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      The Network Paradigm: Social Formations in the Age of Information 
      by Felix Stalder 
      
      The Rise of the Network Society, The Information Age: Economy, Society and Culture,
      Vol. I. M. Castells (1996). Cambridge, MA; Oxford, UK: Blackwell, 556 pp., ISBN
      1-55786-617-1  
      The Power of Identity, The Information Age: Economy, Society and Culture, Vol.
      II. M. Castells (1997). Cambridge, MA; Oxford, UK: Blackwell, 461 pp., ISBN 1-55786-874-3  
      The End of the Millennium, The Information Age: Economy, Society and Culture,
      Vol. III. M. Castells (1997). Cambridge, MA; Oxford, UK: Blackwell, 418 pp., ISBN
      1-55786-872-7  
      Manuel Castells The Information Age: Economy, Society and Culture (1996, 1997 and
      1998) is unrivaled in ambition: to make sense of the global social dynamics as they arise
      out of a myriad of changes around the world. It is a cross-cultural analysis of the major
      social, economic and political transformations at the end of this century. It is presented
      through interrelated empirical case studies whose number and variety are truly
      enormousthe bibliography alone fills 120 pagesand threatens to overwhelm the
      reader at times. Nevertheless, the trilogy is prodigious and sets a new standard against
      which all future meta-accounts of the Information Society will be measured. It will be
      indispensable reading for anyone interested in a grand narrative of the present.  
      Castells main argument is that a new form of capitalism has emerged at the end of
      this century: global in its character, hardened in its goals and much more flexible than
      any of its predecessors. It is challenged around the globe by a multitude of social
      movements on behalf of cultural singularity and peoples control over their own lives
      and environment. This tension provides the central dynamic of the Information Age, as
      "our societies are increasingly structured around the bipolar opposition of the Net
      and the Self" (1996, p. 3). The Net stands for the new organizational formations
      based on the pervasive use of networked communication media. Network patterns are
      characteristic for the most advanced economic sectors, highly competitive corporations as
      well as for communities and social movements. The Self symbolizes the activities through
      which people try to reaffirm their identities under the conditions of structural change
      and instability that go along with the organization of core social and economic activities
      into dynamic networks. New social formations emerge around primary identities, which may
      be sexual, religious, ethnic, territorial or national in focus. These identities are often
      seen as biologically or socially unchangeable, contrasting with the fast-paced change of
      social landscapes. In the interplay of the Net and the Self the conditions of human life
      and experience around the world are deeply reconfigured.  
      The trilogy concludes more than a decade of research, spanning from new social
      movements and urban change (Castells, 1983; 1989) to development of the high-tech
      industries and their organization into technopoles, clusters of high-tech firms and
      institutions of higher education, such as the Silicon Valley (Castells and Hall, 1994), to
      comparative analysis of the fastest developing countries in the Asian Pacific Rim
      (Castells, 1992), to research conducted in Russia before and after the 1991 revolution and
      the demise of the Soviet Union.  
      It details the diversity of social change interlinked around the globe which created
      the Information Age and integrates the often seemingly contradictory trends into a
      comprehensive analytical framework. The theoretical abstractions are developed through a
      broad and detailed empirical analysis "as a method of disciplining my theoretical
      discourse, of making it difficult, if not impossible, to say something that observed
      collective action rejects in practice" (1997, p. 3). This makes his account highly
      accessible and richly textured.  
      Castells analysis is driven by the hypothesis of a new society: "A new
      society emerges when and if a structural transformation can be observed in the
      relationships of production, in the relationships of power, and in the relationships of
      experience" (1998, p. 340). The observation of those transformations informs the
      central structure of the trilogy. The first volume focusses primarily on the changing
      relationships of production: the global economy, the network enterprise and the changing
      patterns of labor. The second focusses on the relationships of power and experience,
      framed as a crisis of the nation-state vis--vis global institutions and the related
      crisis of the political democracy vis--vis newly articulated identities. The third
      volume ties together a number of "loose ends". They are themselves important
      features of the Information Age, but more as effects of, rather than actors in the
      analyzed transformations: the demise of the Soviet Union, the growth of the fourth world
      of excluded regions and social groups and the emergence of a global criminal economy.  
       
      Castells Theoretical Assumptions  
      The central hypothesis of the dialectical opposition between the Net and the Self is
      based on an original and powerful combination of two theoretical assumptions. The first
      assumption structures Castells account of the rise of the Net: the dialectical
      interaction of social relations and technological innovation, or, in Castells
      terminology, modes of production and modes of development. The second assumption underlies
      the importance of the Self: the way social groups define their identity shapes the
      institutions of society. As Castells notes "each type of identity-building process
      leads to a different outcome in constituting society" (1997, p. 8). To appreciate the
      trilogy it is useful to look at these theoretical assumptions in some detail because their
      pervasiveness shapes the selection of phenomena covered and their specific analysis.  
      Social development is inseparable from the changes in the technological infrastructure
      through which many of the activities are carried out, "since technology is society
      and society cannot be understood or represented without its technological tools"
      (1996, p. 5). Social changes and technological changes are intimately related. Castells
      theorizes their interaction in the following way: A society produces its goods and
      services in specific social relationshipsthe modes of production. Since the
      industrial revolution, the prevalent mode of production in Western societies has been
      capitalism, embodied in a wide range of historically and geographically specific
      institutions to create and distribute profit. The modes of development, on the other hand,
      "are the technological arrangements through which labor acts upon matter to generate
      the product, ultimately determining the level and the quality of the surplus" (1996,
      p. 16).  
      The evolution of the capitalist modes of production is driven by private capitals
      competitive pressures. Modes of development, however, evolve according to their own logic;
      they do not respond mechanically to economic necessities. Technological innovations emerge
      from the interaction between scientific and technological discovery and the organizational
      integration of such discoveries in the process of production and management. The
      evolutionary model of two separate modes bears some resemblance to Marxist theory
      formulated by Louis Althusser who introduced a similar distinction between the relations
      of production (classes) and the forces of production (technique) (Webster 1995, p. 196).  
      In the present volumes Marxist theory has been toned down to a point where the remnants
      can hardly be called Marxist anymore. However, they enable Castells to avoid the
      conceptual traps which fuel the debate over whether technology determines social
      development or whether social actors use technology merely as a tool (Smith and Marx,
      1994). He argues that technological development does not completely mirror the economic
      process because the former is also influenced by other factors, for example, inventiveness
      and experiments with non-economic goals. The results of technological innovation open up
      new possibilities which may or may not be realized by social actors using them. There is a
      strong interaction between the two processes of invention and application, but they cannot
      be conflated into a linear dependence of one determining the other. The accusation of
      technological determinism (Webster, 1995, pp. 193-214) is therefore unjustified.  
      The second assumption which guides his research concerns the role of identity in
      societal development. Rather than seeing it as an effect, as a traditional Marxist would,
      he argues the opposite: identity-building itself is a dynamic motor in forming society.
      Identity is defined as "the process of construction of meaning on the basis of a
      cultural attribute, or related set of cultural attributes, that is/are given priority over
      other sources of meaning" (1997, p. 6). He formulates a hypothesis that
      "who[ever] constructs collective identity, and for what, largely determines the
      symbolic content of this identity, and its meaning for those identifying with it or
      placing themselves outside of it" (1997, p. 7). Influenced by the French sociologist
      of social movements, Alain Touraine, Castells identifies three types of identity which are
      related to different social associations:  
      1. Legitimizing identity: introduced by the dominant institutions of society to extend
      and rationalize their domination over social actors. Legitimizing identities generate
      civil societies and their institutions, which reproduce what Max Weber called
      "rationale Herrschaft" (rational power).  
      2. Resistance identity: produced by those actors who are in a position/condition of
      being excluded by the logic of domination. Identity for resistance leads to the formation
      of communes or communities as a way of coping with otherwise unbearable conditions of
      oppression.  
      3. Project identity: proactive movements which aim at transforming society as a whole,
      rather than merely establishing the conditions for their own survival in opposition to the
      dominant actors. Feminism and environmentalism fall under this category (1997, pp. 10-12).
       
      Castells particular achievement is in combining two theoretical perspectives
      which in their more radical form are often mutually exclusive. While Castells theory
      is distinct and original, the Information Age is not about theory but about
      "communicating theory by analyzing practice" (1997, p. 3). This method enables
      him to cover coherently an impressive range: from the high-tech laboratories in Silicon
      Valley to the low-tech laboratories in the Colombian jungle, from the global capital
      markets to the psychology of a terrorist attack on the Tokyo subway system, and beyond.
      His analysis is strongest when he can bring both perspectives to bear.  
       
       
      The Network Society  
      In the first volume, Castells covers the structural aspects of the Information Age
      which have created the Network Society: the new formations into which core economic
      activities have been organized and the new spatial and temporal conditions they have
      effected. At the base of this reorganization is the pervasive implementation of
      technological innovation since the 1970s, clustering around the convergence of computing
      and telecommunication. After analyzing the history of the technology since the late 1940s
      and comparing it to patterns of development in the Industrial Revolution, Castells
      concludes that information technology evolves in a distinctively different pattern than
      previous technologies, thus constituting the "informational mode of
      development": a flexible, pervasive, integrated and reflexive, rather than additive
      evolution. The reflexivity of the technologies, the fact that any product is also raw
      material because both are information, has permitted the speeding up of the process of
      innovation.  
      This self-accelerating process has created in about twenty years a new economic
      condition, the informational and global economy. This new economy is informational because
      the competitiveness of its central actors (firms, regions, or nations) depends on their
      ability to generate and process electronic information. It is global because its most
      important aspects, from financing to production, are organized on a global scale, directly
      through multinational corporations and/or indirectly through networks of associations.
      This new global economy is more than just another layer of economic activity on top of the
      existing production process. Rather, it restructures all economic activities based on
      goals and values introduced by the aggressive exploitation of new productivity potentials
      of advanced information technology. Existing processes become either reorganized into new
      patterns, for example from national to transnational production, or repositioned
      vis--vis the new highly productive sectors. What differentiates the new global
      economy from the world economy of previous ages is that "it is an economy with the
      capacity to work as a unit in real time on a planetary scale" (1996, p. 92).
      Castells analysis of the global economy is exceptional for the depth with which he
      describes how it is played out between and within various social and regional contexts,
      including Latin America, Africa and Russia. Rather than creating the same conditions
      everywhere, the global economy is characterized "by its interdependence, its
      asymmetry, its regionalization, the increased diversification within each region, its
      selective inclusiveness, its exclusionary segmentation, and, as a result of all those
      features, an extraordinarily variable geometry that tends to dissolve historical, economic
      geography" (1996, p. 106). The global economy has been created under the drive of
      restructuring the capitalist enterprise since the 1970s and, with increasing pace, in the
      1980s.  
      The new network enterprise is a phenomenon comprising not only shifting internal
      hierarchies, but also changing patterns of competition and cooperation across
      institutions. The network enterprise is "that specific form of enterprise whose
      system of means is constituted by the intersection of autonomous systems of goals"
      (1996, p. 171). Castells examines in comparison different types of business networks in
      Japan, Korea and China whose networked organizations have been better suited than the
      conventional western corporations to adopt to some of the flexible features of the spirit
      of informationalism: "a culture of the ephemeral, a culture of each strategic
      decision, a patchwork of experiences and interests, rather than a charter of rights and
      obligations" (1996, p. 199).  
      The restructuring of western corporations into more networked businesses created new
      work and employment conditions: the networker and flextimer replaced the full-time
      employee. Here Castells argues against common oversimplifications of theories of
      "Post-Industrialism" which have been "biased by an American ethnocentrism
      that did not fully represent even the American experience" (1996, p. 221). It is the
      specific quality of Castells analysis that by acknowledging differencesbetween
      a "Service Economy Model" (USA, England, Canada) and an "Industrial
      Production Model" (Japan, Germany), for examplehe is able to work out the
      pervasiveness of the common trends towards individualization of work and flexible and
      unstable patterns of employment. These new working conditions have been developed first in
      Western corporations to compete with the East-Asian business networks. In the environment
      of stepped up global competition, however, the latter will be increasingly incapable of
      maintaining their traditionally very stable, long-term employment structure in which the
      average worker has been bonded loyally to the firm for a life-time. This, as Castells
      argues for Japan, is likely to produce major social problems and difficulties of
      adjustment (1998, pp. 229-236). The current troubles of the East-Asian economies seem to
      underscore this analysis.  
      The common theme underlying the diversity of regional and sectorial patterns of
      economic change is the incorporation of similar information technology into historically
      very different businesses. Its most distinct result is the emergence of what Castells
      calls the space of flows: the integrated global network. It comprises several connected
      elements: private networks, company Intranets; semi-public, closed and proprietary
      networks such as the financial networks; and public, open networks, the Internet. Social
      organizations reconstitute themselves according to this space of flows.  
      In Castells conception, the space of flows is made up of three aspects:  
      Technology: the infrastructure of the network.  
      Places: the topology of the space formed by its nodes and hubs. Hubs are defined by the
      network but link it to specific places with specific social and cultural conditions. Nodes
      are the "location[s] of strategically important functions that build a series of
      locality-based activities and organizations around the key functions of the network"
      (1996, p. 413). The importance of hubs to produce the strategic functions of the network
      and of nodes to concentrate decision-making are at the core of the dynamic of global
      cities.  
      People: the (relatively) secluded space of the managerial elite commanding the
      networks, such as gated communities, exclusive social clubs, VIP lounges at airports and
      hotels that are almost identical around the world. Together these dispersed and
      interconnected spaces build the physical base for the social cohesion of the new elite. 
      The space of flows has introduced a culture of real virtuality which is characterized
      by timeless time and placeless space. "Timeless time...the dominant temporality in
      our society, occurs when the characteristics of a given context, namely, the informational
      paradigm and the network society, induce systemic perturbation in the sequential order of
      phenomena performed in that context" (1996, p. 464). Examples of such perturbations
      are the effects of global financial turmoil on local communities or reorganization of a
      global corporation on any of its local branches. "The space of flows...dissolves time
      by disordering the sequence of events and making them simultaneous, thus installing
      society in an eternal ephemerality" (1996, p. 467). In short, anything can happen at
      any time, it can happen very rapidly, and its sequence is independent from what goes on in
      the places where the effects are felt.  
      Castells remains somewhat vague in his theorization of the space of flows. Developing
      his argument further one might say that the distinguishing characteristic of the space of
      flows is binary time and binary space. Binary time expresses no sequence but knows only
      two states: either presence or absence, either now or never. Within the space of flows
      everything that is the case is now, and everything that is not must be introduced from the
      outside: that is, it springs suddenly into existence. Sequence is arbitrary in the space
      of flows and disorders events which in the physical context are connected by a
      chronological sequence. Binary space, then, is a space where the distance can only be
      measured as two states: zero distance (inside the network) or infinite distance (outside
      the network), here or nowhere. For example, when seeking information on the Internet, the
      crucial distinction is whether this information is on-line or not. The continent in which
      the information resides within the network is largely irrelevant. Everything that is
      on-line is (immediately) accessible: it is here, without distance. Everything that is
      outside the network is infinitely far away, completely inaccessible no matter where the
      network is entered; when someone puts it on-line, then it is suddenly here.  
      Castells focus is on the dynamic intersection between the space of flows and
      physical space. The global economy is concentrated in relatively few places, such as the
      Silicon Valley, Wall Street or the development zones in southern China, as its core
      activities become centered around the processing of immaterial, placeless information.
      Nevertheless, their logics are less and less determined by their history. In The
      Informational City (1989) he states this relationship most distinctly: "While
      organizations are located in places, and their components are place-dependent, the
      organizational logic is placeless, being fundamentally dependent on the space of flows
      that characterizes information networks. But such flows are structured, not undetermined.
      They possess directionality, conferred both by the hierarchical logic of the organization
      as reflected in instructions given, and by the material characteristics of the information
      systems infrastructure....The more organizations depend, ultimately, upon flows and
      networks, the less they are influenced by the social context associated with the places of
      their location. From this follows a growing independence of the organizational logic from
      the societal logic" (1989, pp. 169-170).  
      Increasingly, power is concentrated in the intricate space of flows, to the extent that
      "the power of flows takes precedence over the flows of power" (1996, p. 469).
      The space of flows expresses the dominant social logic in the Network Society. Financial
      markets, for example, have turned into the central event of the new economy to such an
      extent that "all other [economic] activities (except those of the dwindling public
      sector) are primarily the basis to generate the necessary surplus to invest in the global
      flows, or the result of investment originated in these financial flows" (1996, p.
      472).  
      While the dominant social logic is shaped by the real virtuality of the space of flows,
      people live in the physical world, the space of places. This "condition of structural
      schizophrenia", where two different spatial and temporal logics clash, introduces
      massive perturbation in cultures around the globe. People lose their sense of Self and
      attempt to reclaim their identity in new forms.  
       
      The Power of Identity  
      The tension between social institutions supported by traditional, waning, and new,
      rising identities is the topic of the second volume. The increasingly vigorous
      articulation of resistance against and projects alternative to the logic of the space of
      flows empties out the legitimacy of the institutions of the political democracy. Three
      examples of resistance identity are examined in detail, chosen for their radical
      differences in context and goals: Mexicos Zapatistas, the American Militia groups,
      and Japans Aum Shinrikyo ( the group which released poison gas in Tokyos
      subway system on March 20, 1995). While each movement reflects the historical differences
      of its constituency and the threats it perceives in the transformation of its specific
      social landscape, "they all challenge current processes of globalization, on behalf
      of their constructed identities, in some instances claiming to represent the interest of
      their country [US Militia], or of humankind [Japans Aum], as well" (1997, p.
      109).  
      Project identity is formulated by major pro-active movements: environmentalism,
      feminism, gay and lesbian movements. The latter three are jointly framed along the lines
      of the end of patriarchalism. They represent the conflictual and interrelated character of
      identity building. The possible end of patriarchalism not only opens up new possibilities
      of self-determination, but at the same time provokes very vehement reactions to preserve
      what is perceived as threatened. Castells stresses that "there is no predetermined
      directionality in history....A fundamentalist restoration, bringing patriarchalism back
      under the protection of divine law, may well reverse the process of undermining the
      patriarchal family, unwillingly induced by informational capitalism, and willingly pursued
      by cultural social movements" (1997, p. 242).  
      The classic embodiment of legitimizing identity, the nation state, is losing its power,
      "although, and this is essential, not its influence" (1997, p. 243). The loss of
      power stems from a loss of sovereignty, effected by the globalization of core economic
      activities, of media, of communication and, very importantly, the globalization of crime
      and law enforcement. The most obvious example of the loss of sovereignty can be found in
      the currency exchange markets, which have, since the late 1980s, outgrown the capacities
      of the central banks to control them. They now link up national currencies. This enforces
      financial coordination undermining the possibilities of national governments to formulate
      independent economic policy. As the former CEO of CitiBank, Walter Wriston,
      enthusiastically hails: "The global market has produced what amounts to a giant
      vote-counting machine that conducts a running tally of what the world thinks of a
      governments diplomatic, fiscal, and monetary policy. That opinion is immediately
      reflected in the value a market places on a countrys currency" (Wriston, 1992,
      p. 9). Manuel Castells, more soberly, calls this "commodified democracy of profit
      making" (1996, p. 472).  
      Globalization has put the welfare state under double stress. Not only are national
      budgets tighter under the coercion of global financial markets, but also global firms can
      take advantage of cost differentials in social benefits and standards. As a result,
      "welfare states are being downsized to the lowest common denominator that keeps
      spiraling downwards" (1997, p. 254). Nevertheless, the nation state remains crucially
      important because it is still the only legitimized entity from which multilateralism can
      be built to address increasingly pressing global problems. However, this proves to be a
      dilemma. On the one hand, it increases the pressure on the nation state to effect
      decisions in the international arena and, on the other, it diminishes its credibility in
      the area of domestic policy by constraining it in an ever more restrictive network of
      global agreements.  
      The result is a crisis of political liberal democracy. The nation state loses its
      ability to integrate its own constituency, an integration which has been achieved through
      locally built instruments of the welfare state. At the same time, the policy process
      disappears into an increasingly abstract arena of international organizations. The
      traditional institutions of democracy are caught in a fundamental contradiction. "The
      more the states emphasize communalism, the less effective they become as co-agents in the
      global system of shared power. The more they triumph on a planetary scene, the less they
      represent their national constituencies" (1997, p. 308). The more the nation state
      withdraws from its citizens, the greater grows the need to find alternative sources of
      identity. Trapped between the increased articulation of diverse, often conflicting
      identities and the need to act on a global scene, the traditional democratic
      institutionsthe civil societyare being voided of meaning and legitimacy: they
      lose their identity. The power of the political democracy, ironically at the moment when
      it reaches almost global acceptance, seems to be inevitably waning. Castells puts much
      hope in social movements to develop new forms of identity and democracy which could break
      the connection between the nationthe entity of identificationand the
      statethe entity of decision makingtwo concepts which have merged only in the
      modern age.  
       
      The End of the Millennium  
      The phenomena presented in the final book are less integrated than those in the
      previous volumes. They are a somewhat eclectic mix of major events or trends which do not
      fit easily under the two main headers presented at the outset of the trilogy: the Net and
      the Self.  
      The demise of the Soviet Union sits somewhat uncomfortably in an account which is
      focussed on the beginning of a new era, rather than the end of the old. The fall of the
      Soviet Union serves as a case study of an unsuccessful restructuring after the twin crises
      of capitalism and statism which became manifest in the early 1970s.
      "Something happened during the 1970s that induced technological
      retardation in the USSR. But this something happened not in the Soviet Union,
      but in the advanced capitalist countries" (1998, p. 28). The West, particularly the
      US, due to its flexible social geometry, has been able to exploit the potential of new
      information technologies, thus moving rapidly from an industrial to an informational mode
      of production (Castells, 1996). The Soviet Union, on the other hand, with an institutional
      separation between research and production, a negative attitude towards innovation, and a
      tight control over communication media was unable to take advantage of the potential of
      its own research and technology, or of the imported technology on which it increasingly
      relied. Once communication was allowed to flow more freely under Gorbachevs reforms,
      the extent of the silent withdrawal from the dominant identity-building institutions and
      their ideology became apparent. Suddenly, people found themselves in a vacuum looking for
      new orientation. Castells concludes, "while the inability of Soviet statism to adapt
      to the technological and economic conditions of an information society was the most
      powerful underlying cause of the crisis of the Soviet system, it was the resurgence of
      national identity, either historically rooted or politically reinvented, that first
      challenged and ultimately destroyed the Soviet state" (1998, p. 38). As a result of
      that process, large parts of what was once a military and industrial superpower entered
      the growing ranks of the fourth world.  
      "The rise of informationalism in this end of millennium is intertwined with rising
      inequality and social exclusion throughout the world" (1998, p. 70). Castells traces
      the phenomenon of exclusion across different social and geographic contexts and concludes
      "the evolution of intra-country inequality varies, what appears to be a global
      phenomenon is the growth of poverty, and particularly of extreme poverty" (1998, p.
      81). Social exclusion is flexibly defined as the systematic inability of individuals or
      groups to access the means for meaningful survival. This enables him to connect the
      heritage of the colonial history of Africa with the exploitation of children around the
      world and the exclusion of minority groups and geographic areas in the United States.
      While the historic causes for their exclusion vary from case to case, they nevertheless
      form an entity, the fourth world, because they all entered the Information Age in
      positions in which their exclusion is reinforced by the structural dynamic of
      informationalism. In the United States, for example, "the emergence of the space of
      flows, using telecommunications and transportation to link valuable places in a
      non-contingent pattern, has allowed the reconfiguration of metropolitan areas around
      selective connection of strategically located activities, bypassing undesirable areas,
      left to themselves" (1998, p. 144). This development started long before the rise of
      the network society. However, it is the new ability to effectively switch off areas which
      are viewed as non-valuable from the perspective of the dominant social logic, embedded in
      the space of flows, which has created black holes of informational capitalism: regions
      from where there is, statistically speaking, no escape from suffering and depravation.  
      However, not all actors in the fourth world are simply switched off from the centers of
      prosperity. Some of them have established, with a vengeance, a perverse connection through
      the global criminal economy. Crime is as old as humanity, but its global character is a
      new phenomenon. Traditional, locally-rooted criminal organization, such as the Sicilian
      Mafia or the Chinese Triads have taken advantage of the technological and organizational
      opportunities provided by the new communication technologies. They have set up global
      networks. Joined by newcomers, such as the cartels of Colombia or the Russian Mafiyas,
      they now interconnect. Around the globe, they flexibly traffic illegal goodsdrugs,
      weapons, nuclear material, illegal immigrants, women and children, and body partsas
      well as providing illegal services such as contract killing, blackmailing, extortion, and
      kidnapping. It all comes together in the $ 750 billion which are laundered in the global
      financial markets (estimate for 1994, Castells, 1997, p. 260). It is not so much the
      existence of a shadow economy but rather the penetration of all aspects of legal economy
      and state institutions which is a new phenomenon. The global financial markets have been
      fueled by adventurous money seeking investment opportunities outside existing legal
      controls. Castells concludes "because of its volatility, and its willingness to take
      high risks, the criminal capital follows, and amplifies, speculative turbulences in
      financial markets. Thus, it has become an important source of destabilization of
      international finance and capital markets" (1998, p. 201). The societies of Japan,
      Russia, Italy and Colombia, among others, have been penetrated to their core by organized
      crime. The political processes are influenced through sheer violence, for example the
      killing of special investigators in Italy, or through more subtle forms, like corruption.
      The global criminal economy is the phenomenon which has most successfully combined the two
      central aspects of the Information Age: the Net and the Self. Based on strong local
      identities, violently established and maintained, they have created a flexible global
      network of fast changing strategic alliances to exploit whatever opportunity arises.
      Castells concludes that "criminal networks are probably in advance of multinational
      corporations in their decisive ability to combine cultural identity and global
      business" (1998, p. 204).  
      Another, albeit unrelated aspect of the shift away from global dominance by the centers
      of Western culture is the emergence of leading informational economies in the Pacific Rim.
      After a detailed examination of the differences among the fastest developing
      countriesKorea, Taiwan, Singapore, Hong KongCastells presents his concept of
      the "developmental state": a state that "establishes as its principle of
      legitimacy its ability to promote and sustain development" (1998, p. 270). This
      follows the lines previously proposed (Castells, 1992) and seems only tangentially related
      to the overall theme of the dynamic between the Net and the Self. In the case of Japan,
      however, Castells works out this dynamic. The institutions of the state, and societies at
      large, face a crisis for the same reasons as those of the Western democracies. After World
      War II the Japanese state nurtured forms of industrial development that were globally
      competitive and supported the particularities of its traditional values: stability,
      homogeneity and cultural isolation, and strong patriarchalism. This system has come under
      double stress since the late 1980s. To the extent that the Japanese multinationals have
      become truly global corporations, they have been disassociated from the Japanese national
      economy and the values expressed in it. Increasingly, the long-term stability of
      employment is not guaranteed. From below, a cultural change is in the making, generally
      more critical of traditional authorities and in particular of the repressed position of
      women in Japanese society. Together, the pervasive logic of the network society and the
      more pronounced articulation of new identities puts the system at large under increased
      stress. While the manifestations of the transformation are decidedly Japanese, many of its
      characteristics are related, not so much to Japanese history, but to the general tensions
      of the Information Age.  
      I was disappointed by Castells analysis of the European integration. He
      accurately characterizes the unification process as a defensive project that is organized
      around a limited set of common interests, mainly economic, among the participating
      nation-states. Castells labels the novel institutional arrangements of the European Union
      as the network state. Unfortunately, he defines it as "a state characterized by the
      sharing of authority (that is, in the last resort, the capacity to impose legitimized
      violence) along a network" (1998, p. 332). This definition is circular and it also
      contradicts empirical observation. Throughout its history the European Union has never
      been able to mobilize legitimate violence. This fact was most dramatically evident in the
      recent failure to act effectively during the civil war in former Yugoslavia. That is why
      the Yugoslavian peace agreement was signed in Dayton, Ohio, not in Brussels.  
       
      Conclusion  
      Castells argues that "two macro-trends...characterize the Information Age: The
      globalization of economy, technology, and communication; and the parallel affirmation of
      identity as the source of meaning" (1998, p. 311). He scans the globe to follow these
      trends. The resulting analysis is exceptional for two reasons. First, he shows the
      pervasive influence of those trends across a staggeringly large variety of social,
      cultural and geographic contexts. Out of the detailed analysis of localized phenomena
      emerges the fabric of the truly planetary character of the present. It is precisely
      because a common theme emerges out of seemingly contradictory phenomena that his
      Information Age is more than just another label. It is a convincingly argued historical
      reality. The depth and cultural sensitivity with which Castells develops the facets of
      each trend is in itself a major accomplishment. Second, it is Castells particular
      achievement to focus on both trends at the same time. His analysis is most interesting and
      most original where he works out how their interaction frames a particular set of events.
      His analysis of the crisis of political democracy, of the global criminal economy, of
      Japan, and to a lesser extent, the demise of the Soviet Union, are instant classics and
      open up new avenues for theoretical and empirical research. These chapters also provide
      the best entry-points into the gargantuan trilogy because they exemplify the effects of
      the interplay of trends which are elaborated in great detail in other chapters.  
      His method of communicating theory by analyzing practice has some drawbacks. The
      treatment of phenomena which fit less easily into these macro-trends is not always
      convincing. His political analysis of the mass media is particularly uncritical. He sees
      only their structural influence, stating "outside the media sphere there is only
      political marginality. What happens in this media-dominated political space is not
      determined by the media: it is an open social and political process" (1997, p. 312).
      Castells argues that the business interests of the news media guarantee a certain distance
      from the political process. Given the homogeneity of political views expressed in the mass
      media and the almost exclusive framing of politics as partisan politics, his analysis is
      surprisingly wanting. The analysis would have benefited from some references to Noam
      Chomsky, whose work is totally ignored.  
      The Information Age trilogy belongs, at least in aspiration, to the class of
      sociological grand theory, in the line of Daniel Bell, Alain Touraine and Anthony Giddens,
      whom Castells cites repeatedly as his intellectual reference points. However, he does not
      really abstract his findings into stringent theory comparable to, for example,
      Giddens Modernity and Self-Identity (1991), which he uses as a springboard for his
      own development of the concept of identity. Castells develops several fragments of a grand
      theory such as informational capitalism, the constitutive role of social movements in the
      construction of meaning, or the developmental state. However, these elements are not
      easily compatible and the coherence of the theory is sometimes lost in favor of expanding
      its scope. The theoretical sections of the book are sometimes convoluted with a language
      sociologists are notorious for, in contrast to the lucidity of the empirical sections.
      Castells excels in tracing trends across apparent differences, analyzing the patterns in
      which they are manifest, and pointing at their conflictual interplay which defines the
      possibility and the need for political and social action. What the course of action should
      be, however, can not be deduced from the analysis. After close to 1500 pages, he concludes
      his journey with: "Each time an intellectual has tried to answer this question, and
      seriously implement the answer, catastrophe was ensured....In the twentieth century,
      philosophers have been trying to change the world. In the twenty-first century, it is time
      to interpret it differently. Hence my circumspection, which is not indifference, about a
      world troubled by its own promise" (1998, pp. 358-359).  
       
       
      References:  
      Castells, M. 1983. The City and the Grassroots: A Cross-cultural Theory of Urban Social
      Movements. Berkeley: University of California Press  
      . 1989 The Informational City: Information Technology,
      Economic Restructuring, and the Urban Regional Process. Oxford, UK; Cambridge, MA:
      Blackwell  
      . 1992. Four Asian Tigers With a Dragon Head: A
      Comparative Analysis of the State, Economy, and Society in the Asian Pacific Rim. pp.
      33-70 in Appelbaum, Richard; Henderson, Jeffrey (eds.) States and Development in the Asian
      Pacific Rim. Newbury Park, London, New Delhi: Sage  
      . & Hall, P. 1994. Technopoles of the World: The
      Makings of 21st Century Industrial Complexes. London: Routledge  
      Giddens, A. 1991. Modernity and Self-Identity: Self and Society in the Late Modern Age.
      Stanford, CA: Stanford University Press  
      Smith, M.R & Marx, L. 1994. Does Technology Drive History? The Dilemma of
      Technological Determinism. Cambridge, MA; London: MIT Press  
      Webster, F. 1995 Theories of the Information Society. London; New York: Routledge  
      Wriston, W. 1992. The Twilight of Sovereignty. How the Information Revolution is
      Transforming Our World. New York, Toronto: Maxwell Macmillan 
       
      
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