Microregionalism and Economic Theory - Essay Example

Micro-Regionalism and Economic Theory al affiliation Micro-Regionalism and Economic Theory There has been globalization in the recent past. This is as a result of introduction of micro regionalism. Using comparative advantage, global micro-regionalism has been through processes like the south-south cooperation system and the north-south regionalism which cuts along the north-south divide such that each nation gains equally from the cooperation though they are at different economic levels as seen in the study work of Breslin & Hook (2002).

This form of regionalism aims at making attempts create mechanisms which are formal to deal with transnational issues. This according to Gamble & Payne (1996) form of regionalism is as a result of economic forces, finances and production. Globalization has been on the verge due to transnational economic relationships expanding the economy to a global capitalist division of production and labor. This form of regionalism has been due to business enterprises pursuing interests on the spatial scale of the region.

Advantages The micro-regional firms are able to expand their markets such that they sell their commodities locally and around the region. This, according to Fawcett & Hurrell (1995) is because regionalization links well with globalization. The firms are able to learn from the competitors who are also in the system of regionalism. The governments are able to get economic interaction and collaboration leading to the expansion of their global market. Through this system, governments are able to exploit technology of other states and also exploit their capital.

The process also helps the government to indulge in joint development of the resources available. This applies also to the industries according to Breslin & Hook (2002). Through micro regionalism, the government can solve the trans-boundary issues that arise in day to day activities. Consequently micro-regionalism is a tool for firms and the government to benefit from the comparative advantage of the regions which are neighboring.ReferencesBreslin, S., & Hook, G. D. (2002). Micro regionalism and world order.

New York: Palgrave Macmillan.Fawcett, L. L. E., & Hurrell, A. (1995). Regionalism in world politics: Regional organization and international order. Oxford: Oxford University Press.Gamble, A., & Payne, A. J. (1996). Regionalism and world order. New York: St. Martins Press.