Dialectics of globalization and the future of capitalism

This chapter aims to anticipate the future of capitalism. In this context, it (a) distinguishes between the internationalization of the world economy and the globalization process ; (b) makes a distinction between transnational and global corporations ; and (c) defines globalization as a process of privatization of world economic resources by the leading actors in the world economy. The present stage of the development of capitalism is considered as the so-called “capitalism III or mega-capitalism”. The next stage of capitalism's development is identified as “capitalism IV or global capitalism”. Finally, this paper shows how economic theory together with economic policy has been lost in the labyrinth of this transition process. Consequently, the world is lacking a theoretical solution for proper global governance.