This paper will look at the process of globalization and its effects on the roles of states in western capitalist societies. The effects of globalization are intense and they clearly diminish the power of the state. In the world of the 1990s and beyond, though the state still operates in an environment of official anarchy, globalization is imposing a set of indirect controls that will keep it in line more than ever before. 13.5 pgs. 20 f/c. 7b.