The Shifting Global Economic Architecture

This book analyzes the shifting global economic architecture, indicating the decentralizing authority in global economic governance since the Cold War and, especially, following the 2008-09 global financial crisis. The author examines recent adjustments to the organizational framework, contestation of policy principles, norms, and practices, and destabilizing actor hierarchies, particularly in global macroeconomic, trade, and development governance. The study's ‘analytical eclecticism’ includes a core constructivist IR approach, but also incorporates insights from several international relations theories as well as political and economic theory. The book develops a unique ‘analytical matrix’, which analyzes effects of strategic, political, and cognitive authority in the organizational, policy, and actor contexts of the global economic architecture. It concludes that, despite concerns about potential fragmentation, decentralizing authority has increased the integration of leading developing states and new actors in contemporary global economic governance.

The global financial crisis of 2007-2009 exposed flaws and shortcomings in the global economic architecture, and has sparked an international debate about possible remedies for them. The postwar global architecture was essentially guided by the major developed economies, and was centered around the IMF, the GATT - the predecessor of the WTO - and the World Bank. Today, however, the balance of economic and financial power is shifting toward the emerging economies, especially those in Asia, and both global governance and economic policy thinking are beginning to reflect this shift. This book addresses the important question of how a regional architecture, particularly one in Asia, can induce a supply of regional public goods that can complement and strengthen the global public goods supplied through the global architecture. These public goods include institutions to help maintain financial stability, support more open trading regimes and promote sustainable economic development.

This book is useful for scholars and practitioners who did not follow the GATT/WTO negotiations and who desire to acquire a comprehensive background on the subject. Mordechai E. Kreinin, Journal of Economic Literature This comprehensive and accessible book examines the evolution of the multilateral trade regime in the ever-changing global economic environment, particularly during the WTO era and the ongoing Doha Round. Professor Das explores how the creation of the multilateral trade regime, or the GATT/WTO system, has been fraught with difficulties. He describes the ways, by means of various rounds of negotiations, the multilateral trade regime has constantly adjusted itself to the new realities of the global economy. One glance at the recent history indicates that the evolution of the multilateral trade regime was far from even-handed and steady. The GATT/WTO system was repeatedly pushed to the brink of utter and ignominious disaster. Yet, as the author illustrates, the participating economies persevered. Consequently, the fabric of multilateral trade regime is stronger, its foundation deeper and its framework wider now than it was a generation ago. Unlike the GATT era, membership of the present trade regime is close to universal. The author concludes that of the two phases, the latter has turned out to be the more arduous, intricate and complex phase of evolution. Students and scholars of economics, international trade, international political economy and international relations will find this study of great interest. The definitions and explanations of terminology and advanced concepts make the book accessible to those without an extensive economic background.

This book focuses on the recent rise of new regional economic institutions such as the Chiang Mai Initiative Multilateralisation, the Asian Infrastructure Investment Bank, and the Regional Comprehensive Economic Partnership, which were established, in part, as a result of dissatisfaction of dynamic emerging markets with global economic institutions such as the IMF, the World Bank, and the GATT/WTO. The latter were formed by advanced economies in the West, after the historic Bretton Wood Conference of 1944. In doing so, the book addresses how this recent round of decentralisation, defined as the co-existence of “senior” global institutions and a plethora of newly-established regional institutions, has affected global economic governance, and the delivery of global public goods. It also poses the question if this has led to the fragmentation of global economic governance. The book adds value to existing literature by using a benefit-risk analytical framework to study the decentralisation process. Unlike the “contested multilateralism” argument used by some authors which focuses on the costs of decentralisation, the authors argue that benefits must also be considered. It also describes and analyses the establishment of global and regional international economic institutions and the evolving relationships between the two. Third, the authors argue that this decentralisation process will continue in the postpandemic period and recommend policies to reset the relationship between global and regional institutions. And lastly, the book discusses proposals to reform the international monetary system including the global reserve system with a view to reducing the hegemony of the US dollar. Throughout the book, the role for Asia is also identified, and elaborated on.

Global Shift is - quite simply - the definitive work on economic globalization. The extensive use of graphics, lack of jargon, and clear definition of terms has made it the standard work for the social sciences. The Seventh Edition has been completely updated using the latest available sources. It maps the changing centres of gravity of the global economy and explains the global financial crisis. Each chapter has been extensively rewritten and new material introduced to explain the most recent empirical developments; ideas on production, distribution, consumption; and corporate governance. Global Shift provides: The most comprehensive and up-to-date explanation of economic globalization available, examining the role of transnational corporations, states, labour, consumers, organizations in civil society, and the power relations between them. A clear guide to how the global economy is being transformed through the operation of global production networks involving transnational corporations, states, interest groups and technology. Extended discussion of problems and institutions of global governance in the context of the global economic crisis and of the role of corporate social responsibility. A suite of extensive online ancillaries for both students and lecturers, including author videos, case studies, lecture notes, and free access to specially selected journal articles related to each chapter. There is only one definitive guide to economic globalization for the social sciences: and that′s Peter Dicken′s Global Shift.

The global financial crisis exposed great shortcomings in the global economic architecture, generating extensive international debate about possible remedies for these deficiencies. The postwar global architecture was guided by major developed economies, centered around the IMF, the GATT, and the World Bank. Today, the balance of economic power is shifting toward emerging economies. Global governance and economic policy must reflect this shift. With contributions from prominent Asian and international trade experts, this book critically examines key changes occurring in the world trading system and explores policy implications for Asia. The world trading system, led by the World Trade Organization (WTO), is under pressure to evolve and address 21st-century trade issues. Meanwhile, economically salient Asia has built deep supply chains over decades, whilst experimenting with mega-regional trade agreements and economic policies to sustain growth amid a fragile economy. The Asian-led Regional Comprehensive Economic Partnership (RCEP) and the United States-led Trans-Pacific Strategic Economic Partnership (TPP) are competing to set standards for Asia's trade and supply chains. Lessons from the Asian experience offer new approaches and economic policies to sustain growth, presenting the WTO as a forum for action to improve global and regional trade governance in the 21st century. Policy makers will benefit from the expert knowledge and policy lessons presented in this book, and development economists and researchers will profit from its critical examination of the world trading system. Undergraduate and postgraduate students interested in development, development economics, international development, and related fields will find this essential supplementary reading.

The established structural parameters of the global political economy underwent a profound transformation following the global economic crisis which triggered a paradigmatic change in terms of both the theoretical underpinnings and practical formulations of mainstream approaches to macroeconomic management and development. Neither the industrialized nor the newly industrializing economies were immune from the tumultuous impact of the ever-deepening global crisis, as a result of which a series of non-conventional policy responses were developed and swiftly implemented by policy makers across a wide range of policy areas. Counter-cyclical fiscal policies and stimulus packages to spur dwindling growth, heterodox monetary and central banking policies to rescue financial institutions in distress, strategic trade policies to maintain international competitiveness and market share become increasingly widespread. Neo-Keynesian emergency measures almost became the global norm, rather than the exception, in most of the leading global economic powers; thereby substantially increasing the relative emphasis in the economic importance and role of the state in the post-crisis period. Against this critical global background, this collection represents the manifestation of a brave effort by a fledgling group of political economy experts from Turkey striving to explore the nature of the multi-layered structural transformations triggered by the global economic crisis in the established institutions, norms, policy patterns, and theoretical tenets of the modern global political economy. The collection contains articles that present general analyses pertaining to theoretical and practical issues pertinent to the post-crisis transformation of the global political economy; as well as interesting country case studies illuminating the positive and negative features of national experiments with crisis-management in emerging economies. The authors seek to reply to the critical question of how the global governance structures, theoretical perspectives used to legitimize them, national policy patterns, and public policy attitudes affecting crisis response strategies were influenced by the unprecedented impact of the global economic crisis. The collection includes innovative pieces of analysis that look at the ascendancy of multipolarity in the global system and perceptive changes on the BRICS; the shifting natures of macroeconomic management, central banking and global governance architecture through the empowerment of global platforms such as the G20; the fate of the developmental state in East Asia after the global crisis; the crisis-exit performances of emerging economic powers such as China, India, Brazil and Turkey; post-crisis methods of economic adjustment across East Asia in Japan, China and Korea; the potential of new metropoles such as Shanghai to emerge as international financial centres; the dynamics influencing the level of gold reserves held by central banks; changes in Cuba along with the world economy; and energy security in the Persian Gulf. The book carries the promise of offering the readers a fresh and insightful analysis on both the theoretical and practical manifestations of the ongoing structural transformation in the global system from an inclusive international political economy (IPE) perspective that liberally draws from the disciplines of political science, economics, history, international relations and sociology. As such, it will attract the attention of scholars, academics and intellectuals contemplating the future trajectory of the global political economy after the crisis; as well as policy makers and practitioners focusing on the global shift towards emerging economies.

Shifting Wealth examines the changing dynamics of the global economy over the last 20 years, and in particular the impact of the economic rise of large developing countries, such as China and India, on the poor.