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Globalization is one of the important issues confronting developing countries. While globalization means different things to different people, this study interprets it as the component that arises from trade liberalization. Some argue that the inability of countries to integrate into the global economy because of a complex set of factors, including domestic policies, institutions and infrastructure, can cause economies to contract and poverty to rise, while others say that trade liberalization could help developing countries to address poverty issues more effectively. But, as Bardhan (2005) argues, the net impact of globalization on poor people is complex and context-dependent, making it an appropriate case for empirical analysis.

Vulnerability to Globalization in India: Relative Rankings of States Using Fuzzy Models