

The use of globalization and democracy in literature has become more and more popular over the last half century. Many scholars define globalization as the closer economic integration by countries of the world through the increased flow of goods, services, capital and labor (Stiglitz, 2007). With greater economic integration comes a change in the...

Similar Essays