Wednesday, October 26, 2016
Europe's institutional leverage effect is causing problems worldwide
ANBOUND
Europe's trade policy is in turmoil. The Belgian government recently said the EU-Canada trade agreement was on the brink of collapse because of opposition from its regional council. We believe that this case shows the risk faced by globalization, with the European countries' democratic system and the global trade participated by the EU as a whole will be lethal. This is the perfect example of using institutional leverage to influence decision-making. In this era of anti-globalization, this type of incident will continue to increase; there will be more strong demonstration effects, which will undoubtedly be bad news for globalization.