Globalization and the race to the bottom in developing countries : who really gets hurt? /

The surprising finding presented by Rudra (Univ. of Pittsburgh) is that the poorest in the developing world are not those hurt by globalization through the "race to the bottom." This volume distinguishes itself by not blaming globalization for lowering the living standards of the poor, but focusing instead on how domestic institutions minimize the costs of opening to forces in the international economy. Given that the marginalized in developing societies were rarely protected by social safety nets, competition to attract foreign investment by lowering social standards did not affect the poor but rather the middle class. Predicated upon an exhaustive review of the literature and systematic empirical work, this study provides a clear description of data, variables, and approaches, making it an exemplary exercise in methodology. It is limited, however, by the fact that its data set ends in 1996; technological changes in globalization led by the deeper penetration of the Internet may generate different results. The careful empirics are supplemented by instructive case studies to test the results for the cases of Brazil, Korea, and India. Summing Up: Highly recommended. Academic and research collections, upper-division undergraduate and up. Patrice M. Franko Colby College