THE WEALTH OF LOCALITIES, REGIONS AND NATIONS: DEVELOPING MULTINATIONAL ECONOMIES

In: New political economy, Volume 4, Issue 3, p. 361-378

Abstract

THERE ARE NUMEROUS DEVELOPMENT PATHS THAT ECONOMIES HAVE AND PERHAPS COULD HAVE FOLLOWED, WITH CORRESPONDINGLY VARIED CONSEQUENCES. ONE THAT HAS ATTRACTED MUCH ATTENTION IS TO BASE ECONOMIC, POLITICAL AND SOCIAL DEVELOPMENT UPON AN ESPECIALLY PROMINENT ROLE FOR LARGE, TRANSNATIONAL CORPORATIONS; THE CONTINUED ADVOCACY OF SUCH AN APPROACH IS SEEN IN WIDESPREAD CURRENT SUPPORT FOR POLICIES TO ATTRACT INWARD INVESTORS AND IS REFLECTED IN "UNPRECEDENTED" FLOWS OF FOREIGN DIRECT INVESTMENT. HOWEVER, FOUNDING ECONOMIC DEVELOPMENT ON LARGE, TRANSNATIONAL FIRMS RAISES FUNDAMENTAL PROBLEMS, ILLUSTRATED BY THE INHERENT DEFICIENCES AND FAILURES OF MARKET ECONOMIES IN MANY NATIONS, AND INDEED INTERNATIONALLY. THESE CONCERNS ARE EXPLORED IN DEPTH IN THIS ARTICLE. CREATION OF A MULTINATIONAL EUROPE IS EASIER SAID THAN ACHIEVED. YET IT IS ONLY BY WITHDRAWING FROM THE FRANTIC PURSUIT OF THE IMPERATIVES OF THE FREE MARKET THAT COMMUNITIES AT VARIOUS LEVELS IN EUROPE CAN BEGIN TO EXPERIMENT WITH THEIR OWN WAYS FORWARD.