Let Them Eat Cake: A Study of the Income Effects of Globalization on the Rich

There exists a substantial body of literature on the effects of Globalization on the poor populations of the world (Hall & Bass, 2010; Tran, 2010; Harrison & McMillan, 2006), but little exists on the effects of globalization on the rich. The model presented here serves to provide some insight into this other spectrum of the effects of globalization. The results indicate that, while economic and cultural globalization increase the income share held by the top twenty-percent of income earners, political globalization and restrictions to globalization decrease the income share held by this quintile.