Customer Reviews

Has Globalization Gone Too Far?

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Seldom can one find an economist whose sensitivity to political and social issues coexist in perfect harmony with a technically impecable background. Rodrik is one such rare creature. His book addresses the issue of globalization, defying economic theories and pointing straight to the problem: globalization engenders social instability, that in turn unables financial/economic stability to be sustained. Accoridng to Rodrik, unless attention is given to the "lossers" of this process, protectionism may strike back. Rodrik is successful in showing that globalization is NOT "the end of history", and should not be taken for granted.

This is an excellent book that dwells in to the effects of globalization, related issues and potential solutions. It discusses social issues and policies within the context of globalization. It also dwells in to the issues related to labor standards and income distribution. Rodrik presents good solutions but they are debatable and not easy to implement.

I feel that Rodrik discusses solely from the perspectives of industrialized nations' interests. I would have liked him to explore more from the perspectives of under developed/developing nations'.

Dani Rodrik tackles the issue on the state of Globalization for the institute for international economics think tank with surprising insight and intellectual power. This is a great look from an economists prospective (graphs and data analysis included) on where globalization is today. This is not a tired rehashing of long discussed topics but a fresh take on where globalization is today. The book begins by looking at where the labor market is and assessing the consequences for unskilled labor and the elasticity of demand for workers as the curve flattens with increased globalization of the workforce. It is followed by tension in trade and domestic policy from child labor to fair trade and the strikes of workers as globalization increases. One of the more interesting chapters is the argument hat with the increase in globalization the demand for social insurance rose and with the diminishing tax base is now one of the cruxes that is poised to cause potential harm within the world economic order. Mobile capital has shifted tax bases and is putting strain on government budgets to meet the demands of its citizens. Overall an excellent addition to the issues on globalization and one that is not to be missed.

This is the book you need if you want to be able to justify an inner sense that "something's wrong in Denmark" with the economic models that prove it. Shortly before protesters scuttled the trade talks in 1998 in Seattle, Rodrik, part of the Harvard establishment at the time, set down in this short 1997 pamphlet the reasons economic theory explains and justifies such social discontent.

He even graphs it.

Rodrik locates just where on those economic graphs the causes of social discontent can be predicted to arise through the very economic models that were being used to dismiss the validity of the protesters' concerns at the time. Blending political science and economic theory, his approach is that of an economist speaking to economists in their own language, even though the topic of conversation was all too rare at the time. The result is an argument that is much more difficult to dismiss as "naive" and "misguided" than the incendiary placards and 10-foot puppets of the street theater protesters were.

It is an engaging book, but you will need some understanding of economic theory and a nerdy love of 2-axis graphs and empirical comparative analysis to fully appreciate what it has to offer.

Rodrik's basic argument is that the economic globalization of trade & capital flows may create overall growth; however, it also creates the demand for policies that offset its negative effects, which include a 1) increased vulnerability of workers (working & middle class) in a policy environment of mobile capital and immobile labor; 2) a heightened demand for state social protections as economies open more fully to trade (backed by empirical correlative analysis); 3) the weakened ability of states to create a tax base to support such protections in the face of mobile capital, and 3) policy suggestions to address these issues.

A tremendous book.

It seems that over the past few years, the topic of globilization aond free trade have become hot topics because of events like the WTO protests in Seattle, the World Bank protests in DC and Ralph Nader's run for the presidency in 1996 and 2000.

Has globilization gone too far? is a good source for those people trying to find out more about the issue because it shows what happens under globilization both theoritically and in real life. It presents the arguements against free trade and the problems associated it with it like loss of jobs and capital outflows so it is good to understand the oposing view.

In his spellbinding account of the economic realities of globalization, Dani Rodrik gets it right. Whether it is his accounting of the increased elasticity in the job market or his discussion of labor as a factor bearing a higher incidence of non-wage costs, today's economy makes Rodrik seem prophetic. It is a book whose time has come, any thinking person should buy this book.

I have to admit that I only read the first 20 pages before giving up.

This book appears to be a think-tank product richly supported by business to answer a question which they are too prejudiced to answer honestly.

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