The world economy, or global economy, generally refers to the economy, which is based on economies of all of the world's countries' national economies. Also global economy can be seen as the economy of global society and national economies – as economies of local societies, making the global one. It can be evaluated in various kind of ways.
The global economy has changed in very significant ways during the past several decades, and these changes are rooted in how the global economy is organized and governed. These transformations affect not only the flows of goods and services across national borders, but also the implications of these processes for how countries move up (or down) in the international system. The development strategies of countries today are affected to an unprecedented degree by how industries are organized, and this is reflected in a shift in theoretical frameworks from those centered around the legacies and actors of nation-states to a greater concern with supranational institutions and trans- national organizations. Policymakers, managers, workers, social activists, and many other stakeholders in developed as well as developing nations need a firm understanding of how the contemporary global economy works if they hope to improve their position in it, or forestall an impending decline.
Addressing limitations in the way nations tackle shared economic challenges, the Global Economy program is a central area of CENGSSUD expertise. It strives to inform and guide policy debates through world-leading research and sustained stakeholder engagement. In undertaking its research, the program leverages its comparative advantage in bridging the gap between economic and political economy analysis.