Dic Lo (auth.)'s Alternatives to Neoliberal Globalization: Studies in the PDF

By Dic Lo (auth.)

ISBN-10: 0230361161

ISBN-13: 9780230361164

ISBN-10: 1349344842

ISBN-13: 9781349344840

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Additional resources for Alternatives to Neoliberal Globalization: Studies in the Political Economy of Institutions and Late Development

Sample text

Yet it is an established view in the relevant literature that sacrifice of gains from trade due to market ‘distortions’ is usually trivial in magnitude (it accounts for a fraction of trade, which in turn accounts for a fraction of national income), and cannot explain much of the observed divergence of economic growth among nations. It is also widely agreed by economists of various convictions that even at market equilibrium the problem of unemployment still exists, especially in the context of dualistic developing economies.

There remain points (c) and (d), which seem to be strong enough to significantly affect long-term economic growth. 2, rests on the recognition that sheltered inefficiency and small market size are especially detrimental to learning and technical change, both in terms of incentive and capability. It thus establishes the case for industries to be exportoriented, that is, to compete in the world market. However, even so, it is still difficult to see the logical link between export-orientation and trade regime neutrality.

It follows that the NIDL thesis might be valid in so far as capital accumulation is based on absolute surplus value production. But in cases where the process of internationalization of capital involves mainly production for local market, rather than labour-intensive processes for exports, a model of indigenous accumulation based on relative surplus value production is possible (Bina and Yaghmaian 1990; Jenkins 1984, 1987). Translated into concrete terms, the previous line of reasoning points to the possibility for particular developing economies to enter a virtuous circle of productivity growth-cum-local market formation.

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Alternatives to Neoliberal Globalization: Studies in the Political Economy of Institutions and Late Development by Dic Lo (auth.)


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