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GLOBAL REVIEW

Will globalisation make

National Governments Nullified ?

Globalization or the Economic Globalization is the words, which take an important place in the political arena in the recent past. Communication and computer technology, which has been developed since the decade of 1960's, has made a revolutionary change today in the communication.

With this as we know, the entire world has become a state of global village. Imperialist capital monopoly also is increasing dramatically its exploitation, with increasing so, the accumulated capital in its center.

Socialist camp which was dawned with the beginning of 20th century and there after existed till the decade of 1980's, and before the fall of socialist block, United States of America wanted be the absolute owner of the world politics, through means of capital and craft machinery of its political game as well. As a result now a world has created with single polarity. Given the facts during the period of Socialist camp was in strength, the contradictions of inter imperialism which was lying underneath, has now started to surface. World economy too has been subjected to the influence of few Multi-national Companies.

These changes taken place in the world are seemed to be drawn wrong conclusions with its outlook who do so. The main thing above all, was there proposition that it nullifies the states within the globalization.

In this light, movement of the oppressed class and working class, whose historical mission in each and different countries, will become under estimated and there would be an international contention which neglects the limits of the states. Capitalism is an international social system, firstly said by Marx. That within capitalism, capital takes an international shape. It in this sense Marx said that the proletariat has no country in the world.

But it did not exclude the fact that, the nature of imperialist capital behaves within thew influence of state itself, in different countries.

Today, it seems that within globalization, capital takes control through the means of multi-national companies. Companies, which are identified as multi-national, are today termed as Trans-national companies. So within this context, will national states be nullified? Does capital binds not to any state further? If it does not so, belongs to any state, would not there be a contradiction prevails within inter-imperialist states ? These are the questions, need to be replied by us. Within the context of globalization, even if it appears to be overstepped the limits of national states, in the reality, this makes clear that the capital is controlled by the powerful imperialist states that own the capital.

It is truth that multi-national companies have their branches in various countries and they have shares in them. But it claims their final propriety and they are controlled by definite state, are the facts, which are undeniable. To support the above, a good example could be found through such companies themselves you would have known about the 500 companies which are making highest income in the world. They are called "Fortune Five Hundred". When closely looked at these companies, it makes clear that their ownership lies particularly in some country. As revealed in the publication, 'Fortune' of August 1998, USA owns those 175 big companies out of 500 and 112 companies belong to next powerful country Japan. In addition, Germany owns 42, France 39 and Great Britain 35 respectively. Our neighbor India claims their property for one of them. What does this make clear ?

By being able to name a company, to which country it precisely belongs, is a clear sign of their propriety. Only 3 out of 500 are identified as partner-companies. They are two Britain-Netherlands partner companies and Belgium-Netherlands partner companies the other. It could be seen in analyzing further about the details of these 500 companies, that the contradiction between inter imperialism, as is standing between imperialist countries, is being clearly understood within itself. The following table indicates the income of each country in 1997 and looking at its profit it could be understood the rate of profit earned by them.

Country Income (US $) Profit (US $)

USA (175 companies) 3,977,510.9 2,46,134.2

Japan (112,) 2,963,428.8 15,350.9

France (49 ,, ) 880,082.7 21,481.2

Germany (32 ,, ) 1,058,539.5 28,825.1

G.Britain (35 ,, ) 638,130.5 45,436.0

In dividing these companies into various fields, USA takes precedence over the others and next competitor seen in the order is Japan. Out of the Fortune 500, there are 8 huge companies manufacturing airplanes and USA owns 6 of while the rest belong to France and Japan. There are 68 commercial and savings banks, and USA owns11 of them while 11 owned by Japan. There are 5 aerated-water manufacturing companies, of which 4 are owned by USA including Pepsi and Coca-Cola. There are 9, which are manufacturing computers and office equipment, and USA owns 6 of them. The balance is owned by Japan.

Not only that, the most employed companies are also belonging to USA. The employees working under US Postal Service Co. is currently running its work force numbering 898,384. This has recorded the highest employed rate in the world. The second place has occupied by Wall Mart Stores numbering its work force 825,000 and in the third place General Motors occupies 608,000 workers. USA owns all of these companies.

In this respect, it appears that the majority of companies, which are dominating the world economy, are owned by USA. Japan is competing with USA. Germany, France and Britain are also engaged in the competition. They compete with each other to maximize their profit and share the market monopoly.

Because of this reason itself, there is a contradiction among these countries. By adding the small states around such countries and making efforts to operate within the 'regional economic agreements' as agreed upon, shows the same fact.

Given the above, it does not nullify national state nor the contradiction among the imperialist states. The capitalist system exists only with National States and it is possible to nullify only in a Communist society which socialize the production and that is in no way an undeniable truth.