That quote doesn't say that "political competition" was the best approach to innovation, nor that globalism would be worse. Merely that the proverbial ROI of competing states wasn't negative.
More importantly, it seems that the fragmentation in Europe allowed "peer pressure" to avoid descents into authoritarianism that would have limited intellectual innovation.
And that fragmentation did not fragment "the market". ("Political fragmentation existed alongside a remarkable intellectual and cultural unity.")
So: as long as globalization doesn't limit individual intellectual innovation, it might be a good think because of global unification. Competition helps drive innovation, but it doesn't have to be state competition and political division.
More importantly, it seems that the fragmentation in Europe allowed "peer pressure" to avoid descents into authoritarianism that would have limited intellectual innovation.
And that fragmentation did not fragment "the market". ("Political fragmentation existed alongside a remarkable intellectual and cultural unity.")
So: as long as globalization doesn't limit individual intellectual innovation, it might be a good think because of global unification. Competition helps drive innovation, but it doesn't have to be state competition and political division.