Publisher's Synopsis
The book provides a blend of informal discussion and rigorous analysis of globalization. The paper by Chen and Hule focuses on international trade theory and the reallocation effect of globalization using a trade model including intermediates and capital transfer. Socher's paper concentrates on the effects of globalization on the financial sector and its implications for the monetary system, international capital markets and institutions like banks. Next, Dutt provides an overview of FDI flows and its consequences by studying several Asian countries in detail. Stocker evaluates empirically the claims that globalization leads to growth and convergence. Th÷ni's paper looks at fiscal implications of globalization posing general questions concerning the validity of the traditional assignments of public functions. Sendlhofer asks for implications on optimal taxation. Finally, Kim and Betson point out problems of globalisation mostly on the labour market and the wage structure.
