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Economic Globalization: How Far and How Much Further?

The concept of globalization has received a great deal of popular attention in recent years. However, the term is often used quite loosely. When defined to mean closer international economic integration the evidence shows that the extent of globalization may easily be exaggerated. This article examines the evidence and assesses the benefits from and costs of globalization. It goes on to discuss how the costs might be mitigated and briefly examines the role of the principal international trade and financial institutions.