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Kenneth A. Reinert

This volume on globalisation and development is part of a larger Elgar Handbook series on globalisation. Its chapters engage two multidimensional concepts: globalisation and development. In doing so, it does not impose a particular conception of either. Rather, authors were given full rein to treat these subjects as they thought best in light of their particular subjects. The volume is structured around seven subjects: international trade, international production, international finance, migration, foreign aid, a broader view and challenges. The volume’s chapters provide important insights into each of these realms of globalisation and development.

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Sarianna M. Lundan

This chapter examines the governance of multinational enterprises from two perspectives, namely, from the viewpoint of the owners and managers of the firm, and how the firm governs itself, particularly with respect to the relationship between the headquarters and subsidiaries, as well as between the subsidiaries and local actors in the host countries. The chapter suggests that, as MNEs from developed home countries have become increasingly geographically diverse in their operations, they have also become more diverse in terms of their corporate governance, including firms that are directly or indirectly owned by governments. Multinationals from developed countries have become accustomed to a wider societal role, which makes them visible as social and political actors not only in terms of their corporate social responsibility activities, but also as partners in various multi-stakeholder initiatives and public–private partnerships.

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Edited by Kenneth A. Reinert

Characterised by conceptual diversity, the Handbook of Globalisation and Development presents contributions from prominent international researchers on all aspects of globalisation and carefully considers their role across a whole host of development processes. The Handbook is structured around seven key areas: international trade, international production, international finance, migration, foreign aid, a broader view, and challenges. Adopting a multi-disciplinary approach, the section on ‘a broader view’ delves into dimensions of globalisation and development that go beyond the mere economic, such as: culture, technology, health, and poverty. Carefully crafted, the chapters herein offer a rigorous and comprehensive assessment of the available research to date and provide an assessment of policy options across all areas considered.
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Amanda Klekowski von Koppenfels

Human trafficking, defined as the recruitment, transport or receipt of individuals for the purpose of exploitation, is perhaps the most negative phenomenon linked to globalisation. The link between migration and human trafficking is close, although domestic trafficking can and does occur. This chapter looks at human trafficking taking globalisation into account. It examines the questions of the definition and understanding of trafficking, as well as exploring the difficulties of establishing good quantitative measures of the extent of trafficking, and concludes with a look at the interactions between counter-trafficking efforts and border control.

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Louise Shelley

Illicit trade exists in many diverse commodities that often do not receive the attention they deserve. Whereas significant attention is focused on the drug trade, there are many less-recognized forms of illicit trade, including trade in wildlife, people, counterfeits and antiquities. Illicit trade is more than a competitor to legitimate business. The rise of illicit trade has had an economic impact and some forms of this trade undermine the sustainability of the planet. There are also important national security implications as illicit trade exists in arms, dual-use materials for weapons of mass destruction, and terrorists are increasingly relying on illicit trade to fund their activities. The strategies to address illicit trade need to be multifaceted involving many different sectors of society as well as government. Public–private partnerships are key in addressing this problem.

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Miranda Forsyth

Intellectual property regulation is increasingly tied to almost every aspect of development. As such, it is both hotly contested and highly politicised, with divisions of interest between the global North and the global South, and important contestations within those groupings. This chapter provides a broad overview of the issues at stake and the some of the important context needed to understand the various sides of the debates.

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Kimberly Ann Elliott

Sweatshop scandals in which workers are harshly exploited and sometimes even die in horrible industrial accidents appear regularly in the international media. Yet those same sweatshops also create millions of jobs, many of them filled by young women with few alternatives to earn a living. So is globalisation leading to a race to the bottom or the top for the world’s workers? Would improving labor standards threaten jobs in poorer exporting countries? Alongside the debate over the economics of trade and labour standards, there is a political economy debate over the use of trade sanctions to enforce standards. Overall, the available evidence suggests that globalisation and labour standards can be complementary rather competing paths to improved living standards in developing countries. The tools for promoting labour standards alongside globalisation remain relatively weak, however.

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Irena Omelaniuk

Migration is a defining feature of globalisation and development, both within and across borders. The world is highly mobile, with more than 1 billion persons estimated to be living outside their country or region of origin. Alongside trade and finance, migration contributes to local and global development, its aggregate financial gains far exceeding official development aid. Yet there is no comparable free movement of labour. Migration raises new questions about globalisation, such as how to reconcile domestic immigration laws with global market forces, how to protect transient global workers, adapt local skills development to global labour needs and manage mass displacements owing to climate change and crises. These are pressing challenges for governance and international cooperation which, if neglected, place migrants and their families at risk, damage the credibility of migration and reduce the gains of globalisation. Yet migration is not regulated or coordinated globally, and the international system around migration remains fragmented and slow to cohere around these challenges. Is it time to revisit a global migration governance regime? Who would or could enforce it?

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Damien Kingsbury

This chapter discusses the idea of politics as part of, and central to, the process of development whereby people try to improve the quality of their lives. It suggests that, while such an idea is inherently normative, there is a range of sub-categories around which there is some agreement. The idea of a large, bonded political community is basic to political interaction, may express itself as a claim to nationhood, and the people of such a nation may wish to define themselves in relation to a usually delineated territory. This implies institutions serving the people of the territory, giving rise to the notion of the state. The chapter notes that these ideas are relatively innocuous, except where there is disagreement about who is and is not a member of the nation, whether the state is actually representative and whether its government is viewed as legitimate. This then raises the questions of voluntarism and compulsion about state membership, repression, opposition and transitions to and from authoritarianism. The counterpoint to such authoritarianism is the idea of a representative, accountable and presumably transparent political process, usually through a free and fair electoral process. However, such an outcome is not inevitable and, once it has been achieved, it is not always sustained.

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David A. Clark, Shailaja Fennell and David Hulme

Poverty and inequality are complex social phenomena that can be defined in different ways and framed in terms of three overarching ‘meta-dimensions’ – depth (or severity), breadth (or multidimensionality) and duration (or persistence). Few concepts or measures come close to capturing the full complexity of these phenomena and some approaches even allow for a certain amount of imprecision in their specification. The relationship between poverty and inequality is also complex and varies across time and geographical space. As globalisation has gathered pace, economic growth has been associated with both reductions in global poverty and greater disparities in wealth.