Populism and the Economics of Globalization
Populism may seem like it has come out of nowhere, but it has been on the rise for a while. I argue that economic history and economic theory both provide ample grounds for anticipating that advanced stages of economic globalization would produce a political backlash. While the backlash may have been predictable, the specific form it took was less so. I distinguish between left-wing and right-wing variants of populism, which differ with respect to the societal cleavages that populist politicians highlight. The first has been predominant in Latin America, and the second in Europe. I argue that these different reactions are related to the relative salience of different types of globalization shocks.
I am grateful to Michael-David Mangini and Christine Gosioco for research assistance, the Weatherhead Center for International Affairs for research support, and Pol Antràs, Bart Bonikowski, Jeff Frankel, Jeffry Frieden, Peter Hall, and Roberto Mangabeira Unger for helpful comments and conversations. The views expressed herein are those of the author and do not necessarily reflect the views of the National Bureau of Economic Research.
Dani Rodrik, 2018. "Populism and the economics of globalization," Journal of International Business Policy, vol 1(1-2), pages 12-33.