Globalisation, privatisation and market economy

Globalization, privatization and liberalization have become dominant forces shaping societies and economies the world over. These three processes are interrelated phenomena. Globalized economies are likely to be more privatized and liberalized economies. Globalization, privatization and liberalization are multidimensional phenomena that have implications not only on the economic but also on the sociocultural and environmental aspect of countries and societies.

One of the major consequences of globalization, privatization and liberalization is the acceleration in foreign direct investment flows. While foreign direct investment has been increasing for sometime among the developed triad countries, in recent years it has spread to other parts of the world, especially to the giant emerging economies. The privatization 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 chapters in this book deal with all of these, reflecting the multilevel aspects of globalization, privatization and liberalization forces shaping world economies.