4.nóv-globalisation, neocolonialism, neoliberalism

Globalization – what remains after we say goodbye to globalization?

• Globalization means that countries are becoming more connected through trade, business, technology, migration and culture. Goods, money, people and ideas can move more easily between countries.

• For many years, globalization was closely connected to neoliberalism. Countries opened their markets, encouraged international trade and allowed foreign companies to invest in their economies. The idea was that free trade and competition would help everyone become wealthier.

• However, globalization is now facing challenges. Countries are becoming more protective of their own economies, competition between powerful countries is increasing and governments are trying to gain more control over important resources.

• This does not mean that globalization has completely ended. Countries are still connected, but the way they deal with each other is changing.

Three concepts help us understand these changes:

• Neoliberalism explains the economic ideas behind globalization, such as free markets, competition and privatization.

• Neocolonialism explains how powerful countries can continue to control and influence weaker countries, even after colonialism has officially ended.

• Finitude capitalism explains how powerful countries and companies are increasingly competing to control the world's limited resources.

The main question is whether capitalism is changing into something new or simply taking a different form.

What is neoliberalism?

• Neoliberalism is an economic and political idea that supports free markets, private businesses and competition. It argues that the economy works better when businesses have more freedom and the government interferes less.

• Neoliberalism became especially popular during the late 1970s and 1980s. Countries such as the United States and the United Kingdom introduced policies that reduced government control, encouraged private businesses and opened their markets to international trade.

• During the 1990s, neoliberalism became an important part of globalization. Countries removed restrictions on trade and made it easier for businesses to operate internationally.

• Free markets and competition: Businesses should be free to compete with each other. Competition is believed to improve services, encourage innovation and lower prices.

• Privatization: This happens when the government sells public businesses or services to private companies. For example, a government might sell a publicly owned energy company to a private business.

• Deregulation: This means removing or reducing government rules that control businesses. The idea is that businesses can operate more freely when there are fewer restrictions.

• Free trade: Countries should be able to buy and sell goods and services with fewer restrictions, such as taxes on imported products.

• Individual responsibility: People are expected to take responsibility for their own success, employment, education and financial situation instead of depending on the government.

1. Neoliberalism as a set of ideas about economic policy

• Neoliberalism is based on the belief that free markets and competition are better ways to organise the economy than direct government control.

• For example, instead of the government controlling an industry, private companies are allowed to compete with each other.

2. Neoliberalism as a framework for economic reform

• Neoliberalism is also used by governments when they make changes to their economies. These changes can happen within a country or be encouraged internationally.

• For example, governments might sell public businesses, reduce public spending, remove trade restrictions and encourage foreign investment.

• International organisations such as the International Monetary Fund (IMF) and the World Bank have also encouraged countries to introduce neoliberal reforms. Sometimes countries receiving financial support are expected to privatize businesses or reduce government spending.

3. Neoliberalism as an ideology (Marxist perspective)

• From a Marxist perspective, neoliberalism can hide economic inequalities between different social classes.

• Marxist theory focuses on the differences between people who own businesses and wealth and people who have to work for them to earn money.

• Neoliberalism presents free markets and competition as something that benefits everyone. However, people do not all have the same opportunities. Wealthy people and large companies already have more money and power than people who depend on their wages.

• Marxists therefore question whether neoliberalism really benefits everyone or mainly helps those who are already wealthy and powerful.

• In simple terms, neoliberalism can make an unequal system look fair by suggesting that everyone has the same opportunities and that success depends mostly on individual effort.

4. Neoliberalism as governmentality (Foucauldian perspective)

• Governmentality is a concept developed by Michel Foucault. It explains how people are controlled not only through laws and rules but also through ideas, expectations and social norms.

• From this perspective, neoliberalism changes how people think about themselves and their responsibilities.

• People are expected to take responsibility for their own success and constantly improve themselves. They should develop new skills, become more productive and compete with others.

• For example, people are expected to keep improving their CVs and professional skills to stay attractive to employers. If someone becomes unemployed, they might be blamed for not doing enough to improve themselves rather than looking at the wider economic situation.

• This means that people start controlling their own behaviour because they believe they must constantly improve and compete.

What is neocolonialism?

• Neocolonialism means that colonial power and influence continue even after a country has officially become independent.

• Traditional colonialism involved powerful countries directly controlling other territories through occupation, military force and political rule.

• Neocolonialism is different because the control is more indirect. A country can be officially independent but still depend on more powerful countries for money, trade, resources or political support.

• The important idea is that colonialism can officially end without the unequal relationships disappearing.

1. Economic neocolonialism – extractivism

• Economic neocolonialism happens when powerful countries and companies continue to take resources and wealth from weaker countries without directly taking control of their land.

• This connects to extractivism, which means taking large amounts of natural resources from an area, such as oil, minerals, gas and agricultural products, usually to sell them for profit.

• For example, a foreign company might operate a mine in an African country and take valuable minerals to sell internationally.

• The country is independent, but the foreign company may have a lot of control over the resources and the profits. The local population might receive very little benefit while most of the wealth goes to foreign companies.

• This is different from traditional colonialism because the foreign country does not need to occupy the territory. It can gain control through business agreements, investments and ownership.

• The important point is that a country can be independent but still have very little control over its own resources and economy.

2. Political neocolonialism – domination and the subaltern

• Political neocolonialism happens when powerful countries continue to influence the political decisions of weaker countries.

• This can happen through financial pressure, international agreements or political interference.

• For example, a poorer country might depend on financial support from a powerful country or an international organisation. In return, it might be expected to introduce certain economic policies.

• This creates an unequal relationship because the powerful country has more influence over the decisions being made.

• An important concept here is the subaltern.

• The term subaltern is connected to postcolonial theory, especially the work of Gayatri Chakravorty Spivak. It refers to groups of people who have very little social, political or economic power and whose voices are often ignored.

• In colonial and neocolonial relationships, powerful groups usually have more influence over decisions and how situations are understood. The people who are most affected often have very little say.

• For example, an international organisation might make decisions about development in a poorer country without properly listening to the local population.

• The concept of the subaltern reminds us to ask whose voices are heard, who makes the decisions and whose interests are being represented.

3. Cultural neocolonialism – knowledge and Western superiority

• Cultural neocolonialism means that Western ideas and values continue to influence and dominate other cultures.

• During colonialism, Western countries often presented themselves as more advanced and civilised than the societies they colonised. They treated Western culture, education and political systems as better than other ways of living.

• These ideas can continue even after colonialism officially ends.

• For example, Western countries might present their own education systems, lifestyles and political systems as the best models for other countries to follow.

• This also connects to knowledge. Information about other cultures is often explained from a Western point of view instead of allowing those cultures to explain themselves.

• This can create the idea that Western knowledge is more important or correct than knowledge from other societies.

• The important point is that colonial power can continue through ideas, knowledge and culture, not just through money and politics.

Should we also say goodbye to neoliberalism and neocolonialism?

• This question introduces Arnaud Orain's book The Confiscated World: Essay on Finitude Capitalism (2025).

• Orain argues that capitalism is entering a new phase called finitude capitalism.

• He believes that capitalism is moving away from the ideas of free trade, open markets and global competition that were important during neoliberal globalization.

• Instead, powerful countries and companies are increasingly trying to control important resources, land and trade routes.

• This does not mean that neoliberalism and neocolonialism have completely disappeared. It means that the way countries and companies gain economic and political power is changing.

• To understand Orain's argument, we first need to understand what finitude capitalism means.

What is finitude capitalism?

• Finitude capitalism describes a form of capitalism where powerful countries and companies compete to control the world's limited resources.

• The word finitude means that something is limited and cannot continue forever.

• For a long time, capitalism was based on the idea that economies could continue growing and that countries could become wealthier through trade, investment and development.

• However, the world has limited resources. There is only a certain amount of land, minerals, energy and water.

• Orain argues that powerful countries and companies are increasingly trying to secure these resources for themselves before others can get them.

• Instead of simply buying and selling goods through open markets, they want more direct control over resources and production.

• This is why Orain calls his book The Confiscated World. More and more resources and parts of the world are being controlled by powerful countries and companies.

The difference between economic liberalism and finitude capitalism

• Orain argues that the traditional debate about free markets versus government intervention is no longer enough to explain capitalism.

• Usually, economic debates focus on whether the government should control the economy or allow businesses to operate freely. Economic liberalism supports free markets, private businesses and less government control. State intervention means that the government actively influences the economy through laws, regulations, public ownership or financial support.

• Orain believes that there is a bigger issue that needs attention. The main conflict is between unlimited enrichment and a world with limited resources. Capitalism encourages countries and companies to continue making more money and growing their wealth. However, the resources needed for this growth are limited. Because of this, powerful countries and companies try to gain control over resources and protect their own economic interests.This means that governments can still support capitalism while interfering heavily in the economy.

• For example, a government might give financial support to national companies, protect local industries and compete with other countries to secure important minerals.

• The goal is not to end capitalism but to make sure that the country keeps its economic power.

• Orain argues that we should not only ask whether the government or free markets control the economy. We should also ask who controls the world's limited resources and who benefits from them.

Three historical periods of finitude capitalism

6th century – 1815

• During this period, European countries competed to control colonies, trade routes, land and natural resources. Countries tried to become richer and more powerful by taking control of territories and international trade. They often used military force and gave certain companies special control over trade.

1880 – 1945

• During this period, powerful countries again competed for territories, raw materials and markets. Colonial expansion and competition between countries increased. Governments tried to protect their own economies and gain control over important resources. Economic and military competition became closely connected.

2010 – present

• Orain argues that we are now entering another period of finitude capitalism. Powerful countries and companies increasingly compete to control natural resources, land, infrastructure and trade routes. Free trade is becoming less important, while protecting national interests and securing resources are becoming more important.

Finitude capitalism and mercantilism

• Orain's idea of finitude capitalism is closely connected to mercantilism. Mercantilism was an economic system that was especially important in Europe between the 16th and 18th centuries. It was based on the idea that countries should increase their wealth and power by controlling trade, protecting their own businesses and gaining access to resources.

• Unlike economic liberalism, which supports free trade, mercantilism focuses more on protecting national economic interests. Countries try to gain an advantage over other countries instead of simply allowing everyone to compete freely.

• For example, a government might put taxes on imported products to protect local businesses from foreign competition. It might also give special rights to national companies or try to control important trade routes.

• Orain argues that we are seeing a return to this type of economic behaviour today. Even though the world has changed, powerful countries are once again trying to control important parts of the global economy.

Three manifestations of finitude capitalism

1. Control of the oceans

• Control over the oceans is important because most international trade depends on ships transporting goods between countries. Ships carry products, energy and natural resources around the world. This means that controlling important shipping routes and ports gives countries economic and political power. Powerful countries want to protect these routes because they are important for trade and access to resources. For example, countries might invest in foreign ports or use their military to protect important shipping routes. Control over the oceans is therefore not just about transportation. It is also about controlling how goods move around the world and who has access to international markets.

2. Monopolies

• A monopoly happens when one company or a small number of companies control a particular market or resource. In a free market, many companies should be able to compete with each other. However, a monopoly reduces competition because one powerful company has control over the market. Orain connects this to large trading companies from the past. For example, the Dutch and British East India Companies were not just ordinary businesses. They had special rights from their governments and gained control over trade, land and resources. They could also use military force and influence political decisions. This shows that companies can become powerful political actors and exercise control that normally belongs to governments. Orain also discusses modern companies that have enormous influence over technology, infrastructure and resources. This connects to the idea of company-states. These are companies that begin to act like governments because they have so much power and influence over society.

3. Land grabs

• Land grabbing happens when powerful countries, companies or investors buy or rent large areas of land, often in poorer countries. This land is usually used for farming, mining or other businesses. For example, a foreign company might rent large areas of farmland in an African country to produce food that will be exported to other countries. The problem is that local people might lose access to land they previously used for farming or living. The foreign company gains control over the land and its resources, while the local population might receive very little benefit. Land grabbing is connected to neocolonialism because powerful countries and companies can control another country's resources without officially taking over its territory. The important connection is that land grabbing allows colonial-style exploitation to continue through modern business and investment.