ACTIVIY 1: Write a 400-word article about the positive and negative impacts of regionalism.
Use proper
citation/ referencing and avoid plagiarism.
Normative and a positive understanding/impacts of regionalism. First, one can debate in favor of
or against regionalism but it should be possible to agree on the relevance to make empirical studies of
the regional factor in the formation of a new world order. In what follows, I suggest a normative
meaning of regionalism by using it primarily with regard to regional integration as a political project
(neo-mercantilism), while using substitutes such as regional cooperation', 'regional initiatives' and
'regional integration' in a more positive (i.e. descriptive) context.
Second, regionalism can refer exclusively to a particular region, or it can be a world order concept.
One can argue in favor of or against, for instance, ASEAN regionalism without bothering about other
regions. One can even deplore the formation of rival regions. However, one can also be primarily
concerned with advantages or disadvantages of a regionalized world, i.e. a world order consisting of
regional groupings as the defining element. The first meaning of regionalism, as a form of 'extended
nationalism' with a potential aggressiveness towards other regions, can perhaps be called particularistic
regionalism, the second, as a potential world order, universalistic regionalism. The positive and
normative approaches apply in both cases.
Third, it must be emphasized that world regions as distinct political actors are evolving through a
dialectical historical process and that consequently they differ a lot in their capacity as actors. We could
perhaps speak of degrees of 'regions' in analogy with concepts such as 'states' and 'nations'. A higher
degree of regions implies a higher degree of economic interdependence, communication, cultural
homogeneity, coherence, capacity to act and, in particular, capacity to resolve conflicts. Regionalization
is the process of increasing regions and the concept can refer to a single region as well as to the world
system.
Negative impacts and difficulties of regionalism. Provide public goods that are unlikely to be produced
by markets or individual economies. These include measures to head off international epidemics,
respond to natural disasters, and develop and disseminate knowledge, including technological and
scientific findings as well as policy experience in areas such as financial regulation, pensions, and poverty
reduction. Manage the spillover effects of economic activity and policy among connected economies.
These inevitably grow with deeper economic integration. The regional contagion observed during the
1997/98 financial crisis is an important example, as concerns about liquidity and financial management
in one country led to runs, speculative attacks, and dislocation in others. But routine macroeconomic
changes—such as interest rate or currency movements—can also have significant impacts. This calls for
monitoring regional macroeconomic activity as well as for policy dialogue. Cross-border effects may also
be significant in many other policy areas, notably the environment and migration. Coordinate regional
policy approaches to projects or decisions that affect several economies. Such efforts can range from
the palpable need to cooperate on investments in trade-oriented transport, communications, and policy
infrastructure links to more complex initiatives, such as harmonizing regional approaches in
international forums. For instance, the combined efforts of Asian economies could significantly enhance
the prospects for a successful conclusion of WTO’s Doha Round, an outcome that would benefit Asia and
the world at large. Liberalize trade and investment beyond levels achievable through global
negotiations. This can be accomplished by establishing rules and institutions that enable countries to
further integrate markets and by helping to harmonize standards, regulations, and processes so that
businesses can operate more effectively in different economies.
References:
https://aric.adb.org/emergingasianregionalism/pdfs/Final_ear_chapters/chapter%201.pdf
https://www.wider.unu.edu/sites/default/files/RFA14.pdf
