Pol. Sci. 360 Prof. Grow

Pol. Sci. 360 Prof. Grow

Spring 2004 Carleton College

Globalization and Public Policy:

Responding to Economic “Crisis”

The world economy has changed dramatically in the past decade: global economic power has shifted toward East Asia, the multinational corporation has become less attached to its national roots, and comparative advantages in production are determined less by control of material and physical labor than by access to knowledge and capital. Taken together, these trends are part of a phenomenon some analysts have termed "economic internationalization"--the increasing interpenetration of national economies with international society.

In the past, students of political economy tended to focus on two broad theories--"modernization" and "convergence" theory--to explain many of the changes occurring in the world economy. Modernization theory--related to the old Spencerian evolutionism--is loosely based on the sense that the world is moving in a progressive fashion, and that the future came first to Europe and the United States. Convergence theory, while related to modernization theory, takes the argument one step further and posits an eventual homogenization of different nations' economic behavior, even when that behavior springs from very different cultural foundations.

The world seems much more complex in 2004. On the one hand the rapid movement of technology and capital is transforming national economies across the globe. The relationship between North America and East Asia has changed dramatically during the past ten years as their economies have become more interdependent and the flow of goods and services has changed direction. East Europe and South America have begun to join this rapid movement, changing as well some important political and economic patterns.

On the other hand, these rapid changes have not proceeded as earlier theorists had predicted. The role of nations seems to have changed and economic growth no longer appears to be connected with general national prosperity. We are discovering some parts of a national economy can grow stronger while other parts, at the same time, degenerate and decay. Access to capital and knowledge now seems much less connected to national identity than it is to participation in a particular economic sector. Some even argue that governments and national boundaries have become much less important in determining economic wealth than in the past.

Over the past decade, the debate has been brought into focus by a series of “economic crises” that had ripple effects across the political spectrum. First was the “downsizing crisis” of the early 1990’s that resulted from the double-barreled impact of the vibrant Japanese manufacturing challenge and the new organizational strategies that were re-shaping world business. Then came the “monetary crises" that began to move across the world in 1997--first in Southeast and East Asia, then in Russia and South America. Currently, the phrases most heard have to do with the social and economic costs associated with “globalization and outsourcing.” Analysts still debate the forces at work in all of these crises, argue about the causes, and look for indicators of change and renewal.

This is a "problem oriented" seminar that uses these crises as its starting point. The class will look into large theoretical questions by focusing on a specific set of problems: (a) what trends can we see in the current world “economic crises”; (b) what elements of change and optimism are now visible; and (c) what models best help us understand (a) and (b).

Our seminar group will work as a team to find some answers to these questions. Specifically, we will constitute ourselves as a "professional consulting group" and take on a problem posed by a real-world client. In developing options for the problems suggested by this client, we will attempt to merge the theoretical with the "real world,” figure out how to develop and evaluate the data we find, and use our insights to come up with perspectives that have real value for our client.

Requirements:

Completion of a group paper/report in which each member of the class is responsible for a specific part, participation in class discussions and assignments, and (perhaps) travel with the group on one or two short field trips to meet with our client and present our findings and recommendations.

Grading:

• 30% of the grade will be based on in-class participation;
• 30% will be based on work in the project team.
• 40% will be based on each student's part of the final project report.

• All parts of the project and other assignments are due on the last day of class

Texts:

The following books are required for this course and are available in the bookstore:

• Joseph Stiglitz, Globalization and Its Discontents (Norton)

• Jagdish Bhwagwati, In Defense of Globalization (Oxford)

• James Womack, et. al., The Machine That Changed the World (Harper)

Pol. Sci. 360 Prof. Grow

Spring 2004 Carleton College

Globalization and Public Policy:

Responding to Economic “Crisis”

Tues Mar 30Introduction

Thur Apr 1“What’s Going On Here?” …A First Cut on Our Problem

“Where Are the Jobs?” (BusinessWeek, March 22, 2004)

“Will Outsourcing Hurt America’s Supremacy?” (BusinessWeek, March 1, 2004)

“Jobs Moving Overseas”, Transcript from PBS News Hour (March 11, 2004) Available in COLLAB Course Materials folder

Section I: Examining the Problem

In this section the class will complete some “overview” readings and examine several case studies. Here we will attempt to accomplish what most other scholars have failed to do: put forward some definitions, look at the trends and outline the emerging patterns.

During this period we will also form our “consulting team.” The team will make some initial determinations about the kinds of information we need to complete our project. Then the class will divide into sub-groups. Each sub-group will have a specific research assignment and will search the professional literature, point to the best extant analyses, and collect whatever data exists.

Finally, we will begin to ask questions about both the professional literature and the data we are collecting. What are the trends pointed to in the data? What do these “trends” tell us? What more do we need to know?

Tues Apr 6The ‘Big Questions’: What is ‘Globalization’?

Bhwagwati, In Defense of Globalization pp. 3-48

Stiglitz, Globalization and Its Discontents, pp. 3-52

Gereffi, Commodity Chains and Global Capitalism, pp. 1-16 (handout)

Thur Apr 8The ‘Big Questions’: Can We Define ‘Outsourcing’?

Bhwagwati, In Defense of Globalization pp. 51-105, 122-195

Stiglitz, Globalization and Its Discontents, pp. 53-88

Tues Apr 13Case Study: Changes in The Auto Industry

Womack, The Machine That Changed the World, pp. 11-137 (Ch. 1-5)

Robert Reich, “Who is Us?” (Harvard Business Review, 1990)

Thur Apr 15 Case Study: Changes in The Auto Industry (2)

Womack, The Machine That Changed the World, pp. 138-275 (Ch. 6-10)

Robert Reich, “Who is Them?” (Harvard Business Review, 1991)

“Can Anything Stop Toyota?” (BusinessWeek, (Nov. 17, 2003)

Tues Apr 20Case Study: How Retailing Has Changed

“Is Wal-Mart Too Powerful?” (BusinessWeek, Oct. 6, 2003)

Thur Apr 22Case Study: How Retailing Has Changed

Barbara Ehrenreich, “Selling in Minnesota,” in Nickel and Dimed, Ch. 3

Section II: Initial Findings

In this section of the course, each member of the project team will make a brief initial report on findings. The emphasis here is on outlining for other members of the project team the data and trends in each of the sections of the project. Questions here similar to those in the previous section. What more do we need to know? How does the data and information we are collecting inform us about the questions asked by our client? How does the data from one member of the team mesh with data from the others?

Tues Apr 27Brief reports by each team member

Thur Apr 29(No Class)

Tues May 4Brief reports by each team member

Section III: Debating Options

In these two sessions the project team will engage if a free-form discussion of the data, trends, and competing analyses uncovered during the previous weeks. Questions: What does this data tell us? What policy options are suggested?

Emphasis here on the link between data and policy options. What are the possibilities? Which are most relevant? Which parts of the population will benefit from these policies? Who might be disadvantaged?

Thur May 6Project Team discussions of policy options

Tues May 11Project Team discussions of policy options

Section IV: Preparing the Report

The project team will work together to prepare an initial draft of the report, complete charts and tables, and write the actual text. Then, a second draft will become the basis for the team’s “stand and deliver” oral presentation.

Our questions in this section: Does the report work, does it say what we want it to say? Is our analysis supported by data? Are our policy recommendations logical, do they follow from the trends we have discovered?

Thur May 13In-class work and discussion on final report

Tues May 18In-class work and discussion on final report

Thur May 20In-class work and discussion on final report

V. Formal Presentation

Formal presentation of our report to our client. This presentation will consist of (a) Delivery of our extended written report; (b) formal “stand-up” presentation of our oral report to our client; answering questions, taking note of requests for further information on a particular topic.

Tues May 25Dress rehearsal practice for presentation

Thur May 27Presentation of report

Tues Jun 1Final Session

(All course work due)

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