Globalization and Policy Concertation Essay -- Global Economics Global

Introduction My argument in this paper is that globalization is not leading to a decline in the incidence of policy concertation in Western Europe between governments, employers and trade unions, contrary to much accepted wisdom, and that this persistence of policy concertation can be best understood in terms of a configurational model of policy concertation in which the main variables are perceived problems, the degree of agreement on economic policy among the relevant political actors, and the perceived implementation capacity of these actors. I take my definition of ‘globalisation’ from that devised by David Held and his colleagues: A process (or set of processes) which embodies a transformation in the spatial organisation of social relations and transactions – assessed in terms of their extensity, intensity, velocity and impact – generating transcontinental or interregional flows and networks of activity, interaction and the exercise of power (Held et al 1999: 16). I focus in particular on economic globalisation, namely the increase in worldwide trade, the globalisation of financial markets and capital movements, and the multinationalisation of production. By ‘policy concertation’ is meant the making of public policy by means of national-level, intersectoral negotiations leading to agreements – as opposed to non-binding discussions - between government representatives and representatives of peak employer and/or trade union confederations about the formation of government policies. This phenomenon is sometimes referred to as ‘corporatism’, but the term ‘policy concertation’ is preferred for the sake of clarity because the term ‘corporatism’ is also used to describe other types of phenomena: Schmitter’s o... ... Traxler, Franz (1995a), ‘Farewell to Labour Market Associations? Organized Versus Disorganized Decentralization as a Map for Industrial Relations’, pp.3-19 in: Colin Crouch and Franz Traxler (eds.), Organized Industrial Relations in Europe: What Future? Aldershot: Avebury. Traxler, Franz (1997), ‘The Logic of Social Pacts’, in Social Pacts in Europe, ed. Giuseppe Fajertag and Philippe Pochet. Brussels: ETUI. Treu, Tiziano (1992). ‘Tripartite Social Policy-Making: An Overview’, pp.1-25 in: Tiziano Treu (ed.), Participation in Public Policy-Making: The Role of Trade Unions and Employers’ Associations. Berlin and New York: Walter de Gruyter. Wallerstein, Michael, Miriam Golden and Peter Lange (1997), ‘Unions, Employers’ Associations, and Wage-Setting Institutions in Northern and Central Europe, 1950-1992’, Industrial and Labor Relations Review 50(3): 379-401.