The Great Divergence: Phase III

This lecture explores the historical narrative of globalisation in Phase III, focusing on the Great Divergence period from 1820 to 1990. It covers the four phases of globalisation, the impact of the steam and ITC revolutions, the role of trade liberalisation, and the significant transitions in production and consumption. The lecture delves into the geopolitical context, the rise of the G7 economies, the effects of peace, steam power, and trade liberalisation on global trade, and the dynamics of industrialisation in different regions. It also discusses the evolution of tariffs, the shift from commodities to manufactured goods in trade, and the political economy logic behind trade protection and liberalisation.