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Is the nation state under siege? A common answer is that globalization poses two fundamental threats to state sovereignty. The first concerns the unleashing of centrifugal and centripetal forces - such as increasing market integration and the activities of institutions like the IMF, World Bank, and WTO - that imperil state sovereignty from 'outside' the nation state. The second threat emanates from self-determination movements that jeopardize state sovereignty from 'inside'.

Rigorously analyzing popular hypotheses on globalization's effect on state sovereignty from a broad social sciences perspective, the authors use empirical evidence to suggest that globalization's multilevel threats to state sovereignty have been overestimated. In most instances globalization is likely to generate pressure for increased government spending while only one form of market integration - foreign direct investment by multinational enterprises - appears to increase any feeling of economic insecurity.

This volume will be invaluable to course instructors at both graduate and undergraduate levels, policy makers and members of the general public who are concerned about the effects of globalization on the nation-state.