published as 'Quantifying Globalization' in: Applied Economics, 37 (10), 2005, 1089 - 1098
The multivariate technique of factor analysis is used to combine several indicators of
economic integration and international transactions into a single measure or index of
globalization. The index is an alternative to the simple measure of openness based on trade,
and it produces a ranking of countries over time for 23 OECD countries. Ireland is ranked as
the most globalized country during the 1990’s, while the UK was at the top during the
1980’s. Some of the most notable changes in the rankings are the decline of the US,
Canada, and to a lesser extent Japan. Norway also receives a lower ranking. There are
notable improvements in the ranking for Finland, Italy, Portugal, Spain and Sweden. For
Portugal and Spain the changes seem to follow EU membership in the mid 1980’s.
We use cookies to provide you with an optimal website experience. This includes cookies that are necessary for the operation of the site as well as cookies that are only used for anonymous statistical purposes, for comfort settings or to display personalized content. You can decide for yourself which categories you want to allow. Please note that based on your settings, you may not be able to use all of the site's functions.
Cookie settings
These necessary cookies are required to activate the core functionality of the website. An opt-out from these technologies is not available.
In order to further improve our offer and our website, we collect anonymous data for statistics and analyses. With the help of these cookies we can, for example, determine the number of visitors and the effect of certain pages on our website and optimize our content.