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

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  • Funke, Michael
  • Zhong, Doudou

Abstract

The political hyperglobalisation 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 presents a new and comprehensive cross-country panel dataset operationalising the multifaceted three vertices of the trilemma. After an 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 globalisation trilemma.

Suggested Citation

  • 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).
    • Handle: RePEc:zbw:bofitp:bdp2020_019
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    More about this item

    Keywords

    political trilemma; globalisation; democratic politics; national sovereignty;
    All these keywords.

    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

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