Somel on Surplus Allocation

[Gernot Köhler <gko15@xxxxxxxxxxx>]

An interesting new paper by Cem Somel (Department of Economics,
Middle East Technical University, Ankara, Turkey) on:

?Surplus Allocation and Development under Global Capitalism?
(ERC Working Papers in Economics 05/05, October 2005)

The URL for the paper is:
http://www.erc.metu.edu.tr/menu/series05/0505.pdf


Taking Baran and Sweezy (1966) as his point of departure, Somel explores the
topic of surplus in the world system. The discussion combines theory and
data analysis (oops, analysis of stylised facts). He explains:

?This essay is an endeavour to understand and assess the developmental
consequences of global economic integration by focussing on the generation,
transfer
and utilization of the global surplus. It tries to address the following
questions: (1)
How does globalization affect surplus generation? (2) Where does the global
surplus
accumulate? (3) How is the global surplus absorbed? (4) What prospects does
this
pattern of absorption hold for the capital accumulation needs of poor
countries??


GK