Start Accommodating multinationals in federal political systems

Accommodating multinationals in federal political systems

Even though the system of national grants-in-aid appears to have been designed as a means of decentralizing administration, the effect has been decidedly centralist, for the conditional character of the grants has allowed the federal government to exercise influence on state policies in fields that were once invulnerable to national intervention.

In nearly all contemporary states, the national budget is dominated by expenditures for defense, the military employs the largest fraction of the work force, and questions of national security pervade the discussion of politics.

One of the lessons of the last century was that national sovereignty continues to be the most important obstacle not only to the emergence of new forms of supranational government but to effective international cooperation as well.

The national ideal triumphed as a result of the wars of the 19th and 20th centuries.

Wars have played the major part in strengthening national governments and weakening political regionalism and localism.

The attachments that people have to subnational political communities are loosened when they must depend for their security on the national power.

Even in the new age of total war—which few countries are capable of waging and even fewer of surviving—people look for their security to national governments rather than to international organizations.

On another level was the collapse of the Warsaw Pact when the countries of eastern Europe reclaimed their sovereignty in the late 1980s after decades of domination by the Soviet Union.