IDEAS home Printed from https://ideas.repec.org/a/bla/ecopol/v36y2024i1p177-201.html
   My bibliography  Save this article

The political globalization trilemma revisited: An empirical assessment across countries and over time

Author

Listed:
  • Michael Funke
  • Doudou Zhong

Abstract

The political globalization trilemma asserts that a government cannot simultaneously opt for deep international integration, national sovereignty and democratic politics, but rather is constrained to choosing two of the three at most. This paper employs cross‐country panel data operationalizing the multifaceted three vertices of the trilemma. After explorative data analysis, we employ panel error‐correction techniques to uncover the mutual interdependencies among the variables in the system. The econometric evidence supports the existence of a long‐run relationship between economic integration, national sovereignty and democratic politics as postulated in the political globalization trilemma.

Suggested Citation

  • Michael Funke & Doudou Zhong, 2024. "The political globalization trilemma revisited: An empirical assessment across countries and over time," Economics and Politics, Wiley Blackwell, vol. 36(1), pages 177-201, March.
    • Handle: RePEc:bla:ecopol:v:36:y:2024:i:1:p:177-201
    DOI: 10.1111/ecpo.12235
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/ecpo.12235
    Download Restriction: no
    File URL: https://libkey.io/10.1111/ecpo.12235?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Joshua Aizenman & Hiro Ito, 2020. "The Political-Economy Trilemma," Open Economies Review, Springer, vol. 31(5), pages 945-975, November.
    2. David Autor & David Dorn & Gordon Hanson & Kaveh Majlesi, 2020. "Importing Political Polarization? The Electoral Consequences of Rising Trade Exposure," American Economic Review, American Economic Association, vol. 110(10), pages 3139-3183, October.
    3. Engle, Robert & Granger, Clive, 2015. "Co-integration and error correction: Representation, estimation, and testing," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 39(3), pages 106-135.
    4. Dani Rodrik, 2018. "What Do Trade Agreements Really Do?," Journal of Economic Perspectives, American Economic Association, vol. 32(2), pages 73-90, Spring.
    5. Pedroni, Peter, 2004. "Panel Cointegration: Asymptotic And Finite Sample Properties Of Pooled Time Series Tests With An Application To The Ppp Hypothesis," Econometric Theory, Cambridge University Press, vol. 20(3), pages 597-625, June.
    6. M. Hashem Pesaran, 2007. "A simple panel unit root test in the presence of cross-section dependence," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 22(2), pages 265-312.
    7. Pesaran, M. Hashem & Smith, Ron, 1995. "Estimating long-run relationships from dynamic heterogeneous panels," Journal of Econometrics, Elsevier, vol. 68(1), pages 79-113, July.
    8. Dumitrescu, Elena-Ivona & Hurlin, Christophe, 2012. "Testing for Granger non-causality in heterogeneous panels," Economic Modelling, Elsevier, vol. 29(4), pages 1450-1460.
    9. Ralf Dahrendorf, 1996. "Economic Opportunity, Civil Society and Political Liberty," Development and Change, International Institute of Social Studies, vol. 27(2), pages 229-249, April.
    10. Rodrik, Dani, 2020. "Why Does Globalization Fuel Populism?," CEPR Discussion Papers 15002, C.E.P.R. Discussion Papers.
    11. Peter Pedroni, 1999. "Critical Values for Cointegration Tests in Heterogeneous Panels with Multiple Regressors," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 61(S1), pages 653-670, November.
    12. Dani Rodrik, 2021. "Why Does Globalization Fuel Populism? Economics, Culture, and the Rise of Right-Wing Populism," Annual Review of Economics, Annual Reviews, vol. 13(1), pages 133-170, August.
    13. Pedroni, Peter, 1999. "Critical Values for Cointegration Tests in Heterogeneous Panels with Multiple Regressors," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 61(0), pages 653-670, Special I.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Funke, Michael & Zhong, Doudou, 2020. "The political globalisation trilemma revisited: An empirical assessment across countries and over time," BOFIT Discussion Papers 19/2020, Bank of Finland Institute for Emerging Economies (BOFIT).
    2. repec:zbw:bofitp:2020_019 is not listed on IDEAS
    3. Herzer, Dierk & Nunnenkamp, Peter, 2015. "Income inequality and health: Evidence from developed and developing countries," Economics - The Open-Access, Open-Assessment E-Journal (2007-2020), Kiel Institute for the World Economy (IfW Kiel), vol. 9, pages 1-56.
    4. Dierk Herzer, 2016. "Unions and Income Inequality: A Heterogeneous Panel Co-integration and Causality Analysis," LABOUR, CEIS, vol. 30(3), pages 318-346, September.
    5. Naima Chrid & Sami Saafi & Mohamed Chakroun, 2021. "Export Upgrading and Economic Growth: a Panel Cointegration and Causality Analysis," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 12(2), pages 811-841, June.
    6. Mathilde Aubry & Jean Bonnet & Patricia Renou-Maissant, 2015. "Entrepreneurship and the business cycle: the “Schumpeter” effect versus the “refugee” effect—a French appraisal based on regional data," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(1), pages 23-55, January.
    7. Usman, Muhammad & Makhdum, Muhammad Sohail Amjad, 2021. "What abates ecological footprint in BRICS-T region? Exploring the influence of renewable energy, non-renewable energy, agriculture, forest area and financial development," Renewable Energy, Elsevier, vol. 179(C), pages 12-28.
    8. Francisco García-Lillo & Eduardo Sánchez-García & Bartolomé Marco-Lajara & Pedro Seva-Larrosa, 2023. "Renewable Energies and Sustainable Development: A Bibliometric Overview," Energies, MDPI, vol. 16(3), pages 1-22, January.
    9. Adolfo Maza & Paula Gutiérrez-Portilla, 2022. "Outward FDI and exports relation: A heterogeneous panel approach dealing with cross-sectional dependence," International Economics, CEPII research center, issue 170, pages 174-189.
    10. Herzer, Dierk, 2013. "Cross-Country Heterogeneity and the Trade-Income Relationship," World Development, Elsevier, vol. 44(C), pages 194-211.
    11. Markus Eberhardt & Francis Teal, 2013. "No Mangoes in the Tundra: Spatial Heterogeneity in Agricultural Productivity Analysis," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 75(6), pages 914-939, December.
    12. Daniel, Betty C. & Shiamptanis, Christos, 2013. "Pushing the limit? Fiscal policy in the European Monetary Union," Journal of Economic Dynamics and Control, Elsevier, vol. 37(11), pages 2307-2321.
    13. Rajesh Sharma & Samaresh Bardhan, 2017. "Finance growth nexus across Indian states: evidences from panel cointegration and causality tests," Economic Change and Restructuring, Springer, vol. 50(1), pages 1-20, February.
    14. Abdelaziz Boukhelkhal, 2022. "Energy use, economic growth and CO2 emissions in Africa: does the environmental Kuznets curve hypothesis exist? New evidence from heterogeneous panel under cross-sectional dependence," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(11), pages 13083-13110, November.
    15. William Bekoe & Talatu Jalloh, 2023. "Assessing the Economic Implications of Free Trade on Environmental Quality: Empirical Evidence from Africa," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 84(1), pages 19-36, January.
    16. In Choi, 2013. "Panel Cointegration," Working Papers 1208, Nam Duck-Woo Economic Research Institute, Sogang University (Former Research Institute for Market Economy).
    17. Guglielmo Maria Caporale & Marinko Skare, 2011. "Employment Growth, Inflation and Output Growth: Was Phillips Right?: Evidence from a Dynamic Panel," Discussion Papers of DIW Berlin 1138, DIW Berlin, German Institute for Economic Research.
    18. Musa Abdullahi Sakanko & Joseph David & Nurudeen Abu & Awadh Ahmed Mohammed Gamal, 2024. "Financial inclusion and underground economy nexus in West Africa: evidence from dynamic heterogeneous panel techniques," Economic Change and Restructuring, Springer, vol. 57(1), pages 1-20, February.
    19. Abdilahi Ali & Baris Alpaslan, 2013. "Do Migrant Remittances Complement Domestic Investment? New Evidence from Panel Cointegration," Economics Discussion Paper Series 1308, Economics, The University of Manchester.
    20. Akram, Vaseem & Rath, Badri Narayan, 2020. "What do we know about fiscal sustainability across Indian states?," Economic Modelling, Elsevier, vol. 87(C), pages 307-321.
    21. Rishan Adha & Cheng-Yih Hong & Somya Agrawal & Li-Hua Li, 2023. "ICT, carbon emissions, climate change, and energy demand nexus: The potential benefit of digitalization in Taiwan," Energy & Environment, , vol. 34(5), pages 1619-1638, August.

    More about this item

    JEL classification:

    • F60 - International Economics - - Economic Impacts of Globalization - - - General
    • F62 - International Economics - - Economic Impacts of Globalization - - - Macroeconomic Impacts
    • F15 - International Economics - - Trade - - - Economic Integration
    • F68 - International Economics - - Economic Impacts of Globalization - - - Policy

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:ecopol:v:36:y:2024:i:1:p:177-201. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0954-1985 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.