Preliminary
More and more the case in international relations and political economy issues are closely linked. Foreign aid provided to Indonesia and other developing countries could not be separated from the political interests of the international financial institutions in which its shareholders are dominated and controlled by Western countries. As soon as the domestic political problems arise, the International Monetary Fund and World Bank to provide warning for reform continued or terminated assistance.
Such threats are not only Indonesia but also received a large country like China where the United States determines the treatment of trade between the two countries. Chinese exports to the U.S. associated with political interests. In the event of violations of human rights then the U.S. immediately threatened to review its trade policy to China again.
When Iraq launched an attack on Kuwait and even to this day when Iraq has retreated from Kuwait, the United States and other Western countries still impose the trade embargo as punishment for his political actions and military-led government of President Saddam Hussein. Similarly, Iran's experience of the U.S. trade embargo.
The cases were further indicated that after the Cold War, the problem of international political economy more condensed in the relationship between nations and even between continents. When Indonesia was considered not in control of security in East Timor after the popular consultation, the IMF immediately stop negotiations of assistance. Similarly, the United States to stop military cooperation in the field. It's increasingly clear that no political action is free from economic interests and not there is also an economic policy free from political interests.
Papers will be opened with an overview of the meaning and scope of the study of international political economy. The second part will examine the historical journey of international political economic thought.
Definition
Traditionally, says James E Alt and Alberto Alesina (1996), economic behavior means that people who maximize the exchange rate while the political behavior concerning the vote and join the group and existence kepentingan.Eksistensi parallel with the "state" and "market" in the modern world This gave birth to the so-called "political economy". Without these two elements there would be no political economy.
According to Robert Gilpin (1987)the absence of the state, the mechanism and market forces will determine economic activity. This will be a purely economic phenomenon. Conversely the absence of markets, the state itself will allocate economic resources. This is the world's political scientists.
Although there is no world appear in their pure form, the relative influence of the state or the market gives the change over time and in different environments.
According to Gilpin, the term political economy has ambiguity. Adam Smith and classical economists use to interpret what is now called economic science. Recently, some experts such as Garu Becker, Anthony Downs, and Bruno Frey defines political economy as the economic application of formal methodology called the rational actor model, for all types of human behavior.
Other experts use the term political economy is by definition the use of a special economic theory to explain social behavior, games, collective action and Marxist theory. While other experts use the term political economy to refer to the problems generated by the interaction of economic and political activities.
Gilpin mengistilahkan political economy to indicate a series of problems that were examined with a complete mix of analytical methods and theoretical perspectives. While the focus of this interaction is the human activity between countries and markets.
This formulation is actually not new. Georg Hegel in the Philosophy of Right has been reviewing the relationship between state and market. Charles Lindblom (1977) proposed the "exchange" and "authority" as the main concept of political economy. Peter Blau (1964) using the "exchange" and "coercion"; Charles Kindleberger (1970) and David Baldwin (1971) refers to the "power" and "money"; Klaus Knorr (1973) use the term "power" and "wealth". Meanwhile, Oliver Williamson (1975) in contrast to using the term "market" and "hierarchy", Richard Rosecrance (1986) contrasts between the "market" and "territoriality".
Although the state of political and market concerns regarding the economy as something separate in the modern world, but can not be separated completely. State affect the outcome of market activity by determining the character and distribution of property rights and rules that control the behavior of the economy. Many people are convinced that the state can and can affect market power. Therefore significantly affect economic activity. The market itself is the source of power that influence political decisions. Economic dependency has confirmed the relationship of power is a fundamental feature of contemporary economic world.
For more details, Balaam (1997)describes the international political economy of the sense strand per word. International, he said, referring to the handling of issues related to cross national boundaries and relationships between two or more than two countries. While the political term referring to the involvement of state power to make decisions about who to, what, when and how in a society.
Politics is the process of collective choice, competition, interest and values among different actors, including individuals, groups, businesses and political parties. The political process is complex and involves multiple layers of a national state, country bilateral relations between nations and many organizations internasionnal, an alliance of regional and global agreements.
In the end the international political economy is the economic concerns that mean something related to the way in which scarce resources are allocated to different uses and didistriusikan among individuals through which decentralized market processes. Analysis of economic and political analysis, writing of Balaam, often see the same problem but the economic analysis focuses not so much to the matter of power and national interests but to the problems of income and wealth as well as individual interests. Therefore, political economy, is a combination of the two ways of looking at the whole world in order to understand the fundamental character of society.
The study of international political economy is a social science that is based on a single frame problems, issues and events in which the element ekononomi, politics and relevant international and overlap, creating a rich interaction patterns. The world is a complex place that is connected with the various elements that influence each other. Starting from the individual level, political-economic elite to the national level and even level areas that do not bear a simple interaction. Contacts between the border and between different values even between the interests of diverse cause various problems.
Social science seeks to understand the pattern and character of the human condition on Earth by analyzing the causes and sources of conflict and how they solve them. International political economy studies contributing to understanding the tension that involves economic and political interests among nations. According to Balaam, political economy is a field of study that analyzes the problems that arise from the existence of parallel and dynamic interaction "state" and "market" in the modern world.
This interaction which defines political economy can be described in a number of ways. To a certain extent, political economy focuses on the fundamental conflict between individual interests and the interests of wider society in which individuals exist.
It could also be explained that the political economy is a study of tension between the market (market) where the individuals involved in activities for their own interests and the country where the same individual collective action in force in the national interest or the interests of wider society defined.
"State" is the realization of collective action and decision. Countries often defined political institutions of modern nation-state, geographic region with a relatively coherent system of relations of government. Nation-state itself is a legal institution with a clear scope of territorial and population as well as capable of carrying pemernitah sovereignty. For example parts of Indonesia, the Indonesian people and government of Indonesia.
However, we also need to consider more broadly the notion of "nation" with something that is collective and political behavior that occurs on many levels. European Union, for example, is not a nation-state. The European Union is an organization of nation states. However, these organizations make choices and policies that can affect the entire group so that the nation state and its inhabitants as a country.
While the market (market) is the realization of actions and decisions of individuals. Markets are usually defined economic institutions of modern capitalism. The market is dominated environment of human action by individual interests and conditioned by the forces of competition. Market forces to motivate and condition human behavior. Individuals motivated by self-interest to produce and supply goods and services that are rare or sought to bargain products or high-paying job. They are driven by the power of market competition to make the product better, cheaper or more attractive.
Society consists of representatives from state and society. State and society generally reflect the history, culture and values sosialHubungan between political economic system that can be described as follows
Community
Politics
Economic
International Political Economy
The existence of a parallel between the state (politics) and markets (economics) creates a fundamental tension that provides features on political economy. State and the market does not always conflict, but they overlap so that the fundamental tensions appear.
According to Balaam, political economy is an intellectual discipline that investigates the relationship between economic and political high. International political economy is a continuation of the investigation at the international level. Political economy is clearly not only how to learn or understand
Political economic thinking has evolved since several centuries ago. Now the actuality of political economy getting stronger by the fact that economic life can not be separated from political life. Similarly, on the contrary, many political decisions that background of economic interests. This phenomenon is very strong both in developed and developing countries. Linkages of political economy
New Classical Period (mid 19th century until the mid-20th century)
In the classical era of new politics of economic development is still dominated Classical school of thought. But there are also other ideas that are different from the flow of Classical especially after Marx and Engels make their theories about the economic system. But in the New Classical Age can be interpreted as his prime thinkers Flow lainnya.Tokh Classical style of their new-age thinkers figures include: Herman Heinrich (1810-1858), Karl Merger (1841-1921), Eugen von Bohn Bawerk (1851-1914) and Friedrich von Wieser (1851-1926).
The difference between thinking and School Classical Neo Classical School is located on the pattern of approach and methodology developed. Study Center began to widen from Germany, Britain, Austria and the United States. Not all thinkers give the connotation of political economy as their studies because most theory expressed in the form of conventional economic principles or the things that paradoxical with the study of political economy due to their reluctance to use the term tersebut.Buah their thinking can be used as benchmarks of the polemic that occurred regarding the existence of political economy that started the popular 20th century. The characters are developing community development studies that do not forgotten the economic thinking is Lucian Pye, La Palombara, David Easton, Gabriel Almond, Max Weber, Huntington and Hans J Morgenthau.
New Classical Period II
This school appears to be complement the New Classical School. People of thinkers such as Piero Sraffa (1898-1983), Joan V Robinson (1903-1983) and Edward H. Chamberlain (1899-1967). This school represents a large contribution in the field of political economy theories of the market school reform, welfare economic problems that highlights the normative aspects of the market mechanism. Highlight the moral aspect of this school of monopoly where the extortion of labor because the practice has caused misery to the lain.Pendapat Neo Classical, among others:
1. The principle of capital accumulation as an important factor
2. The development of the economy as a result of a gradual process, harmonious and cumulative.
3. Optimism on the development of the economy.
4. The existence of the international aspects of development ekonomi.Menyangkut international aspects of economic development a country has several stages:
a. At first the state to borrow capital.
b. After conducting productivity will pay dividends and interest on the loan.
c. Increasing the state and partly repay the capital loan.
d. Receive dividends and interest or surplus.
e. Lenders.
Keynesian era (mid 20th century)
School was spearheaded John Maynard Keynes (1883-1946), an expert in philosophy from Cambridge University, England. The characteristics of this school are:
1. The overall economic situation is the focus for analysis.
2. Above break-classical economics which assumes that the source of self-organizing economy was fully used and is considered stable.
3. In a capitalist economy could develop a serious imbalance and unemployment and the depression that panjang.Sementara term general overview of political economy, among others:
1. Strong arguments no longer apply from the Classical School of thought concerning the state and the economy in pursuit of their goals.
2. Political authorities to influence the economy through economic variables.
3. Economic analysis and policy of active intervention patterned state.
4. Kebajika savings of individuals in society to harm the public interest.
Age of Post Keynesian
The thinker aims to expand horizons for long term analysis.
1. There are important requirements necessary to maintain a steady growth of income at full employment level of income with no experience deflation and implasi
2. Is the income actually increased in level so as to prevent the occurrence of congestion is long or continuous inflation.
More and more the case in international relations and political economy issues are closely linked. Foreign aid provided to Indonesia and other developing countries could not be separated from the political interests of the international financial institutions in which its shareholders are dominated and controlled by Western countries. As soon as the domestic political problems arise, the International Monetary Fund and World Bank to provide warning for reform continued or terminated assistance.
Such threats are not only Indonesia but also received a large country like China where the United States determines the treatment of trade between the two countries. Chinese exports to the U.S. associated with political interests. In the event of violations of human rights then the U.S. immediately threatened to review its trade policy to China again.
When Iraq launched an attack on Kuwait and even to this day when Iraq has retreated from Kuwait, the United States and other Western countries still impose the trade embargo as punishment for his political actions and military-led government of President Saddam Hussein. Similarly, Iran's experience of the U.S. trade embargo.
The cases were further indicated that after the Cold War, the problem of international political economy more condensed in the relationship between nations and even between continents. When Indonesia was considered not in control of security in East Timor after the popular consultation, the IMF immediately stop negotiations of assistance. Similarly, the United States to stop military cooperation in the field. It's increasingly clear that no political action is free from economic interests and not there is also an economic policy free from political interests.
Papers will be opened with an overview of the meaning and scope of the study of international political economy. The second part will examine the historical journey of international political economic thought.
Definition
Traditionally, says James E Alt and Alberto Alesina (1996), economic behavior means that people who maximize the exchange rate while the political behavior concerning the vote and join the group and existence kepentingan.Eksistensi parallel with the "state" and "market" in the modern world This gave birth to the so-called "political economy". Without these two elements there would be no political economy.
According to Robert Gilpin (1987)the absence of the state, the mechanism and market forces will determine economic activity. This will be a purely economic phenomenon. Conversely the absence of markets, the state itself will allocate economic resources. This is the world's political scientists.
Although there is no world appear in their pure form, the relative influence of the state or the market gives the change over time and in different environments.
According to Gilpin, the term political economy has ambiguity. Adam Smith and classical economists use to interpret what is now called economic science. Recently, some experts such as Garu Becker, Anthony Downs, and Bruno Frey defines political economy as the economic application of formal methodology called the rational actor model, for all types of human behavior.
Other experts use the term political economy is by definition the use of a special economic theory to explain social behavior, games, collective action and Marxist theory. While other experts use the term political economy to refer to the problems generated by the interaction of economic and political activities.
Gilpin mengistilahkan political economy to indicate a series of problems that were examined with a complete mix of analytical methods and theoretical perspectives. While the focus of this interaction is the human activity between countries and markets.
This formulation is actually not new. Georg Hegel in the Philosophy of Right has been reviewing the relationship between state and market. Charles Lindblom (1977) proposed the "exchange" and "authority" as the main concept of political economy. Peter Blau (1964) using the "exchange" and "coercion"; Charles Kindleberger (1970) and David Baldwin (1971) refers to the "power" and "money"; Klaus Knorr (1973) use the term "power" and "wealth". Meanwhile, Oliver Williamson (1975) in contrast to using the term "market" and "hierarchy", Richard Rosecrance (1986) contrasts between the "market" and "territoriality".
Although the state of political and market concerns regarding the economy as something separate in the modern world, but can not be separated completely. State affect the outcome of market activity by determining the character and distribution of property rights and rules that control the behavior of the economy. Many people are convinced that the state can and can affect market power. Therefore significantly affect economic activity. The market itself is the source of power that influence political decisions. Economic dependency has confirmed the relationship of power is a fundamental feature of contemporary economic world.
For more details, Balaam (1997)describes the international political economy of the sense strand per word. International, he said, referring to the handling of issues related to cross national boundaries and relationships between two or more than two countries. While the political term referring to the involvement of state power to make decisions about who to, what, when and how in a society.
Politics is the process of collective choice, competition, interest and values among different actors, including individuals, groups, businesses and political parties. The political process is complex and involves multiple layers of a national state, country bilateral relations between nations and many organizations internasionnal, an alliance of regional and global agreements.
In the end the international political economy is the economic concerns that mean something related to the way in which scarce resources are allocated to different uses and didistriusikan among individuals through which decentralized market processes. Analysis of economic and political analysis, writing of Balaam, often see the same problem but the economic analysis focuses not so much to the matter of power and national interests but to the problems of income and wealth as well as individual interests. Therefore, political economy, is a combination of the two ways of looking at the whole world in order to understand the fundamental character of society.
The study of international political economy is a social science that is based on a single frame problems, issues and events in which the element ekononomi, politics and relevant international and overlap, creating a rich interaction patterns. The world is a complex place that is connected with the various elements that influence each other. Starting from the individual level, political-economic elite to the national level and even level areas that do not bear a simple interaction. Contacts between the border and between different values even between the interests of diverse cause various problems.
Social science seeks to understand the pattern and character of the human condition on Earth by analyzing the causes and sources of conflict and how they solve them. International political economy studies contributing to understanding the tension that involves economic and political interests among nations. According to Balaam, political economy is a field of study that analyzes the problems that arise from the existence of parallel and dynamic interaction "state" and "market" in the modern world.
This interaction which defines political economy can be described in a number of ways. To a certain extent, political economy focuses on the fundamental conflict between individual interests and the interests of wider society in which individuals exist.
It could also be explained that the political economy is a study of tension between the market (market) where the individuals involved in activities for their own interests and the country where the same individual collective action in force in the national interest or the interests of wider society defined.
"State" is the realization of collective action and decision. Countries often defined political institutions of modern nation-state, geographic region with a relatively coherent system of relations of government. Nation-state itself is a legal institution with a clear scope of territorial and population as well as capable of carrying pemernitah sovereignty. For example parts of Indonesia, the Indonesian people and government of Indonesia.
However, we also need to consider more broadly the notion of "nation" with something that is collective and political behavior that occurs on many levels. European Union, for example, is not a nation-state. The European Union is an organization of nation states. However, these organizations make choices and policies that can affect the entire group so that the nation state and its inhabitants as a country.
While the market (market) is the realization of actions and decisions of individuals. Markets are usually defined economic institutions of modern capitalism. The market is dominated environment of human action by individual interests and conditioned by the forces of competition. Market forces to motivate and condition human behavior. Individuals motivated by self-interest to produce and supply goods and services that are rare or sought to bargain products or high-paying job. They are driven by the power of market competition to make the product better, cheaper or more attractive.
Society consists of representatives from state and society. State and society generally reflect the history, culture and values sosialHubungan between political economic system that can be described as follows
Community
Politics
Economic
International Political Economy
The existence of a parallel between the state (politics) and markets (economics) creates a fundamental tension that provides features on political economy. State and the market does not always conflict, but they overlap so that the fundamental tensions appear.
According to Balaam, political economy is an intellectual discipline that investigates the relationship between economic and political high. International political economy is a continuation of the investigation at the international level. Political economy is clearly not only how to learn or understand
Political economic thinking has evolved since several centuries ago. Now the actuality of political economy getting stronger by the fact that economic life can not be separated from political life. Similarly, on the contrary, many political decisions that background of economic interests. This phenomenon is very strong both in developed and developing countries. Linkages of political economy
New Classical Period (mid 19th century until the mid-20th century)
In the classical era of new politics of economic development is still dominated Classical school of thought. But there are also other ideas that are different from the flow of Classical especially after Marx and Engels make their theories about the economic system. But in the New Classical Age can be interpreted as his prime thinkers Flow lainnya.Tokh Classical style of their new-age thinkers figures include: Herman Heinrich (1810-1858), Karl Merger (1841-1921), Eugen von Bohn Bawerk (1851-1914) and Friedrich von Wieser (1851-1926).
The difference between thinking and School Classical Neo Classical School is located on the pattern of approach and methodology developed. Study Center began to widen from Germany, Britain, Austria and the United States. Not all thinkers give the connotation of political economy as their studies because most theory expressed in the form of conventional economic principles or the things that paradoxical with the study of political economy due to their reluctance to use the term tersebut.Buah their thinking can be used as benchmarks of the polemic that occurred regarding the existence of political economy that started the popular 20th century. The characters are developing community development studies that do not forgotten the economic thinking is Lucian Pye, La Palombara, David Easton, Gabriel Almond, Max Weber, Huntington and Hans J Morgenthau.
New Classical Period II
This school appears to be complement the New Classical School. People of thinkers such as Piero Sraffa (1898-1983), Joan V Robinson (1903-1983) and Edward H. Chamberlain (1899-1967). This school represents a large contribution in the field of political economy theories of the market school reform, welfare economic problems that highlights the normative aspects of the market mechanism. Highlight the moral aspect of this school of monopoly where the extortion of labor because the practice has caused misery to the lain.Pendapat Neo Classical, among others:
1. The principle of capital accumulation as an important factor
2. The development of the economy as a result of a gradual process, harmonious and cumulative.
3. Optimism on the development of the economy.
4. The existence of the international aspects of development ekonomi.Menyangkut international aspects of economic development a country has several stages:
a. At first the state to borrow capital.
b. After conducting productivity will pay dividends and interest on the loan.
c. Increasing the state and partly repay the capital loan.
d. Receive dividends and interest or surplus.
e. Lenders.
Keynesian era (mid 20th century)
School was spearheaded John Maynard Keynes (1883-1946), an expert in philosophy from Cambridge University, England. The characteristics of this school are:
1. The overall economic situation is the focus for analysis.
2. Above break-classical economics which assumes that the source of self-organizing economy was fully used and is considered stable.
3. In a capitalist economy could develop a serious imbalance and unemployment and the depression that panjang.Sementara term general overview of political economy, among others:
1. Strong arguments no longer apply from the Classical School of thought concerning the state and the economy in pursuit of their goals.
2. Political authorities to influence the economy through economic variables.
3. Economic analysis and policy of active intervention patterned state.
4. Kebajika savings of individuals in society to harm the public interest.
Age of Post Keynesian
The thinker aims to expand horizons for long term analysis.
1. There are important requirements necessary to maintain a steady growth of income at full employment level of income with no experience deflation and implasi
2. Is the income actually increased in level so as to prevent the occurrence of congestion is long or continuous inflation.
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