A common critique of globalization is that it causes economic segmentation and even disintegration of the national economy. Quite to the contrary, Baldev Raj Nayar provides a thorough empirical treatment of India’s political economy that challenges this critique by demonstrating that, on balance, both state and market have functioned to attenuate such a disintegrative impact and to accentuate economic integration. The active role of the Indian state in the areas of economic planning, fiscal federalism, and tax reform has resulted in improved economic integration and not increased segmentation. Similarly, his investigation of trade, investment, entrepreneurship, and migration suggests tendencies inherent in the market in favor of economic integration, especially when assisted by the state. While globalization has its benefits, such as higher economic growth, and costs, such as external shocks, Nayar’s findings show that India has benefited from globalization more than it has been victimized by it. Globalization and India’s Economic Integration shows how globalization’s pressures favoring efficiency paradoxically induced the state to push for consolidation on a pan-Indian scale in the area of fiscal federalism and to advance the cause of the common market through reforming the indirect tax system; meanwhile, the state has pressed forward with social inclusiveness as never before in its economic planning. For another, the market, too, has been instrumental, because of its widened scope and its inherently expanding character, in strengthening economic integration through trade expansion, diffusion of industry, and increased inter-state migration. Nayar’s groundbreaking work will interest students, scholars, and specialists of India, South Asia, globalization, and political economy.

After nearly five decades of insulation from world markets, state controls, and slow growth, India embarked in 1991 on a process of liberalization of controls and progressive integration with the global economy in an effort to put its economy on a path of rapid and sustained growth. Despite major changes in the government since then, the thrust on reforms has been maintained. According to the World Bank, only 10 out of 145 countries had more rapid growth than India at over 6 percent per year in the 1990s and two had the same as India's. In this study, T.N. Srinivasan and Suresh D. Tendulkar analyze the economics and politics of India's recent and growing integration with the world economy. They argue that this process has to be nurtured and accelerated if India is to eradicate its poverty and take its rightful place in the global economic system.The study covers the historical roots and the political economy of India's late integration; domestic and external constraints on integration; external capital inflows including foreign direct investment; and India's emerging comparative advantage in the information technology industry and services, particularly computer software. The final chapter offers policy recommendations including proposals that India could make at the ongoing Doha Round of multilateral trade negotiations.

This study of India's political economy provides a thorough examination of one critique of globalization, that it causes economic segmentation, and possibly disintegration, of the national economy as some sectors benefit and others are left behind. Economic segmentation is the breaking up of national markets, resulting in distinct winners and losers. Nayar's examination challenges this critique by demonstrating that, on balance, the active role of the Indian state in the areas of economic planning, fiscal federalism, and tax reform has resulted in improved economic integration, not increased segmentation. Similarly, his investigation of trade, investment, entrepreneurship, and migration, all reveal tendencies inherent in the market in favor of economic integration, especially when assisted by the state. Nayar's findings lead to the conclusion that while globalization both offers benefits (greater economic growth) and involves costs (external shocks), India's experience since its opening in 1991 suggests that India has benefited from, more than been victimized, by globalization.

The momentum of economic progress in India and China will bring about the next major shift in geopolitics. This book analyzes the economic experience of both countries in the context of development and globalization, and offers insights that could be crucial for development thinking.

The Pacific Trade and Development (PAFTAD) conference series has been at the forefront of analysing challenges facing the economies of East Asia and the Pacific since its first meeting in Tokyo in January 1968. The 38th PAFTAD conference met at a key time to consider international economic integration. Earlier in the year, the people of the United Kingdom voted to leave the European Union and the United States elected Donald Trump as their next president on the back of an inward-looking ‘America First’ promise. Brexit and President Trump represent a growing, and worrying, trend towards protectionism in the North Atlantic countries that have led the process of globalisation since the end of the Second World War. The chapters in the volume describe the state of play in Asian economic integration but, more importantly, look forward to the region’s future, and the role it might play in defending the global system that has underwritten its historic rise. Asia has the potential to stand as a bulwark against the dual threats of North Atlantic protectionism and slowing trade growth, but collective leadership will be needed regionally and difficult domestic reforms will be required in each country.

Noel Gaston and Ahmed M. Khalid s volume offers fascinating insights on the development, causes, and consequences of globalization in the Asia-Pacific. The outstanding collection of chapters combines theory with rigorous econometrics, making the book a must-read for every student of globalization. At a time where the global crisis gave new arguments to the critics of globalization, the questions raised in this book, and the answers given, are essential reading for academics and politicians alike. Axel Dreher, University of Goettingen, Germany Given the importance of globalization in today s world, this salutary and timely book explores how globalization is specifically shaping the Asia-Pacific. It investigates future prospects and challenges, identifies the key winners and losers, and concludes in many cases that the portents for globalization are not particularly promising. Prominent economists and policy scholars examine a wide range of topics pertinent to globalization and economic integration in the Asia-Pacific, encompassing macroeconomic coordination and financial market integration; regionalism and preferential trade agreements; and immigration and labor markets, including gender issues and the impact of outsourcing. Through these analyses, the expert contributors illustrate the importance of market participants and regulators clearly understanding the risks associated with the present stage of globalization. They show that national policy makers need to reconfigure the regulatory framework following international lessons from previous financial crises experienced in the last two decades, and that financial literacy is essential for market participants, especially in emerging economies. Many of the issues discussed will prove useful in promoting the development of a new international financial architecture, comprising measures that will help reap the full benefits of globalization. This stimulating and challenging book will strongly appeal to academics, advanced undergraduates, postgraduates, researchers, and policy makers in the fields of Asian studies, international economics, and international business.

This study systematically evaluates the economic consequences of globalization for India in the light of the attack of the critics against globalization on grounds of economic stagnation, ?deindustrialization,? ?denationalization,? destabilization, and impoverishment. On the basis of abundant qualitative and quantitative data, it strongly repudiates the case of the critics, and demonstrates that India has been a significant beneficiary of the globalization process. Instead of economic stagnation, India has seen acceleration in its average annual rate of economic growth. Instead of deindustrialization, there has been substantial industrial growth and, indeed, acceleration in the industrial growth rate.Instead of denationalization, business in India is now more competitive and is venturingforth into the global market; increased imports and the entry of foreign multinationalshave not swamped it; essentially, India is master of its own destiny. Instead of economicdestabilization, there has been since the paradigm shift in economic policy in 1991 a marked absence of economic crisis in India. And, instead of impoverishment, India hasseen a long and unprecedented period of welfare enhancement since it began its reintegration into the world economy in 1975; there has been a secular decline in povertysince then, while inequality has not increased much. The policy conclusion that flows from this experience is that India ought to be, in general, more open to globalization in the interest of sustaining the acceleration in economic growth and enhancing the welfare of its people. To this end it should push forward with the reform agenda.This is the twenty-second publication in Policy Studies, a peer-reviewed East-West Center Washington series that presents scholarly analysis of key contemporary domestic and international political, economic, and strategic issues affecting Asia in a policy relevant manner.