The Economic North-South Divide

Book excerpt: This is a distinguished book written by two distinguished analysts of, and commentators on, the outcomes and processes that have dominated the evolution of the global economic order over the last sixty years. S. Subramanian, Journal of Social and Economic Development What Raffer and Singer chose to do, they have done very well indeed. Saud Choudhry, Development Policy Review Since the 1940s, development thinking has been the subject of fierce debate and continual evolution. The authors of this book trace the ideas that have driven changing approaches to development, focusing also on the Prebisch Singer Thesis, which seeks to explain the widening gaps between rich and poor nations, caused by unequal distribution of trade benefits. They discuss both aid during and after the cold war, and the rise and subsequent liberalisation crisis of the Asian Tiger Economies . The Economic North South Divide goes on to explore the structural roots of the debt crisis and considers the impact of debt management on North South economic relations, exposing certain double standards that tilt global markets further against the South. Encouraged by recent successful opposition to neoliberalism, the authors finally propose ideas for a world where people seem to matter. This book is a welcome addition to the debate and will appeal to anyone interested in economic development and history.