By R Page Arnot

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11 If control over policy outcomes has become more relevant than control over states (or political elites), ‘co-optive’ and ‘soft’ power technologies of governance have become more important for the (‘good’) governance and governmentality of international affairs. The renewal of US leadership under networked-governance regimes A major trait of the post-Bretton Woods order emerging from the past two decades is that to an inter-state system still prevailing in the political and strategic fronts, a sort of ‘networked’ governance system seems to be looming in the productive and financial arenas.

Is it a peaking point in which capitalism finally becomes extended world-wide? Is globalization by any chance announcing new transnational architectures of governance? Or is it just a fashionable word, a new way of naming what previously was explained in terms of internationalization and growing interdependence processes? In its popular meaning, say within the journalistic jargon, globalization refers to a state of exacerbated interdependence in which domestic processes, either in the economic, political, financial, or cultural realms, interact with transnational trends provoking a mutual reinforcement or rejection.

We may figure out that the network model overlaps 14 Post-NAFTA North America sometimes with the classical hierarchical model that prevailed in the past, or that multiple network systems end up by building up new complex hierarchies. The backbone of this new organizational system is the interconnections between nodes, that is, between fractions of systems that pursue specific goals, such as Castells has suggested. Interconnections range from the simplest to the most complex, according to the type and size of a firm.

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An Introduction to Political Economy by R Page Arnot

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