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Disparities in Globalization of the World Economies

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  • Mishra, SK
  • Kumar, Binod

Abstract

This paper constructs composite indices of globalization of 131 countries spread over the five continents and classified into World-I, World-II and World-III countries. KOF, the Business Cycle Research Institute in the Swiss Federal Institute of Technology, Zurich is the source of data used in this study. The Composite Indices of Globalization have been computed by Pena’s method, which attributes the most desirable properties to the indices so constructed. On the basis of these indices, the paper investigates into the trends of globalization and disparities in globalization for a period of 11 years (1999-2009). Disparities have been obtained as the Gini’s coefficient as well as the coefficient of variation. The study finds that in all the three worlds, the trends in globalization are increasing while the trends in the disparities in globalization are decreasing, which suggest global integration and convergence of national economies to a global order. We also find that social indicators of globalization explain the variations in per capita income more potently than economic or political indicators of globalization do.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 41936.

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Date of creation: 13 Oct 2012
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Handle: RePEc:pra:mprapa:41936

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Keywords: Globalization; composite index; disparities; global integration; convergence; per capita GDP in USD;

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  1. Mishra, SK, 2012. "A comparative study of trends in globalization using different synthetic indicators," MPRA Paper 38028, University Library of Munich, Germany.
  2. José-María Montero & Coro Chasco & Beatriz Larraz, 2010. "Building an environmental quality index for a big city: a spatial interpolation approach combined with a distance indicator," Journal of Geographical Systems, Springer, Springer, vol. 12(4), pages 435-459, December.
  3. Axel Dreher, 2006. "Does globalization affect growth? Evidence from a new index of globalization," Applied Economics, Taylor & Francis Journals, Taylor & Francis Journals, vol. 38(10), pages 1091-1110.
  4. Jagdish N. Bhagwati, 2004. "In Defense of Globalization: It Has a Human Face," Rivista di Politica Economica, SIPI Spa, SIPI Spa, vol. 94(6), pages 9-20, November-.
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