Analyzing The Role Of Economic Regionalization In The Process Of Economic Globalization

With the development of productivity and advances in technology, the surging tide of economic globalization has swept around the whole world in20th century, especially since the1980s. At the same time, in order to effectively avoid the risk such as marginalization occurred in developing countries in the process of economic globalization, the regional economic integration has developed as quickly as possible.Coexistence of economic globalization and regionalization has caused widespread concern in academic. Economist debate if the economic regionalization played a role in obstructing or facilitating the economic globalization. The financial crises in2008not only caused huge losses in USA and European, but also influence the layout of the world economy and the cooperation between countries. Study about the relationship between economic regionalization and globalization becomes hot again. Therefore, systematically study the economic regionalization and its organizations will be helpful for revealing the relationship of economic globalization and regionalization, also will be significant for China’s future strategy about economic globalization and regionalizationIn order to pointing out the role of economic regionalization in the process of economic globalization, this paper firstly use the KOF index of globalization and changes in the number of regional trade agreements to assess the developing status of economic globalization and regionalization. From the perspective of economic, this paper study welfare of regional organizations and if mobility of productive factor be put off. Then this article divide the analysis of how economic regionalization influence economic globalization into two parts.The first part states a situation of factor mobility obstacles, which means preferential trade arrangements, free trade area, customs union, to support analysis of the welfare effects, then the Lome Agreement, NAFTA will be as examples to show the role of regionalization. The second part states a situation of none factor mobility obstacles, which means the common market, economic union, to support analysis of the welfare effects, then the Southern Common Market, Europe currency area will be as examples to show the role of regionalization.The conclusion that from the perspective of the welfare effects economic regionalization will promote economic globalization will be shown through the above analysis and demonstrates. However regional organization that at different levels will have different influence in economic globalization. In the present analysis, it will indirectly demonstrate a view that economic regionalization is a process and stage of economic globalization by the impact of financial crisis...