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Globalisation and its effects on the world economy

We estimate that the current wave of globalisation is responsible for around a third of the pick-up in global per capita income growth since 1990. Almost all of that reflects an improvement in productivity growth in emerging economies. For advanced economies, globalisation has had a marked impact on the distribution of income, but the effect on aggregate growth has been small. That suggests emerging markets would be at far greater risk if globalisation were to go into reverse.

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