Premium
Misthinking Globalisation: Twentieth‐Century Paradigms and Twenty First‐Century Challenges
Author(s) -
Baldwin Richard
Publication year - 2014
Publication title -
australian economic history review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.493
H-Index - 16
eISSN - 1467-8446
pISSN - 0004-8992
DOI - 10.1111/aehr.12046
Subject(s) - unbundling , globalization , consumption (sociology) , production (economics) , fell , industrial revolution , supply chain , economic globalization , meaning (existential) , scale (ratio) , economics , economic geography , economy , international trade , business , market economy , industrial organization , geography , political science , sociology , law , cartography , social science , psychology , marketing , psychotherapist , macroeconomics
Accounts of globalisation fail to distinguish the current globalisation from that which followed the industrial revolution. Before the industrial revolution most economic activity was local, with production and consumption bundled in the close geographic proximity. In the first globalisation, production and consumption unbundled on an unprecedented global scale as natural and man‐made trade costs fell. In the second unbundling the production process itself is being unbundled globally, with traditional ‘made in’ labels losing meaning as supply chains become more and more complex.