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The impact of globalization on developing countries is related to their integration into the international economy. Globalization is usually accompanied by the expansion of the private sector_'s

























economIC activities. In developing countries, however, a good portion of economic activities is undertaken or managed by governments. Accordingly, the role of state policies is crucial for



the possibility of integrations in the internal economy, specially in a
rentier economy like that of Iran.
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This article argues that state policies that increase individual's
economic productions, social activities, and political participation will contribute to individual empowerment which in turn will have a decisive effect on integration in the international economy. Otherwise, lack of life subsistance systems and communication
networks, and impossibility of political partkipation will lead to social exclusion of the masses. The concept of social exclusion describes the marginalization process of individuals from society through economic depriviation and social isolation.