Globalization, Privatisation and Market Economy

PREFACE

Globalisation, privatisation and li!>eralisation have become
dominant forces shaping societies and economies the world over.
With the fall of communism and the decline of socialism in most parts
of the world. These three processes are interrelated phenomena.
Globalised economies are likely to be more privatized and liberalised
economies. Globalisation, privatisation and liberalisation are
multidimensional phenomena that have implications not only for the
economic but also the sociocultural and environmental aspects of
countries and societies.
The three phenomena that form the focus of this volume also
have differing impacts on different units of analysis. For purposes of
understanding and analysing these three forces, the units of analysis
can be conceived at regional, country, industry and organizational
levels. The chapters in this book deal with all of these, reflecting the
multilevel aspects of globalisation, privatisation and liberalisation
forces shaping world economies.
One of the major consequences of globalisation, privatisation and
liberalisation is the acceleration in foreign direct investment flows.
While foreign direct investment has been increasing for some time
among the developed triad countries, in recent years it has spread to
other parts of the world, especially to the giant emerging economies.
The privatisation and liberalization policies pursued by these
emerging economies have created new opportunities for foreign direct
investment International investors now face difficult problems such
as choosing countries, evaluating risk-return relationships and
assessing profitability in private and public sectors.
The Market is about economy. The Market is not what people do
and think and how they interact when they buy and sell, give and

take. Instead, it is a conception people have about an idealised form of
buying and selling. This conception is important. It is invoked,
implicitly or explicitly. It is invoked when the British debate selling
state-owned industries or the Common Market or labour legislation.
These debates concern many issues and reflect many interests.
However, running through them, on one side or another, is a claim
and a belief that a certain sort of buying and selling benefits all those
involved economically, politically, socially and even morally. And
that that is the sort of buying and selling associated with the Free
Market The idea of the Market has many roots, butits most important
historical ones are lodged in British soil, in the writings of political
economists However, in popular consciousness the idea flourishes
best in the United States, with its long traditions of that secular,
acquisitive individualism and concern with equality of process rather
than of outcome that form part of the Market.
I have consulted various authors and derived much from their
thinking and thoughts. I am grateful to them and record my thanks.
Also, I ~thank my family for extending wholehearted support during
the compilation of this book. And finally, my thanks are due to
Aavishkar Publishers, Distributors for bringing out this book in a
pleasing and attractive manner.
Editor