Introduced in 2002
Swiss Economic Institute / Swiss Federal Institute of Technology
KOF Index of Globalization
Introduced in 2002
Swiss Economic Institute / Swiss Federal Institute of Technology
Defines globalization to be ‘a process of creating networks of
connections among actors at multi-continental distances, mediated
through a variety of flows including people, information and ideas,
capital and goods.’
KOF Index of Globalization
Introduced in 2002
Swiss Economic Institute / Swiss Federal Institute of Technology
Defines globalization to be ‘a process of creating networks of
connections among actors at multi-continental distances, mediated
through a variety of flows including people, information and ideas,
capital and goods.’
Three dimensions of the KOF Index of Globalization:
KOF Index of Globalization
Introduced in 2002
Swiss Economic Institute / Swiss Federal Institute of Technology
Defines globalization to be ‘a process of creating networks of
connections among actors at multi-continental distances, mediated
through a variety of flows including people, information and ideas,
capital and goods.’
Three dimensions of the KOF Index of Globalization:
economic globalization
KOF Index of Globalization
Introduced in 2002
Swiss Economic Institute / Swiss Federal Institute of Technology
Defines globalization to be ‘a process of creating networks of
connections among actors at multi-continental distances, mediated
through a variety of flows including people, information and ideas,
capital and goods.’
Three dimensions of the KOF Index of Globalization:
economic globalization
political globalization
KOF Index of Globalization
Introduced in 2002
Swiss Economic Institute / Swiss Federal Institute of Technology
Defines globalization to be ‘a process of creating networks of
connections among actors at multi-continental distances, mediated
through a variety of flows including people, information and ideas,
capital and goods.’
Three dimensions of the KOF Index of Globalization:
economic globalization
political globalization
social globalization
KOF Index of Globalization
Introduced in 2002
Swiss Economic Institute / Swiss Federal Institute of Technology
Defines globalization to be ‘a process of creating networks of
connections among actors at multi-continental distances, mediated
through a variety of flows including people, information and ideas,
capital and goods.’
Three dimensions of the KOF Index of Globalization:
economic globalization
political globalization
social globalization
Index value closer to 100 > the more globalized the country.
KOF Index of Globalization
KOF Index of Globalization - Economic Globalization
Long distance flows of goods, capital and services.
KOF Index of Globalization - Economic Globalization
Long distance flows of goods, capital and services.
Actual economic flows - trade, FDI (foreign direct investment) and
portfolio investment.
KOF Index of Globalization - Economic Globalization
Long distance flows of goods, capital and services.
Actual economic flows - trade, FDI (foreign direct investment) and
portfolio investment.
Restrictions to trade and capital - import barriers, mean tariff rates,
taxes on international trade.
KOF Index of Globalization - Economic Globalization
Long distance flows of goods, capital and services.
Actual economic flows - trade, FDI (foreign direct investment) and
portfolio investment.
Restrictions to trade and capital - import barriers, mean tariff rates,
taxes on international trade.
KOF Index of Globalization - Economic Globalization
Long distance flows of goods, capital and services.
Actual economic flows - trade, FDI (foreign direct investment) and
portfolio investment.
Restrictions to trade and capital - import barriers, mean tariff rates,
taxes on international trade.
Trade (% of GDP)
KOF Index of Globalization - Economic Globalization
Long distance flows of goods, capital and services.
Actual economic flows - trade, FDI (foreign direct investment) and
portfolio investment.
Restrictions to trade and capital - import barriers, mean tariff rates,
taxes on international trade.
Trade (% of GDP)
Income payments to Foreign Nationals (% of GDP)
KOF Index of Globalization - Economic Globalization
Long distance flows of goods, capital and services.
Actual economic flows - trade, FDI (foreign direct investment) and
portfolio investment.
Restrictions to trade and capital - import barriers, mean tariff rates,
taxes on international trade.
Trade (% of GDP)
Income payments to Foreign Nationals (% of GDP)
Mean Tariff Rate
KOF Index of Globalization - Political Globalization
KOF Index of Globalization - Political Globalization
Number of embassies and high commissions.
KOF Index of Globalization - Political Globalization
Number of embassies and high commissions.
Number of international organizations to which a country is a
member.
KOF Index of Globalization - Political Globalization
Number of embassies and high commissions.
Number of international organizations to which a country is a
member.
Number of UN peace missions a country participated in.
KOF Index of Globalization - Political Globalization
Number of embassies and high commissions.
Number of international organizations to which a country is a
member.
Number of UN peace missions a country participated in.
Number of treaties signed between two or more states.
KOF Index of Globalization - Social Globalization
Personal Contacts
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
Information flows
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
Information flows
Measure the potential flow of ideas and images
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
Information flows
Measure the potential flow of ideas and images
Number of internet users
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
Information flows
Measure the potential flow of ideas and images
Number of internet users
Share of households with a television set
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
Information flows
Measure the potential flow of ideas and images
Number of internet users
Share of households with a television set
Cultural Proximity
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
Information flows
Measure the potential flow of ideas and images
Number of internet users
Share of households with a television set
Cultural Proximity
Imported and exported books
KOF Index of Globalization - Social Globalization
Personal Contacts
Direct interaction among people living in different countries
International telecom traffic
Degree of tourism
Information flows
Measure the potential flow of ideas and images
Number of internet users
Share of households with a television set
Cultural Proximity
Imported and exported books
Number of McDonald’s restaurants and IKEA stores
0
25
50
75
100
1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006
KOF Index of Globalization - Change over time: China
0
25
50
75
100
1970 1972 1974 1976 1978 1980 1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002 2004 2006
China Norway
KOF Index of Globalization - Change over time: Norway and China
KOF Index of Globalization - Evaluation
Globalization is complex
Regularly collected data?
Does the possession of a television set make a household more
globalized?
Is a country that is proactive in volunteering troops for UN missions
more globalized or are the reasons more complex?
When calculating the index economic globalization is weighted at
37%, social globalization at 39% and political globalization at 25%
- why not a third each?
Which do you think is the ‘weakest’ data set?