Who Needs the Nation State?
40 Pages Posted: 28 Sep 2012
Date Written: July 2012
Abstract
The design of institutions is shaped by a fundamental trade-off. On the one hand, relationships and heterogeneity push governance down. On the other, the scale and scope benefits of market integration push governance up. A corner solution is rarely optimal. An intermediate outcome, a world divided into diverse polities, is the best that we can do.
Keywords: Globalization, Nation State
JEL Classification: F0, H41
Suggested Citation: Suggested Citation
Rodrik, Dani, Who Needs the Nation State? (July 2012). Available at SSRN: https://ssrn.com/abstract=2153471
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