Globalization, Poverty and Inequality

Globalization is characterised by persistent poverty and growing inequality. Conventional wisdom has it that this global poverty is residual as globalization deepens, the poor will be lifted out of destitution. The policies of the World Bank, the IMF and the WTO echo this belief and push developing countries ever deeper into the global economy. Globalization, Poverty and Inequality provides an alternative viewpoint. It argues that for many particularly for those living in Latin America, Asia and Central Europe poverty and globalization are relational. It is the very workings of the global system which condemn many to poverty. In particular the mobility of investment, and the large pool of increasingly skilled workers in China and other parts of Asia, are driving down global wages. This poses challenges for policy makers in firms and countries throughout the world. It also challenges the very sustainability of globalisation itself. Are we about to witness the implosion of globalisation, as occurred between 1913 and 1950? Using a variety of theoretical frameworks and drawing on a vast amount of original research, this book will be an invaluable resource for all students of globalization and its effects.

Globalization is characterised by persistent poverty and growinginequality. Conventional wisdom has it that this global poverty isresidual - as globalization deepens, the poor will be liftedout of destitution. The policies of the World Bank, the IMF and theWTO echo this belief and push developing countries ever deeper intothe global economy.Globalization, Poverty and Inequality provides an alternativeviewpoint. It argues that for many - particularly for thoseliving in Latin America, Asia and Central Europe - povertyand globalization are relational. It is the very workings of theglobal system which condemn many to poverty. In particular themobility of investment, and the large pool of increasingly skilledworkers in China and other parts of Asia, are driving down globalwages.This poses challenges for policy makers in firms and countriesthroughout the world. It also challenges the very sustainability ofglobalisation itself. Are we about to witness the implosion ofglobalisation, as occurred between 1913 and 1950?Using a variety of theoretical frameworks and drawing on a vastamount of original research, this book will be an invaluableresource for all students of globalization and its effects.

List of Figures viList of Tables xA Guide to the Reader xiiAcknowledgements xivPart 1 Setting the Scene 11 Global Dynamics 32 Globalization and Poverty 26Part II Gaining from Globalization 533 Getting it Right: Generating and Appropriating Rents 554 Managing Innovation and Connecting to Final Markets 865 The Global Dispersion of Production - Three Key Sectors122Part III Losing from Globalization 1616 How Does it All Add Up? Caught Between a Rock and a Hard Place1637 Does it All Add Up? 1968 So What? 232Notes 258References 265Index 276