PL1021 Power in the World Economy Module Guide Semester 2, 2025/26 | University of Leicester

Module description

The nature of the world economy is a crucial part of the current system of international relations and its inherent power. This module firstly examines the main theoretical approaches to Global Political Economy (GPE) before embarking on an assessment of the world economy’s development in the last 100 years and the connection between politics and economics in this process, including the role of international institutions such as the World Bank and the International Monetary Fund in international economic affairs. It will explore the issues of development, inequality, poverty, climate change and pandemics, it will inquire into the role of labour, slavery, and multinational corporations and it will conclude by examining the rise of neoliberalism and the role of crisis in the global economy both of which have been its major features in the last 30 years.

Module Aims and Learning Outcomes

• Identify the basic theoretical debates about economics and development, particularly the free market versus statist views of development
• Assess the development of the world economy in the last 100 years, and the connection between politics and economics in this process
• Critically examine the operation of the contemporary world economy in terms of power and wealth differentials
• Evaluate the significance of neoliberalism in characterising the current world economy

Employability Skills

The module will assist students in developing a range of skills relevant for careers in politics, the civil service, business, the media, research institutes and campaigning groups:

• Critical analysis – critically analysing different concepts, themes and issues in the study of Global Political Economy
• Oral communication skills – presenting arguments in a clear and engaging way in class discussions
• Written communication and research skills – structuring and presenting persuasive arguments in assessed work;
• Problem solving – thinking through the complex principles and issues associated with the economy as well as with policy making
• Teamwork skills – collaborating in small group work
• Working independently – establishing and prioritising objectives and working to deadlines
• IT skills – locating material online (including scholarly and other sources) and using Blackboard.

Teaching Arrangements

The module will run as a series of lectures and tutorials. There will be TWO one-hour lectures per week. There will also be EIGHT tutorials. The tutorial sessions are outlined in detail towards the end of this handbook. The tutorials, which are compulsory, will be used to explore theoretical themes and issues raised in the lectures. Each student is expected to undertake guided preparatory reading before every tutorial and prepare the respective tutorial questions. Please check blackboard for the Lectures and Tutorials Schedule.

2 Assessment

15 credit students

One exam comprising 100% of the assessment

Plagiarism

Students must read carefully the information on plagiarism contained in the
‘Undergraduate Assessment and Style Guide’ Departmental booklet.

Tutorials in detail

Tutorial 1. Understanding Global Political Economy: Mercantilism, Realism and Liberalism

During this tutorial, the students will familiarise themselves with the main themes of the module and will be asked to discuss the main characteristics of the realist and liberal approaches to the study of Global Political Economy (GPE).

Tutorial questions:

1.What are the main characteristics of Realism in GPE thinking?
2.What are the main characteristics of Liberalism in GPE thinking?
3.What are the main characteristics of mercantilism? How does it differ from neo- mercantilism?

Tutorial 2. Understanding Global Political Economy: Marxism and Feminism

This tutorial examines the theoretical contributions of Marxism and Feminism to Global Political Economic Theory. It aims to examine the main Marxist concepts and their application to contemporary world economy and the ways GPE thinking has been transformed by Feminist theorising.

Tutorial questions:

1.What are the main aspects of the Marxist approach to GPE?
2.What are the main characteristics of dependency theory?
3.What are the main contributions of a feminist approach to the world economy?

Tutorial 3. The Bretton Woods System (BWS)

This tutorial will invite students to explore the background reasons for the creation of the BWS, to appreciate how the history of post war international relations cannot be fully explored without at least understanding even in schematic detail something about the role of the dollar and of US military power and economics in sustaining the system but also in leading to its collapse. It will also provide a brief overview of its main institutions.

Tutorial questions:

1.What do we mean by embedded liberalism and multilateralism?
2.What is the Bretton Woods System?
3.What are the main BWS institutions and what is their role?
4.How is the BWS collapse related to the rise of international finance and Neo-Liberalism in the 1980s?

Tutorial 4. Neo-Liberalism and Financial Crisis

This tutorial aims to explore the main features of Neo-Liberalism and develop a discussion on the question of whether crisis is endemic to world capitalism, and how crisis illustrates the nature of economics and politics, for example in states bailing out banks and supporting the financial system and in the political instability that some countries have seen in the wake of the crisis and the austerity measures imposed after it.

Tutorial questions:

1.What are the main characteristics of Neo-Liberalism?
2.What is financialisation?
3.Is financial crisis a recurring feature of capitalism?
4.What have been the effects of the financial crisis in Europe, the USA and other parts of the world?

Tutorial 5. Inequality and Development

The tutorial will look at growth and inequality in a globalised economy and the challenges the latter pose for the world economy. Exploring ways of how it can be dealt with, it will ask students to engage with the main characteristics of development.

Tutorial questions:

1.What are the main challenges of global inequality for the world economy?
2.How can these be dealt with?
3.What are the main characteristics of the various ways in which development is theorised?

Tutorial 6. Development and Rising economies: East Asia and Africa

Staying with the issue of development, the tutorial will ask students to engage with the concept of the developmental state and to look at the different experiences of development in Africa and East Asia, exploring a variety of state examples.

Tutorial questions:

1.What can the role of the state be in development?
2.What are the main characteristics of development in the African continent?
3.What were the main reasons behind the rise of East Asian Tigers?

Tutorial 7. Labour in the World Economy and Multinational Corporations.

This tutorial aims to explore two distinct issues: the importance of work and labour as one of the forgotten but very important economic actors globally and the important contribution of MNCs to a globalised economy. It will explore the current challenges to employment, such as automation and casualisation of work and the role MNCs play in the current state of the world economy.

Tutorial questions:

1.What are the most important issues regarding labour and labour rights currently at the world economic level?
2.What are the pros and cons of UBI?
3.What are the main characteristics of MNCs?
4.Are MNCs a positive or negative force for development?