The Lexus and the Olive Tree

Globalization has had a conflicting effect on democratization. On the one hand, the electronic herd puts pressure on countries establish better operating systems and software, but on the other hand, it can make people feel that their democratic participation is made meaningless by the herd. This leads to the concept of “Globalution” which is the process by which the electronic herd builds democracy. Because middle-class people in developing states can’t pressure authoritarian or corrupt governments directly, but are also worried about revolutions by the poor undermining globalization, they hope for the global market to push reforms in return for investment capital. The herd can do this because it can pressure governments in ways that nobody else can.

Although the herd doesn’t care about democracy, it cares about stability, predictability, transparency, and the rule of law, which are the fundamental building blocks of democracy. Globalution also reduces corruption, because the herd can easily invest or build in other places where it is not necessary to pay bribes. Similarly, globalution leads to the spread of the free press because the herd demands reliable local information, and that gives space for journalists to also write about political abuses.