This text not only helps students understand the fundamentals of how the global economy works but also encourages them to use theory to more fully grasp the connections between key issue areas like trade and development. Written by a leading IPE scholar, Global Political Economy equally emphasizes theory and practice to provide a framework for analyzing current events and long-term developments in the global economy.
Global Political Economy Sixth Edition THEODORE H. COHN Simon Fraser University Longman Boston Columbus Indianapolis New York San Francisco Upper Saddle River Amsterdam Cape Town Dubai London Madrid Milan Munich Paris Montreal Toronto Delhi Mexico City São Paulo Sydney Hong Kong Seoul Singapore Taipei Tokyo To Shirley Senior Acquisition Editor: Vikram Mukhija Editorial Assistant: Beverly Fong Senior Marketing Manager: Lindsey Prudhomme Production Manager: Kathleen Sleys Project Coordination, Text Design, and Electronic Page Makeup: Murugesh Rajkumar/Integra Cover Design Manager: Jayne Conte Cover Designer: Suzanne Duda Cover Illustration/Photo: © Fotolia VII Manufacturing Manager: Kathleen Sleys Printer, Binder, and Cover Printer: Courier Companies Copyright © 2012, 2010, 2008 by Pearson Education, Inc. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise, without the prior written permission of the publisher. Printed in the United States. To obtain permission to use material from this work, please submit a written request to Pearson Education, Inc., Permissions Department, 1900 E. Lake Ave., Glenview, IL 60025 or fax to (847) 486-3938 or e-mail
[email protected] For information regarding permissions, call (847) 486-2635. Library of Congress Cataloging-in-Publication Data Cohn, Theodore H Global political economy : theory and practice / Theodore H. Cohn.—6th ed. p. cm. Includes bibliographical references and index. ISBN-13: 978-0-205-07583-6 (alk. paper) ISBN-10: 0-205-07583-5 (alk. paper) 1. International economic relations. 2. International trade. 3. International finance. I. Title. HF1359.C654 2012 337—dc22 2010042877 1 2 3 4 5 6 7 8 9 10—COS —14 13 12 11 ISBN-13: 978-0-205-07583-6 ISBN-10: 0-205-07583-5 BRIEF CONTENTS Preface x Acronyms and Abbreviations xvii PART I Introduction and Overview 1 CHAPTER 1 Introduction CHAPTER 2 Managing the Global Economy Since World War II: The Institutional Framework 18 PART II Theoretical Perspectives CHAPTER 3 The Realist Perspective 56 CHAPTER 4 The Liberal Perspective 77 CHAPTER 5 Critical Perspectives PART III The Issue Areas CHAPTER 6 International Monetary Relations CHAPTER 7 Global Trade Relations CHAPTER 8 Regionalism and the Global Trade Regime CHAPTER 9 Multinational Corporations and Global Production 249 CHAPTER 10 International Development CHAPTER 11 Foreign Debt and Financial Crises PART IV Concluding Comments CHAPTER 12 Current Trends in the Global Political Economy 382 Glossary Index 409 419 2 52