Globalization in one country? The peculiarities of the British

Abstract

Abstract What is the position of the UK economy in the international system? In this article we draw attention to the peculiarities of the UK case as compared to the other G7 economies. We argue that the UK represents an 'over-internationalized economy in an under-globalized world'. Far from the UK lagging behind a rapidly integrating world economy, it is way ahead of the game. The historical nature of the UK's heavy engagement with the international system is highlighted and the contemporary significance of its integration is analysed. This is done in respect to both the real and the financial sides of the economy. Finally, we ask whether it is possible to re-domesticize the UK economy - to stimulate indigenous economic activity at the expense of excessive overseas production and investment. This article draws attention to the special case of the UK in a preliminary manner without pursuing all its theoretical, empirical, or policy implications. At this stage we are concerned to highlight a series of potential issues and problems rather than fully to explore their determinants and consequences. Keywords: Uk EconomyGlobalizationFinancial IntegrationOverseas InvestmentCyclical Economic ActivityThe Uk And The Eu