Hopeful Global Trends

In: New political economy, Volume 7, Issue 3, p. 448-449

Abstract

A comment on Robin Theobald's essay, 'Can the State Deliver?,' contends that the outlook is not as bleak as he suggests. Although corruption became more pronounced during the 1990s in places like the former Soviet Union, there is no evidence that it was a significantly larger global problem than before. Increased international regulation has substantially reduced the laundering of criminal money that had increased as a result of advances & growth in the financial services industry. The vulnerability of certain regulations to corruption, & the importance of accountability, transparency, & more open, competitive economies in fighting corruption are pointed out. Theobald correctly notes the difficulties involved in combating corruption & the need for an efficient civil service, but it is equally important to focus on broader trends toward political/economic openness & consolidation. It is maintained that international financial institutions need to strike a balance in their role of encouraging better governance. The danger that the war on terrorism could reinstate some old bad habits of the Cold War is discussed. J. Lindroth