The Threat of Globalisation
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| Submitted: Thu Jul 11 2002
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The Threat of Globalisation The current debate on globalisation is very interesting because it raises such a wide variety of issues. The main concern of the International Forum on Globalisation (IFG) is 'the emergence and growth of corporate trade and banking institutions that are not accountable to democratic processes or even national government'. A full consideration on the consequences of this would lead us beyond the boundaries of economic thought but I will try to highlight what economic theory adds to the discussion and where available, show evidence to support these theories. I will therefore try to address the following questions raised in IFG's position statement. Is there any evidence to suggest that these transnational institutions are growing to the extent that they endanger national economic systems? How is globalisation affecting the returns to different factors of production in the various trading countries? And will globalisation result in the homogenisation of...

