How is globalization linked to global poverty and to global inequality? Such questions have spawned heated and at times acrimonious debate. Discussion is further complicated by the absence of agreed-upon definitions of globalization, poverty, and inequality-studies based on different definitions of the terms yield starkly contrasting conclusions. This volume of the Brookings Trade Forum aims to summarize what is known from the existing body of scholarly research and identify the issues on which there is less conclusive evidence and consensus. Acknowledging that clarification of terminology is critical for meaningful debate, all contributors grapple with this thorny issue.
The first section focuses on the measurement of global welfare, exploring how various measures capture dimensions of increased global economic integration. The second section looks at the channels through which globalization can affect the world's poor, highlighting the roles of trade, productivity differences, and the intersection of domestic and international factors influencing outcomes. The last section provides overviews of the main conclusions and highlights key themes, in particular the roles of technology and growth.
Contents include:
Investment, Fiscal Policy, and Capital Overhang
by Austan Goolsbee (University of Chicago) and Mihir Desai (Harvard University)
Monetary Policy Alternatives at the Zero Bound: An Empirical Assessment
by Ben S. Bernanke and Vincent Reinhart (Federal Reserve) and Brian P. Sack (Macroeconomic Advisers, LLC)
What Happened to the Great U.S. Job Machine? The Role of Trade and Electronic Offshoring
Martin N. Baily (Institute for International Economics) and Robert Z. Lawrence (Harvard University)
Budget Deficits, National Saving, and Interest Rates
William Gale, Peter Orszag (Brookings Institution)