Globalization first reared its tentative head, courtesy a revisionist package popularly known as the “Washington Consensus”. The term was coined in 1989 by John Williamson and represented as its edifice three indispensable words: stabilize; liberalize; and privatize. Two and a half decades and a crippling recession later, the world is still coming to grips with the shock and awe impact caused by a rampant globalization that had its most fervent advocates fleeing for life!
In this compelling work, Dani Rodrik demonstrates with sincere zeal the perilous outcomes signifying the impact and encouragement of unfettered and unalloyed globalization. Drawing reference to what he calls the political “trilemma” of the World Economy, Rodrik articulates the difficulty of choosing globalization over democratic preserves and the cohesive building of a nation state. Calling for a balanced approach to free market theory and interventionist measures, the author advocates the embracing of what he terms “sane” globalization, a system whereby national interests are not sacrificed at the alter of undisguised greed.
Cocking a snook at free market mavens, the author takes great pains to demonstrate the pernicious effects of ignoring the power of and the need for a nuanced state intervention. The Invisible Hand of Adam Smith at times has very visible adverse ramifications. Rabid free market proponents such as Jagdish Bhagwati of Columbia University would do well to read this work from cover-to-cover so as to realise their headstrong follies and ill-perceived notions.
“Globalisation Paradox” – A Universal wake-up call!