GLOBALIZATION AND THE ROLE OF STATE: CHALLENGES AND PERSPECTIVES

Abstract

Globalization is a term that refers specifically to economic integration of nations in an international framework transcending state boundaries through trade, investment, capital flow, migration etc. This process has both its supporters and its opponents. The opponents of globalization generally emphasize the diminishing of state's role in national affairs and the cultural social problems arising due to it. However, this attitude is over-pessimistic. Globalization is a logical outcome of the political economic changes the world over and it has to be coped with in a way that has positive results for the people and creates better socioeconomic environment with greater opportunities for private, individual and collective creativity and initiative. In this process, the role of the state is believed to be modified or gradually eroded. The nature and role of state in the new dispensation has been discussed in this paper.