Proceedings of the Conference on Globalization and Its Discontents

This article investigates the social impact of globalization as measured by economic liberalization. This study attempts to answer four questions using cross-section of countries: Does globalization spur human development? Is globalization related to gender related economic development? Does globalization exacerbate income inequality? Finally, what is the impact of globalization on different income group? Regression analysis for cross-section of about 150 countries indicates that there is a strong relation between globalization and human development and gender related development indexes for entire counties. However, only high-income countries show a significant relation. One impression emerges from the study is that the key consideration in determining a country's position in human development ranking is not related to globalization for developing countries at low or low-middle income groups. Globalization perhaps is important for human development only after certain level of income growth. Also, the results indicate that globalization exacerbates income inequality is for the all income groups, but the relation does not hold when testing for different income levels.globalization, economic liberalization, income inequality

An Application of the Theory of Foreign Direct Investment to Multinational Banking in LDCs

For assessing the determinants of MNBs' expansion into LDCs, a model that incorporates both supply and demand factors is constructed. A reduced form of the model is tested by using pooled data over the period 1975–1982 for a sample of twenty-three LDCs. The results of the study indicate that market size, the presence of multinational corporations from the home country, the extent of economic development, and the balance of payments are all significant determinants of the growth of MNBs in LDCs.© 1988 JIBS. Journal of International Business Studies (1988) 19, 433–447