PART 10

REGIME CHANGE

The most striking characteristic of contemporary regime change is the fall of communism and the establishment of capitalism. The second most widespread change is the transformation of noncommunist but nonetheless authoritarian states into multiparty political system. Today therefore is not just the time of economic change but also the hour of democracy. Modern Democracy is a system of governance in which rulers are held accountable for their actions in the public realm by citizens, acting indirectly through the competition and cooperation of their elected representatives. (Philippe Schmitter and Terry Lynn Karl) Rule by the people.

Democracy does not guarantee social and economic equality nor even a decent standard of living for all. Democracy does not eliminate immorality and corruption.

2 Advantages of democracy 1. The idea of democracy is appealing; it is highly satisfactory to believe we are able to participate in creating and running our own government. 2. It provides a more peaceful way of processing conflict and effecting change than can be found in other systems.
Georg Sorensen: Democracy does not fall from heaven. It is brought about by individuals and groups, by social actors, who fight for it. Sorensen believes most transitions to democracy in recent years have been set up as a result of negotiations with dominant elites in the former regime

 Sidney Verba: We do not know how in any precise way to create democracy out of non-democracywe can provide support, but whatever grows probably has to grow uncontrolled and grow outside our control in ways that are sometimes negative. The consolidation of democracy is a long and difficult business. Doh Chull Shin thinks that the presently democratizing nations tend to lack many factors that facilitate the process of democratization. Because of this, it is uncertain whether these democracies will continue to consolidate or whether they will regress into authoritarian rule.

Kinds of Transitions 1. Communism to Democracy and Free Market Capitalism Ex. The former Soviet satellites in Europe. In general, all the former Soviet satellite states, excommunist now present themselves as reformers who will ensure that the burden of reform is more equitably shared, not as unregenerate believers determined to turn back the clock. Communism is out, social democracy is in.
2. Communism toward Free market Capitalism Ex. China, North Korea, Vietnam and Cuba. The decisions of the leaders in China to compete in the world market brought massive change except in the political arena.

3.

Non-Communist Authoritarian Rule to Democracy Ex. Italy and Germany (after World War II), Portugal, Spain and Greece, African and Latin American Countries

Regime Change and the Individual The shift to democracy maybe limited to electoral formalism in many nations; the shift to capitalism is however, likely to have far reaching effects almost immediately. Macro level changes during regime change do not fail to touch the lives of individuals. There are exciting opportunities for those well positioned to take advantage of them. Enterprising capitalists assisted by foreign investors and investments are frequently winners in the new regimes.

 Women and children are often particularly vulnerable to the impact of regime change on individual lives. As regime change has led to the reduction of government employees, women workers in the public sector have often been fired in disproportionate numbers. Regime Change and International Institutions The international government organizations most affected by the sweeping regime changes of the past few years have been the previously sub-global economic organizations like the IMF, the World Bank and GATT. All now boast virtually universal membership and have as we have seen, played a very strong role in shaping the economies of the new regimes.

Organizations that have no aspirations to universality have also been able to broaden their memberships as political reasons for declining membership have disappeared and the economic necessity of not being left behind has become ever more apparent. (Ex. EC, OECD, ASEAN)
UNs efforts to meet the challenge have been particularly effective in providing humanitarian aid that is so essential a step to the rehabilitation of war torn polities. International military alliances have been the most profoundly affected agencies of international governance. (Ex. NATO has assumed peace-keeping functions; Warsaw Pact disappeared)

Regime Change and International Non-Government Organizations Private international organizations seeking to improve the human condition by attacking particular problems are gathering more international recognition and support, at the same time, they often find the problems on which they focus to be ever more massive and intractable. (Ex. Environmentalists, human rights advocates etc. all of they had gone international) The explosion of these groups has been possible because of the ease of travel and more rapid communication. Many of these organizations are directly linked to the recent upheavals caused by regime change.

Regime change and International Business International business interests have strongly influenced the decisions of the international funding agencies that are so active in shaping the new economies; the investment opportunities thus produced have in turn revolutionized the international business world. The readiness of new regimes to welcome foreign owners as well as investors has led to the building of new plants in cities never considered before. The competition for TNC investment monies has also had a profound effect on First world nations, now engaged in sometimes drastic recreations of themselves. TNCs now have amazing powers, surpassing that of the nation-state, They are now at the center of the entire world-reshaping scheme.