News of Globalization’s Death Vastly Exaggerated

Despite the claims that the economic crisis would lead to increased protectionism and isolation, the opposite has occurred. There are three major reasons why globalization hasn’t suffered a major decline through this most recent crisis. First, international institutions have proved strong and effective: for example, the WTO's “trade courts” effectively settled disputes and the Bretton Woods Institutions acted without hesitation to provide funds to struggling countries. Second, the growing reach of multinational corporations now transcends borders of nation-states and their interest, effectively curbing any benefits from protectionism. Finally, global problems such as finance, climate change, and development aid require global solutions. These factors do not mean globalization is an unstoppable force. But any of the current major problems facing the world are likely to be solved by deeper globalization rather than by opposing it. – YaleGlobal