Introduction

While nationalism has continued to be a divisive force-with ethnic warfare often dominating headlines-countervailing trend toward integration has emerged in the last half century. Consider the economic integration in Europe. The six states that formed the European Coal and Steel Community and the European Economic Community in the 1950s consolidated impressive achievements by forming the European Community (EC) by 1967. The EC doubled its membership by the late 1980s and by the beginning of 1993 established a thoroughly integrated "single market." Reconstituted as the European Union, it was poised for further expansion of its membership to fifteen by 1995, and most of its members went on to launch a common currency (the Euro) in 1998. Meanwhile, partly in response to Europe's long-term success with economic integration, Canada, Mexico, and the United States began in 1994 to implement the North American Free Trade Agreement (NAFTA), and the so-called Pacific Rim states agreed to establish an Asia-Pacific Economic Cooperation area (APEC).

Since the end of World War II, the United States has generally promoted economic integration in Europe and Asia while trying energetically to ensure that regional trade zones do not become protectionist blocs. By promoting the World Bank, the International Monetary Fund, and the General Agreement on Tariffs and Trade, the U.S. has had noteworthy success in lowering barriers and expanding world trade. Boosted by substantial American economic aid, West Germany and Japan rapidly recovered from wartime devastation and generated formidable economic competition for major U.S. industries. Meanwhile, financial strength and economic productivity have gained greater prestige in world affairs while the significance of military forces has seemed to diminish. The collapse of the Soviet Union, a military superpower with a relatively backward economy, seemed to accentuate the focus on economic clout.

Industrialization has spread to virtually all parts of the earth. While this holds out possibilities of generating greater wealth, it has also aroused increasing concerns about global pollution, which has been a byproduct of economic development. Indeed, ecological damage has emerged as one of the major factors fostering a growing sense of international interdependence.