Special Economic Zones (SEZs) have become a popular development policy throughout the world over the last half a century. These zones form designated areas where governments offer businesses lower taxes, tariffs, and often lighter regulations. Generally, SEZs aim to attract investments and raise a country s export and employment rates, but although success stories are often cited, there are numerous failed projects that have instead become burdens for their host countries.

This book examines SEZs from a political economy perspective, both to dissect the incentives of governments,...