Summer 2005	Professor J. Lawrence Broz
Joint UC-Lund Summer Program: Europe and America—A Dialog on Critical World Issues	Associate Professor Department of Political Science University of California, San Diego
URL: http://dss.ucsd.edu/~jlbroz/Courses/Lund/	JLBROZ@UCSD.EDU
	Office Hours: 13.00-15.00 at the UC Study Center

 

The Political Economy of Globalization

 

This course examines the evolution of the world economy from the late nineteenth century to the present.  Our purpose is not only to describe the historical trends in the international economy but also to explain the causes and the consequences of these trends.  Students come away with the basic tools they need to understand the global economy, and the politics of international economic relations. 

 

The history of the modern world economy divides into three periods.  The Golden Age (1870-1913) was a period of extensive globalization; in some respects, nations were more economically integrated then than now.  The Golden Age came to an end with the Interwar Interregnum (1919-1939), which saw nations abandon the world economy and turn inward behind high protectionist barriers and restrictions on international capital flows.  Postwar Globalization (1945-2003) saw the gradual reemergence of the world economy, a trend that is now threatened by politics, anti-globalization forces, and crises in global finance.

 

Prerequisites: Familiarity with political science and economics is helpful but not required.  We will cover the necessary material.

 

Grading and Course Requirements: Grades will be based on two take-home exams and class discussion.  Each exam will be 6-10 double-spaced pages in length (maximum of 16,000 characters, no spaces) and will comprise 40 percent of the grade for the course. Class participation will account for the remaining 20 percent of the final grade.

 

Required Readings –Books:

 

• Jeffry A. Frieden, The World Economy in the Twentieth Century (forthcoming 2005).  An electronic version in PDF format is currently available at http://www.people.fas.harvard.edu/~jfrieden/manuscript/index.htm

 

• Peter Gourevitch, Politics in Hard Times: Comparative Responses to International Economic Crises (Ithaca: Cornell University Press, 1986). ISBN 0801494362

 

Required Readings – Articles: Journal articles and book chapters are marked on the reading list with an asterisk (*).

 

Reading tips: UC students may want to buy the Gourevitch book before they leave the U.S. Amazon offers it used for under $10.  All readings will also be on reserve in the Political Science Library at Lund University.  Please complete the assigned readings by the day for which they are assigned.  The reading load is moderate though not evenly distributed.  Pay particular attention to weeks with heavier assigned readings and plan accordingly.  The lecture and reading schedule is tailored to fit the structure of the course but may change to accommodate extended or abbreviated coverage of particular topics.

 

WEEK 1: INTRODUCTION

1.  Course Overview

• *Jeffrey Frankel, “Globalization of the Economy,” in Governance in a Globalizing World.  Edited by Joseph S. Nye and John D. Donahue, pp. 45-71 (Washington, DC: Brookings Institution Press, 2000) ISBN: 0815764073

2. Understanding Globalization: International Trade and Finance

• *Joseph M. Grieco and John Ikenberry, “The Economics of International Trade,” in Joseph M. Grieco and John Ikenberry, State Power and World Markets The International Political Economy (W.W. Norton & Co., 2003): pp.19-56.
• *Joseph M. Grieco and John Ikenberry, “The Economics of International Money and Finance,” in Joseph M. Grieco and John Ikenberry, State Power and World Markets The International Political Economy (W.W. Norton & Co., 2003): pp. 57-91 [NOTE: THIS IS AN OPTIONAL READING]

3. Prologue to the late 19th century

• Gourevitch, pp. 17-68
• Frieden manuscript, Prologue: “Into the Twentieth Century.”

WEEK 2: THE GOLDEN AGE, 1873-1914

1. Overview of The Golden Age

• Frieden manuscript, Chapter 1, “A Global Economy.”

• Frieden manuscript, Chapter 2, “Ruling the Global Economy”

2. Movement of Money, Capital, and People

• Frieden manuscript, Chapter 3, “Catching Up.”
• *Jeffrey G. Williamson, “Globalization and Inequality, Past and Present,” The World Bank Research Observer, Vol. 12 No. 2 (1997), pp. 117-135.

3. Divergent Patterns of Development

• Frieden manuscript, Chapter 4, “Falling Behind.”
• *Stanley Engermann and Kenneth Sokoloff, “Factor Endowments, Institutions, and Differential Paths of Growth Among New World Economies,” in Stephen Haber, ed. How Latin America Fell Behind, Stanford CA: Stanford University Press, 1997.

4. Opposition to Globalization

• Frieden manuscript, Chapter 5, “Problems”
• Gourevitch, pp. 71-123

 

WEEK 3:  INTERWAR INTERREGNUM, 1918-1939

1.  World War I, Recovery, and Collapse

• Frieden manuscript, Chapter 6, “Collapse”
• Frieden manuscript, Chapter 7, “Advances”     
• Frieden manuscript, Chapter 8, “What Went Wrong?”

2.  Responses to the Great Depression

• Frieden manuscript, Chapter 9, “Autarkies.”
• Frieden manuscript, Chapter 10, “Social Democracies.”
• Gourevitch, pp. 124-166

3.  Settlement and Reconstruction

• Frieden manuscript, Chapter 11, “Reconstruction.”

 

WEEK 4: POSTWAR GLOBALIZATION, 1945-2003

 1. Bretton Woods System, 1950-1973

• Frieden manuscript, Chapter 12, “Bretton Woods.”
• Frieden manuscript, Chapter 15, “Problems.”

• Frieden manuscript, Chapter 13, “Decolonization and Development.”

2. Trade, Money, and Finance, 1973-2000

• Frieden manuscript, Chapter 16, “A Global Economy, Again”
• Frieden manuscript, Chapter 17, “Ruling the Global Economy”

• Frieden manuscript, Chapter 18, “Catching Up”

3.  Current Tensions with Globalization

• Frieden manuscript, Chapter 19, “Falling Behind”
• Frieden manuscript, Chapter 20, “Problems”

• *Richard B. Freeman, “Are Your Wages Set in Beijing?” Journal of Economic Perspectives, 9, 3 (1995): 15-31.
• *Alan V. Deardorff and Robert M. Stern, “What You Should Know About Globalization and the WTO.” Review of International Economics 10, 3 (August 2002).