This paper seeks to clarify how domestic and international sources of legitimacy of economic globalization help explain financial liberalization across countries and time. It does so in reaction to the findings on a recent dataset by Abiad and Mody (2005) which suggest that such liberalization...

A common distinction in political economy contrasts the dynamics of free markets with the ‘political’ dynamics of governance. That distinction portrays ‘economic’ competition as separate from the deployment of private political resources to affect the terms of competition in line with...