Capital, Nationality, and State Sovereignty: New Links for the 21st Century
Ph.D. Candidate at Paris School of Economics, 48 Boulevard Jourdan, 75014, Paris
Please cite the paper as:
Marc Morgan-Milá, (2016), Capital, Nationality, and State Sovereignty: New Links for the 21st Century, World Economics Association (WEA) Conferences, No. 1 2016, Capital Accumulation, Production and Employment:, 15th May to 15th July 2016
This paper investigates the link between capital, nationality and state sovereignty, both historically and in the context of our current globalized world. It challenges the conventional viewpoint that capital has no nationality, which implies limited state sovereignty with regards to fiscal policy and developmental strategies. I argue that while capital does not properly ascribe to a de jure nationality, it has always had a de facto nationality that follows the nationality of the capitalist, as testified by the history of economic policy and decision- making. But the political-economy paradigms within which this nationality has been manifested have changed over time and so have the tools for states to preserve their sovereignty. In the current environment of advanced information technology, fiscal competition and an increasing presence of tax havens, I motivate and evaluate various proposals to give capital a de jure nationality for the benefit of state sovereignty in the 21st century.