Honorary speech by Nobel Prize winner in economics, Professor Eric Maskin "Why Globalization Has Failed to Reduce Inequality?"
On Wednesday, May 15 the scientific seminar of the International Centre of Decision Choice and Analysis was held. Professor Maskin gave a lecture on "Why Globalization Has Failed to Reduce Inequality?"
Abstract
The theory of comparative advantage predicts that globalization should causeinequality in emerging economies to fall. However, this has not been true of the current globalization (even though the prediction held up well for previous such episodes). Inthis paper, I sketch an alternative theory—developed in collaboration with MichaelKremer—that seems to fit recent history well.