Constructivism and the Global Economy

by Elizabeth Matenkoski

       When examining global economy, the two main views that Republicans will more than likely take are economic liberalism and realism.  Most people do not realize that economic liberalism is the typical conservative view regarding economics, first formulated by Adam Smith.  Famous economic liberals include Ronald Reagan and Margaret Thatcher.  Realism, on the other hand, is the belief that all actions must be done in whatever keeps the nation safest, which tends to put the military first.  This point-of-view is essential since we are living in a post 9/11 world.  Realism is also the main course that the United States generally takes when regarding foreign interests.

       One perspective when looking into global economy that many people fail to look at is the constructivist perspective.  Constructivism is very important because it takes the classic economic liberal position, but gives it more of a spine by attempting to explain why states react in the way that they do.  This mainly includes taking into account the culture of a specific state and recognizing that there is more to a nation than just politics and economics.  Realism and economic liberalism also fail to recognize the effect that non-state actors have on the global economy, including groups like al-Qaeda and Hezbollah.

       Constructivism is a noble approach in which to examine Middle Eastern affairs.  Economically, it is especially important when analyzing the oil economy.  Of course, this does not mean that the United States should ever let its guard down when dealing with a nation like Iran.  Rather, if we can understand where and why the Iranians have such great antipathy towards the United States, it would help to construct a more comprehensive approach.  Obviously Iran feels the United States stands or represents the opposite of everything that is Islam and Sharia Law (to be fair, a very strict fundamentalist interpretation), and working and making progress that ultimately lead to peace rests on these institutions.  The Iranian government’s philosophy underlies any decisions that are made, and our attitudes could benefit from greater cultural sensitivity to ensure the Iranian people’s confidence that we do not want to destroy their culture.  This approach would be much better than the economic liberal approach because Iranians would see that we are not just out to maintain that oil will continue flowing into the United States for a reasonable price.

       In the world today, it is important to understand where the decisions that states make come from.  When we know the source of a decision, we are better prepared to handle that particular state and the best course of action.  On the other hand, the United States should not abandon a realist view on the world anytime soon.  Rather, it should structure constructivism into its general realist worldview and allow a better understanding of culture play a strong influence in its quest to ensure (and augment) its own existence and global impact.