| ID | 114495 |
| Title Proper | Global networks and domestic policy convergence |
| Other Title Information | a network explanation of policy changes |
| Language | ENG |
| Author | Cao, Xun |
| Publication | 2012. |
| Summary / Abstract (Note) | National economies are embedded in complex networks such as trade, capital flows, and intergovernmental organizations (igos). These globalization forces impose differential impacts on national economies depending on a country's network positions. This article addresses the policy convergence-divergence debate by focusing on how networks at the international level affect domestic fiscal, monetary, and regulatory policies. The author presents two hypotheses: first, similarity in network positions induces convergence in domestic economic policies as a result of peer competitive pressure. Second, proximity in network positions facilitates policy learning and emulation, which result in policy convergence. The empirical analysis applies a latent-space model for relational/dyadic data and indicates that position similarity in the network of exports induces convergence in fiscal and regulatory policies; position similarity in the network of transnational portfolio investments induces convergence in fiscal policies; and position proximity in igo networks is consistently associated with policy convergence in fiscal, monetary, and regulatory policies. |
| `In' analytical Note | World Politics Vol. 64, No.2; Jul 2012: p.375-425 |
| Journal Source | World Politics Vol. 64, No.2; Jul 2012: p.375-425 |
| Key Words | Global Networks ; Domestic Policy Convergence ; Globalization ; Domestic Economic Policies ; Global Economy ; Global Market ; International Political Economy ; Social Welfare Policies ; Developing Countries |