Beginning with the 1989 end of the Cold War and the subsequent collapse of communism, this book focuses on globalization and rapid technological change and covers economic developments and political cultures. It demonstrates the fragility of a global and integrated economy and recommends what can be done to strengthen it.

Yet, writes Gilpin, the full implications of this historic development for international affairs are not yet clear. Will socialist economies make a successful transition to market-type economies? What role will a dynamic China play in the world economy? Will the United States continue to exercise leadership or gravitate toward self-centered policies? Gilpin explores such questions along with problems in the areas of trade liberalization, multinational corporations, and destabilizing financial flows. He also investigates the struggles of less developed countries and the spread of economic regionalism, particularly in Europe, North America, and Pacific Asia, which directly threatens an open world economy. The author maintains that global capitalism and economic globalization have rested and must continue to rest on a secure political foundation. However, this foundation has eroded since the end of the Soviet threat. To ensure survival of the global economy, Gilpin concludes, the United States and other major powers must recommit themselves to working together to rebuild its weakened political foundations.

List of Illustrations vii
Acknowledgments ix
List of Abbreviations Xi
INTRODUCTION The Fragile Global Economy 3
CHAPTER ONE The Second Great Age of Capitalism 15
CHAPTER TWO The Cold War International Economy 52
CHAPTER THREE The Insecure Trading System 88
CHAPTER FOUR The Unstable Monetary System 114
CHAPTER FIVE Global Financial Vulnerability 134
CHAPTER SIX Age of the Multinational 163
CHAPTER SEVEN European Regional Integration 193
CHAPTER EIGHT American Economic Strategy 227
CHAPTER NINE Asian Regionalism 265
CHAPTER TEN Globalization and Its Discontents 293
CHAPTER ELEVEN Managing the Global Economy 325
Notes 359
Select Bibliography 365
Index 371