Advanced Search
MyIDEAS: Login to save this paper or follow this series

Development in the Time of Globalization

Contents:

Author Info

  • J. Mohan Rao
Registered author(s):

    Abstract

    The paper examines grounds on which a `second opinion’ to the Washington Consensus may be constructed using data for a sample of 123 rich and poor nations for the period from 1960 to 1995. The historical record makes abundantly clear that international inequality has increased not only over the long haul of the past two centuries but also in recent decades. Unequal development derives mainly from economic and political-economic forces internal to nations. Unregulated global market forces mostly follow this process rather than countering it. At the same time, the fragile internal development process is vulnerable to the disruptive forces of unrestricted openness. To be sure, access to global markets can be a powerful factor in development. But development success has hinged on selective and phased integration with world markets. This understanding clearly goes against the prevailing view that the growth benefits from globalization far outweigh the costs and that the main task for developing countries is to eliminate all impediments in the way of integrating their domestic economies with global trade and financial flows. It is not only economic growth as it relates to globalization that is at issue. The historical record also shows that the wealth of nations alone fails to account for variations in the levels of national poverty and inequality. Hence, we must also be concerned about whether increasing globalization restructures incentives in a direction that is conducive to reducing inequality and poverty. Apart from the purely economic mechanisms, this concern must extend also to the capacities for public action that globalization might weaken. The paper is animated by the belief that given the continuing primacy of the nation state, a modicum of national policy autonomy is vital to a politically sustainable economy, particularly in redressing endemic problems of poverty and inequality.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.peri.umass.edu/fileadmin/pdf/working_papers/working_papers_1-50/WP1.pdf
    Download Restriction: no

    Bibliographic Info

    Paper provided by Political Economy Research Institute, University of Massachusetts at Amherst in its series Working Papers with number wp1.

    as in new window
    Length:
    Date of creation: 1998
    Date of revision:
    Handle: RePEc:uma:periwp:wp1

    Contact details of provider:
    Postal: 418 N Pleasant St, Amherst MA 01002
    Phone: (413) 545-6355
    Fax: (413) 545-2921
    Email:
    Web page: http://www.peri.umass.edu/
    More information through EDIRC

    Related research

    Keywords:

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. Romer, Paul M, 1986. "Increasing Returns and Long-run Growth," Journal of Political Economy, University of Chicago Press, vol. 94(5), pages 1002-37, October.
    2. Bernhard Fischer & Helmut Reisen, 1992. "Towards Capital Account Convertibility," OECD Development Centre Policy Briefs 4, OECD Publishing.
    3. Bhagwati, Jagdish N, 1984. "Why Are Services Cheaper in the Poor Countries?," Economic Journal, Royal Economic Society, vol. 94(374), pages 279-86, June.
    4. Clark, Gregory, 1987. "Why Isn't the Whole World Developed? Lessons from the Cotton Mills," The Journal of Economic History, Cambridge University Press, vol. 47(01), pages 141-173, March.
    5. Sen, Amartya, 1983. "Development: Which Way Now?," Economic Journal, Royal Economic Society, vol. 93(372), pages 742-62, December.
    6. Paul R. Krugman, 1985. "Increasing Returns and the Theory of International Trade," NBER Working Papers 1752, National Bureau of Economic Research, Inc.
    7. N. Gregory Mankiw & David Romer & David N. Weil, 1990. "A Contribution to the Empirics of Economic Growth," NBER Working Papers 3541, National Bureau of Economic Research, Inc.
    8. Baumol, William J. & Nelson, Richard R. & Wolff, Edward N. (ed.), 1994. "Convergence of Productivity: Cross-National Studies and Historical Evidence," OUP Catalogue, Oxford University Press, number 9780195083903, Octomber.
    9. Young, Allyn A., 1928. "Increasing Returns and Economic Progress," History of Economic Thought Articles, McMaster University Archive for the History of Economic Thought, vol. 38, pages 527-542.
    10. Hamilton, C.B. & Winters, L.A., 1992. "Opening Up International Trade in Eastern Europe," Papers 511, Stockholm - International Economic Studies.
    11. Rao, J. Mohan, 1989. "Getting agricultural prices right," Food Policy, Elsevier, vol. 14(1), pages 28-42, February.
    12. Palma, Gabriel, 1978. "Dependency: A formal theory of underdevelopment or a methodology for the analysis of concrete situations of underdevelopment?," World Development, Elsevier, vol. 6(7-8), pages 881-924.
    13. Syrquin, Moshe, 1988. "Patterns of structural change," Handbook of Development Economics, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 1, chapter 7, pages 203-273 Elsevier.
    14. Jeffrey Sachs & Andrew Warner, 1995. "Economic Reform and the Progress of Global Integration," Harvard Institute of Economic Research Working Papers 1733, Harvard - Institute of Economic Research.
    15. Nuxoll, Daniel A, 1994. "Differences in Relative Prices and International Differences in Growth Rates," American Economic Review, American Economic Association, vol. 84(5), pages 1423-36, December.
    16. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July.
    17. Ocampo, JoseAntonio, 1986. "New developments in trade theory and LDCs," Journal of Development Economics, Elsevier, vol. 22(1), pages 129-170, June.
    18. Dragoslav Avramovic, 1992. "Developing Countries in the International Economic System: Their Problem and Prospects in the Markets for Finance, Commodities, Manufactures and Services," Human Development Occasional Papers (1992-2007) HDOCPA-1992-03, Human Development Report Office (HDRO), United Nations Development Programme (UNDP).
    19. Baumol, William J & Wolff, Edward N, 1988. "Productivity Growth, Convergence, and Welfare: Reply," American Economic Review, American Economic Association, vol. 78(5), pages 1155-59, December.
    20. Taylor, Lance & Arida, Persio, 1988. "Long-run income distribution and growth," Handbook of Development Economics, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 1, chapter 6, pages 161-194 Elsevier.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Cem Oyvat, 2013. "Agrarian Structures, Urbanization and Inequality," Working Papers wp336, Political Economy Research Institute, University of Massachusetts at Amherst.
    2. George Korres & Emmanuel Marmaras & George Tsobanoglou, 2004. "A note on poverty, inequality and growth," ERSA conference papers ersa04p500, European Regional Science Association.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:uma:periwp:wp1. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Judy Fogg).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.