The challenge of global capitalism

The international community has another chance to solidify the global market economy that collapsed with the outbreak of World War I. Yet, writes Gilpin, the full implications of this historic development for international affairs are not yet clear. Will socialist economies make a successful transition to market-type economies? What role will a dynamic China play in the world economy? Will the United States continue to exercise leadership or gravitate toward self-centered policies? Gilpin explores such questions along with problems in the areas of trade liberalization, multinational corporations, and destabilizing financial flows. He also investigates the struggles of less developed countries and the spread of economic regionalism, particularly in Europe, North America, and Pacific Asia, which directly threatens an open world economy.

The author maintains that global capitalism and economic globalization have rested and must continue to rest on a secure political foundation. However, this foundation has eroded since the end of the Soviet threat. To ensure survival of the global economy, Gilpin concludes, the United States and other major powers must recommit themselves to working together to rebuild its weakened political foundations.

Robert Gilpin is the Eisenhower Professor of Public and International Affairs Emeritus at Princeton University. His works include The Political Economy of International Relations (Princeton) and War and Change in World Politics.

Endorsements:

"The Challenge of Global Capitalism describes the opportunities, the complexities, and the risks inherent in the globalized economy with the clarity and breadth of analysis characteristic of Robert Gilpin. His cool and balanced appraisal is a needed antidote to the sense of triumphalism that characterizes too much of American thinking at the end of the century. Required reading for students of political economy."--Paul A. Volcker, Former Chairman, Board of Governors, Federal Reserve

"The demise of the Soviet Empire did not bring about the new World Order. Indeed, 'market economy' and 'democracy' have become buzzwords for everybody. However, what we see today is increasingly unstable and under-governed global economy. Robert Gilpin's The Challenge of Global Capitalism explores what went wrong and convincingly calls for effective international leadership and strengthened cooperation among the major industrialized powers."--Toyoo Gyohten, President of Institute for International Monetary Affairs

"The Challenge of Global Capitalism is an authoritative review of the major aspects of today's world political economy by the world's leading political scientist working on the subject. It offers a clear description of a whole array of contemporary issues, a sustained critique of the economist's viewpoint--the most cogent by a political scientist of which I am aware--and some genuinely new material for scholars and students. All of this is explained through the author's distinctive perspective."--Robert O. Keohane, Duke University