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Veblen and
Veblen and globalization: globalization
a comment on Wellington and
Zandvakili
529
Ken McCormick
Department of Economics, University of Northern Iowa, Cedar Falls, Iowa, USA
Abstract
Purpose – The purpose of the paper is to examine the claim made by Wellington and Zandvakili that
Thorstein Veblen would be opposed to globalization.
Design/methodology/approach – The approach of the paper is to examine what Veblen actually
said in order to provide evidence from Veblen’s own pen.
Findings – Veblen forcefully argued that trade barriers are another form of business sabotage. Trade
barriers increase business profits but harm the community as a whole. That is because trade barriers
inhibit specialization, and specialization is required for technological progress. Trade barriers
therefore impede progress from the standpoint of humanity as a whole.
Practical implications – National boundaries impede technological development because they
reduce specialization. Trade barriers make the problem worse, and therefore are harmful. Trade
barriers help business at the expense of the general public.
Originality/value – The paper offers an argument for reducing trade barriers that is not derived
from neoclassical economics. It should be of interest to anyone interested in the debate about
globalization as well as those interested in Thorstein Veblen.
Keywords Globalization, Trade barriers, Economic theory
Paper type Research paper
References
Veblen, T. (1914), The Instinct of Workmanship, B.W. Huebsch, New York, NY.
Veblen, T. (1915), Imperial Germany, A.M. Kelley, New York, NY.
Veblen, T. (1919), The Place of Science in Modern Civilization, B.W. Huebsch, New York, NY.
Veblen, T. (1923), Absentee Ownership, A.M. Kelley, New York, NY.
Veblen, T. (1934), Essays in Our Changing Order, A.M. Kelley, New York, NY.
Wellington, D.C. and Zandvakili, S. (2004), “Globalization and inequality according to Veblen”,
International Journal of Social Economics, Vol. 31 Nos 11/12, pp. 1061-70.
Corresponding author
Ken McCormick can be contacted at: mccormick@uni.edu