Since there is no common governing power that supervises all countries, despite the existence of international organizations such as United Nations, states find themselves unable to trust each other. Thus, they usually treat each other as possible opponent that could grab them anytime.
On the other hand, the modified structural realists believe that since there is anarchy in international relations, the weaker states have to look for means in order to protect its security and interest, as opposed to the powerful states, which tend to resist regulation or control of their movements.
Similar to the modified structural realists, neo-liberal institutionalists believe that adherence to international legal principles would help promote transparency in international dealings, reduce transaction costs in international trade, intensify strict monitoring and enforcement of contractual obligations, and eases imposition of penalties for violation thereof. Voluntary observance of the international legal principles would encourage more cooperation in the international arena that would somehow grant long-term benefits, especially in the financial aspects.
The hegemonic stability theor ...