Abstract

In this paper we look at the process of globalisation according to a technological and institutional perspective. We take as starting point of globalisation in the modern sense the Industrial Revolution of the late 18th century England in which the capitalist institutional set-up met scientific technology. Since then economies have become more and more integrated because of both technologies and institutions. As usual we ask the question of who benefited more from globalisation and growth. Despite the fact that neoclassical theory predicts convergence between economies, empirical evidence if far from giving a final answer. Success of the policies based on privatisations, liberalisation, stabilisation and the broad opennessfosters- growth idea can always be contrasted with counterexamples in which protectionism and the visible hand of the state have actually promoted development.