Question

1. How did the United States set up the international institutions that made up the global order? Do international institutions and economic globalization still benefit the United States? Reference at least three of the following: The Commanding Heights,Stiglitz, Rodrik, Heywood, Acharya, Milanovic.

Answer 1

According to commanding heights US experienced several ups and downs after the world war, all these hardships taught them a great deal, it ultimately led to them setting up institutions which could prevent the mistakes that the country made. Stiglitz said that the international institutions set up by US were created to monitor and regulate the financial markets and help countries in need. He however criticized these institutions as he said that they were not performing the roles for which they were made for. Rodrik states that US set up the institutions because of the trauma it faced during the great depression. Heywood mentions that the need to liberalize and initiate global trade were the key factors for the US to set up international institutions, the US economy wanted to liberalize and these institutions played a key role.

International institutions play a key role for powerful countries as they are the products of geopolitics. States have to ultimately enforce the arguments which the institutions such as UN makes. The institutions do benefit US and anyone who stands with it as they were created for that purpose solely. There may be one or two circumstances wherein it disagreed with US but majority of the decisions are made in consultant of powerful countries, which majorly makes up US.