How Globalization Shifts the Global Economic and Political Balance

One of the main accusations directed toward globalization is that it deepens the gap between the developed and developing countries dooming them to eternal backwardness. The article demonstrates that the actual situation is very different. It is shown that this is due to globalization that the developing countries are generally growing much faster than the developed states. The World System core starts weakening while its periphery gains strength. At the same time there is a continuing divergence between the main bulk of developing countries and the group of the poorest developing states. The article also explains why globalization was bound to lead to an explosive rise of many developing countries and relative weakening of the developed economies. In the forthcoming decades this trend is likely to continue (though, of course, not without certain interruptions). It is also demonstrated that this convergence constitutes a necessary condition for the ongoing and forthcoming change of political and power balance in the World System. We also show how and why it manifests itself in the US current and possible future policy.