Download Multinational Corporations from Emerging Markets: State by Andreas Nölke (eds.) PDF

By Andreas Nölke (eds.)

ISBN-10: 1137359501

ISBN-13: 9781137359506

ISBN-10: 1349471569

ISBN-13: 9781349471560

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Extra resources for Multinational Corporations from Emerging Markets: State Capitalism 3.0

Example text

If institutions are ‘a set of rules, formal or informal, that actors generally follow, whether for normative, cognitive, or material reasons’ (Hall and Soskice, 2001a, p. 9), it follows that there is a path dependence in how states employ their methods and systems of governance. This is because institutions establish the ‘rules of the game ... that structure political, economic and social interaction’ (North, 1990, p. 97), and for addressing the challenges states and their corporations face. This is considered in the following section.

Rather than what Braithwaite (2008) dubs ‘the neoliberal fairytale’ of the demise of the state, in the face of industry sectors dominated by a visible handful of megacorporations, it is more efficient for states to reach agreement on rules for their operations rather than seeking to curtail these. As Vogel (1996) observed even earlier in Freer Markets More Rules, privatization and what was initially seen as deregulation was actually more accurately reregulation as LMEs became ‘regulatory states’ embracing what might be thought of as a form of ‘regulatory capitalism’.

As development proceeds, these structures must approximate more closely to those of the [more developed countries]. The structuralist view of the world provides a reason for distrusting the price mechanism and for trying to bring about change in other ways ... it primarily seeks to provide a reason for managing change by administrative action (emphasis added, pp. 20–21). In other words, the goal of catch-up is to attain a ‘structure of production and trade’ at the same level as advanced economies – that is, to close the existing gap in industrial structures.

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Multinational Corporations from Emerging Markets: State Capitalism 3.0 by Andreas Nölke (eds.)

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