What is an essential characteristic of Wallerstein's World Systems Theory regarding states?

Wallerstein's World Systems Theory posits that the world is divided into a global system where economic structures and interactions dictate the relationships between nations. The core tenet of this theory emphasizes that all activities, including political, economic, and social dynamics, are embedded within the broader context of the world economy. This means that states do not operate in isolation; rather, their statuses, functions, and developments are influenced by their positions in the global economic system—whether they are core, semi-periphery, or periphery nations.

In this framework, the interconnectedness of countries through trade, capital flows, and economic policies illustrates that no state is an island. This interdependence is crucial for understanding how historical and contemporary economic phenomena shape nations' destinies in the global landscape.