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An empirical assessment of the center-periphery hypothesis in international economic relations

Posted on:1989-01-15Degree:Ph.DType:Dissertation
University:Portland State UniversityCandidate:Shirazi, Fazlollah BonakdarFull Text:PDF
GTID:1479390017956264Subject:Economics
Abstract/Summary:
This study investigates hypotheses advanced by dependency theory and, more particularly, by Galtung's Structural Theory of Imperialism.;The synchronic properties of the center-periphery relationship are tested for 127 countries for the years 1962, 1970, and 1980 with bivariate correlation calculations among ten variables: (1) Trade Partner Concentration; (2) Total Trade Linkages; (3) Import Partner Concentration; (4) Export Commodity Concentration; (5) Import Commodity Concentration; (6) Vertical Trade; (7) Physical Quality of Life Index; (8) Percent Share of GDP in Agriculture; (9) GNP Per Capita; and (10) Export Dependency.;The diachronic properties of the world system at the regional and global levels are investigated by: (1) developing export trade hierarchies to identify center and associated periphery countries; (2) comparing regional and global averages for the national variables; (3) conducting decomposition analysis to assess diversities within and among regions; and (4) calculating system-wide variables, Global Polarization and Global Concentration.;At the national level, all hypothesized relationships among the ten variables are confirmed, except for all relationships involving Import Commodity Concentration and some relationships involving Export Dependency. The Commodity results support the contention of Michaely that import and export commodity concentrations are positively correlated, in contradiction to assertions made by Leontief.;At the regional level, the study reveals that regions are more homogeneous with respect to member countries than the world is with respect to regions. At the global level five major hierarchies (United States, United Kingdom, France, West Germany, and Soviet Union) are identified. The Systemic variables, Global Polarization and Global Concentration showed moderate to high, but constant, levels.;While global averages and averages for the non-industrialized regions show changes in many variables in the direction of reduced world system differentiation, the systemic variables and the results of the decomposition analysis show constancy over time. However, an increased differentiation is suggested by GNP/capita data.;In summary, although systemic changes over time are complex and individual countries may show ascent or decline, the general pattern of differentiation between center and periphery, as proposed by Galtung and others, holds true for the post World War II period.
Keywords/Search Tags:World, Global
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