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Book Report

2280 words - 10 pages

The book “The Globalization Paradox” is a very recent book written by the very important Professor Dani Rodrik. In the field of International Economics and more specifically globalization, Dani Rodrik is a very recognizable name in the field. His resume list out the following: currently teaches at the University of Princeton and has taught in many well-known institutions in the past. Furthermore, he is also best know for his earlier book that was released in 1997 and has made big contribution to the field of economics. The book “Has Globalization Gone Too Far?” focused on the three tensions between the international market and stability in society. In this book, he claimed that globalization ...view middle of the document...

Therefore the “paradox” that is the main focus point of the book is essentially in order for globalization to produce its full effects by having equally distributed economic benefits, and all actors are protected while still allowing freedom and maneuverability. Therefore globalization is at its full potential when it allows free flow of capital without any blockage and regulations. This sounds very much impossible and is very much a utopian idea. Rodrik also has the same thought; he sees globalization as a problem where we cannot have perfect democracy, economic globalization and nationalism all at the same time. Rodrik has stated one of the three must be given up to pursue the others; he calls this as a trilemma. And throughout the book I also share the same thoughts and have agreed on many of his arguments and points. Throughout this report, we’ll see the main themes of the book and discuss those questions.

First of, the book is carefully organized and Rodrik develops his arguments accordingly. I like how the book is divided into four different sections. The first second covers the history of globalization between the era of nineteenth and early twentieth centuries, and more importantly he transitions to the discussion of Bretton Woods regime and its effect on the world at that time after the World War. Next the second section looks at the weakness of finance in the global market. The third section deals with economic globalization in underdeveloped nations and more importantly how it affects those nations. And finally the fourth section is Rodrik’s opinions of the current global work markets and he himself creates a newer form of capitalism, which he describes as Capitalism 3.0, which is a newer and more well though out form of economic globalization.

Rodrik starts the book by looking at two important events of the past in order to explain the development of globalization. We must understand that the globalization is a phenomenon in an economic sense and it has existed since the creation of human civilization however it can be agreed upon that since the 20th century the process of globalization has grew much more rapidly and is a much bigger factor that dictates many of the factors in our society such as politics, economics and on how people live their lives. This is mainly due to the rise and advancement of technology in transportation and telecommunications. And more recently the rise of the Internet, generating further interdependence of economic and other factors. Thought several academics have argued the origins of globalization in modern times, some have traced its history during the European age of discovery and voyages to the New World. Based on the Rodrik’s example of the Chartered Trading companies and trading of animal fur. This event is mentioned in the beginning of the book of how different companies started to capitalize on the long distance trade that was becoming more common because it allowed much more bigger profit in...

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