In The News

Surviving the Great Capital Flood

Simon Johnson October 23, 2007
Countries must set policies to handle global conditions, and one condition is large piles of money in some parts of the world. The countries and investors that hold large chunks of capital search for good investment opportunities – and increasingly the capital flows to emerging economies rather than developed nations. With the help of strong economic and political institutions, countries on the...

Beware, Constitutions Can Change Your Life

Philip Johnston October 23, 2007
Constitutions are not boring documents. Instead, they outline rights for citizens, directing leaders and giving continuity to problem solving. A constitution "defines our liberties and the relationship between people and the state, the governed and the government," writes Philip Johnston for the Telegraph, in an essay that addresses concerns about such a document for the EU. Membership...

Gale Warning, Global Burden Sharing

Joergen Oerstroem Moeller October 19, 2007
Global questions of political economy have traditionally revolved around sharing public goods or dealing with crises. Today, however, the world must decide how to distribute the costs of tremendous challenges that are looming over the horizon. Joergen Oerstroem Moeller, visiting senior research fellow with the Institute of Southeast Asian Study, anticipates the world to be buffeted by the...

The Free-Trade Paradox

Moisés Naím October 19, 2007
The collapse last year of the Doha Round has had little apparent impact on global trade. Worldwide merchandise exports increased fivefold in the quarter century following 1980, and two thirds of the global reduction in tariff barriers may be attributed to unilateral decisions as opposed to regional or international trade agreements. Economic growth has spiraled skyward, thanks largely to...

Why Climate Change Can't Be Stopped

Paul J. Saunders October 18, 2007
Most world leaders agree that global warming is a real and pressing issue, and are ready for any ideas on how to stop, fix or adapt to the problem. Environmentalists still express hope that conservation - some immediate sacrifices - could save species, habitats and even some human lives. “Unfortunately, given the scale and complexity of modern economies and the time required for new technologies...

Navigating the Choppy Waters of Globalization

Madelaine Drohan October 18, 2007
Headlines decrying a foreign takeover of large domestic-based businesses have been a common sight since the 1980s. However, as columnist Madelaine Drohan points out, these purchases happen all over the world, by independent companies from a diverse set of countries. She sees no hegemon struggling to rise to global economic domination through strategic purchasing, although the UK, the US and most...

Globalization With Arab Characteristics

Marcus Noland October 17, 2007
A young workforce can be a great economic asset. Yet Arab states, with booming populations, desperately need to increase employment opportunities for young adults. Foreign investment has stagnated, limited to oil and tourism as firms remain wary of weak intellectual property rights and uncertain political transitions. Meanwhile, state-dominated economies have failed to achieve linkages to outside...