...Eitan Kremer Ms. Todaro CWG4U April 22nd 2013 Economic Globalization Diminishes Poverty One of the most important trends found within economic globalization is a system of free trade. In a free trade system, countries are able to import goods from other nations at a significantly cheaper price and as a result of this, tariffs are reduced and trade overall increases simply because it is very convenient. This allows a country to provide goods to consumers at a relatively low cost. If it costs a nation more to bring in necessities such as food, the goods must be sold at a higher cost in order for a profit to be made which makes it more difficult for families to purchase things essential to their daily lives. Without trade barriers, families are able to purchase more of the necessities at a lower cost. Canada, Mexico, and the United States signed the North American Free Trade Agreement in January of 1994 and as a result of this, millions of dollars worth of basic goods such as food and hygienic products are moved freely from nation to nation every single day. This provides millions of people with the necessities they require for daily life at a fraction of the cost compared to trading with tariffs. However, many Far Periphery and Near Core countries simply cannot afford the additional taxes placed on essential commodities. As a result of this, countries such as Uganda and Zimbabwe tend to exclude themselves from purchasing goods from countries that may charge them additional...
Words: 392 - Pages: 2
...GLOBALIZATION, EMPLOYMENT AND POVERTY IN GHANA Ernest Aryeetey1 1. INTRODUCTION One of the most significant influences on the performance of the economy of Ghana in the last two decades has been derived from the greater interaction between it and other economies. Thus, following economic reforms that focused considerably on opening the economy to greater and freer external trade, globalization has been a major aspect of the economy and society. But this influence has been observed not only in the area of external trade; it is seen also in terms of capital flows, aid, technology transfer, international migration, etc. All of these have seen significant expansion in the period of reforms, even if this has been on a scale far smaller than in South East Asia and the other faster growing developing economies. Globalization has definitely created opportunities for various parts of the economy to gain access to larger pools of resources as well as markets. While this may generally be perceived to have impacted positively on the beneficiaries, there are also indications that globalization has introduced new risks to environments that were hitherto closed to those risks. The increased risk may, in some cases, have accentuated poverty and worsened income distribution in parts of the country. While poverty has always been generally closely associated with the condition of African states, its link with globalization is a more recent development, and is much less understood...
Words: 17946 - Pages: 72
...Globalization impact on healthcare Faculty Advisor; Prof. Peter Carrillo Student; Mohamed Osman National University 03/31/2013 Table of Contents Abstract 3 Problem Statement 4 Globalization and Poverty 5 Globalization and Climate Change 7 Globalization and Immigration / Emigration 8 Globalization and Communicable / Non-Communicable Diseases 9 Conclusion 12 References 13 Globalization impact on healthcare Globalization is the process of promotion of economic integration, communication exchange, cultural diffusion and travel, which facilitate the exchange and connection between nations, commerce and individuals. The effect of globalization on healthcare and individuals is complex. The globalization of healthcare has provided opportunities for many organizations to rapidly develop their products and to expand their network of customers also global transportation and the communications revolution enabled rapid response to epidemics and catastrophes. On the flip side, the rapid mobility of people across borders, the spread of infectious diseases is a great threat to everyone, particularly in poor developing countries. “Today, no microbe in the world is more than 24 hours away from the gateways of every industrialized country, and what incubates today in the tropical rain forest can emerge tomorrow in a temperate suburb.” --Nils Daulaire (Kelley, 2005) The link between globalization and global warming and environmental...
Words: 2745 - Pages: 11
...Globalization Has Increased Poverty Although the concept of globalization is very recent, it has existed throughout the history. Globalization began to take greater height from the Industrial Revolution 200 years ago in England which was the most developed countries in the world. Technological and political changes have changed the meaning of globalization. Today, the term globalization is defined as “the process enabling financial and investment markets to operate internationally, largely as a result of deregulation and improved communications. It is the social, political and economic integration that comes with the increased flow of trade, people, capital, and ideas” (Steger). The purpose of this essay is to show how globalization has increased poverty and affected some countries and people’s lives. While many people argue that globalization has reduced poverty; others, has disagree because there are facts that show clearly how the rate of poverty has increased. According to Sachs, Professor of Health Policy and Management at Columbia University, poverty is the result of “low productivity per worker, which reflects poor health, lack of job-market skills, patchiness of infrastructure (roads, power plants, utility lines, shipping ports), and chronic malnutrition” (Sachs). In many countries, the economic situation is going from bad to worse. Poverty has been rising steadily “from 21% in 1984 to 40% in 2002” (Nissanke). Sachs said that every day more than 20 000 die of dire...
Words: 2152 - Pages: 9
...‘Globalization’, is an often-discussed but seldom-defined phenomenon. In my opinion it can be defined as interconnectedness on a global level, which usually means that something in one part of the world can impact upon the rest of the world. Additionally, it is all those processes by which people of the world are incorporated into one single society and impact countries and individuals in an uneven manner. There are various categories of globalization and they could be economic, cultural, technological and also social. However, this essay’s main focus is on identifying three social issues that arose because of globalization and discuss how they have affected the quality of life of the people in the Caribbean. These issues include; poverty, migration and culture and identity. To begin, (Ritzer, 2011) stated that, “globalization is the spread of worldwide practices, relations, consciousness, and organization of social life.” This implies that globalization is the driving force within society, which allow for the sharing of common goals and values for both social life, financial and political aspects as well. This helps move society from an obsolete to technological way of thinking. (UNDP, 1997) posits that “globalization encapsulates both a description and a prescription. The description is the widening and deepening of international flows of trade, finance and information in a single, integrated global market. The prescription is to liberalize national and global markets in the...
Words: 3813 - Pages: 16
...Globalization Western Governors University Globalization refers to the development of an integrated world economy, exchange of cultural views, thoughts, and products (Wikipedia, 2013). Pologeorgis (2012) states that, essentially globalization began with the exploration and settlement of new lands. Communication and transportation advances have aided in this process. Two non-Western countries that have been impacted by globalization are India and China. India opened its doors to globalization during the nineteen nineties following an economic crisis in which the country almost defaulted on loans (Balakrishnan, n.d.). Before globalization India purposely isolated itself from world markets and was in a state of economic stagnation (Nayar, 2007). This stagnation left the country in profound poverty with no industrial growth. The people of India faced other challenges as well such as illiteracy, government corruption, and malnutrition (Wikipedia, 2013). In the years since globalization industrial growth has occurred at a rate of about 6.5 percent that has thwarted any reoccurrence of economic decline and a poverty rate at 26 percent that had previously been 55 percent (Nayar, 2007). China too, has benefited from globalization. In 1978, Deng Xiaoping established leadership of China. Unlike Mao Zedong, Xiaoping embraced globalization and demanded economic change that he believed would ensure the safety of communist rule (Yahuda, 2003). Like India...
Words: 805 - Pages: 4
...The world has experienced rapid globalization in the last few decades. Both developed and developing countries are increasingly participating in globalization and becoming part of the global village. The world economy has increased significantly and countries all over the world, whether developed or developing, have seen the size of their national economies grow. Even though globalization has been beneficial for the world economy, it has led to the emergence of certain problems in different parts of the world and in both developed and developing countries. Globalization has had a tremendous positive impact on poverty reduction. The increasing integration of developing countries to the world economy has led to a reduction in extreme poverty. According to the World Bank, 52 per cent of people living in developing countries lived in extreme poverty in 1981. By 2011, this has decreased to only 17 percent. Large developing countries like India and China experienced rapid decreases in extreme poverty. While China experienced rapid economic growth due to globalization, it lifted 680 million people out of extreme poverty between 1981 and 2001. The significant reduction in poverty in the developing world shows the beneficial effect of globalization on poverty reduction. Globalization opened up developing countries to the world economy. Developing countries experienced substantial inflow of foreign direct investment, technological inflow and the opportunity to serve a substantial customer...
Words: 771 - Pages: 4
...Economic globalization benefits worldwide poverty reduction By Hao Fan 02/20/2016 Globalization, the integration of economic networks that span multiple countries, influenced people in many aspects. If you go to a supermarket and able to buy French wines African coffee beans as well as Germany sausages, you are enjoying the convenience of globalization. According to Reem Heakal who wrote What Is International Trade?, he said “International trade allows us to expand our markets for both goods and services that otherwise may not have been available to us. It is the reason why you can pick between a Japanese, German or American car. As a result of international trade, the market contains greater competition and therefore more competitive prices, which brings a cheaper product home to the consumer.” As it does more than this, the economic globalization largely benefits the world wide poverty reduction. The first reason that globalization helps reduce poverty is based on one of the most essential economics concept-comparative advantage. Basically it means when countries are trading with others, they are allowed to specialize in the areas they good at and therefore allocate the resources more efficiently which will result in more benefits for every party involved in trades. Take China and United States as an example, given that china has relatively low cost of labor and the US is more sophisticated at advanced technology, it is natural or beneficial for Apple company to choose design...
Words: 893 - Pages: 4
...Who have been the principal winners and losers from globalisation? Globalization affects everyone, whether intended, directly or otherwise; it has gradually increased its presence in our daily lives. In this essay, I will point out who are the ones benefited and the ones injured from it by breaking down the question in four broad aspects: economic, political, socio-cultural and environmental. Seemingly, I will analyse the causals for this particular outcomes and distributions that indicate that globalization is creating further divergence in our world increasingly fragmented and unequal. The globalization winners – predominantly developed countries, the top 1% wealthiest demographic segments, transnational companies (TNC’s), supranational organizations amongst others – deeply embedded in the neoliberal belief that markets are the answer to global growth through trade, fostered by incentives such as low tariffs and interest rates and minimal government intervention find themselves unattached to the markedly less benefited, the losers– developing countries, especially their poorest demographic segments, the low-skilled low-wage percentage of workforce, the unemployed, the minorities, women amongst others – who in turn find themselves trapped in this zero-sum cycle where one either leads globalization or follows it – at risk of falling behind – but not either. Globalization, as most concepts in IPE and other social sciences, is a highly contested concept and encompasses a wide...
Words: 2982 - Pages: 12
...Over time, globalization has contributed to the economical aspects of Global North and Global South. While every country in the world hopes to economically benefit from globalization, the Global South wasn’t getting there. Economic globalization has helped integrate many countries into the global trade market. Countries in the Global North such as China and India have benefitted greatly by opening up their trade market. This provided people with job opportunities and higher incomes. But while the countries of the Global North continue to economically increase of because of trade market, the demand for imports and exports from the Global South become inevitable. As the Global North demand for more resources from the Global South, countries of the Global South don’t benefit from the situation. Countries such as Africa and Uganda have their resources exploited and continue to suffer from economic globalization. Within decades, globalization has continuously benefited the Global North. Countries such as China and India are great examples. Meredith, Hoppough, and Basu all explained the prosperity that the people have received from globalization. Economic globalization allowed China and India to create more business while providing more job opportunities for many people with the idea of higher wages. However, poverty rates continued to decline. According to Meredith and Hoppough, over 200 million people in China escaped poverty in the 1990s due to globalization. But not only did...
Words: 699 - Pages: 3
...GLOBALIZATION Globalization is a series of social, economical, technological, cultural, and political changes that promote interdependence and growth. Globalization raises the standard of living in developing countries, spreads technological knowledge, and increases political liberation. (Harris 5-23) The main cause of globalization is influence from other, more developed, countries. Globalization is a historical process that results from human innovation and technological progress. The social effects of globalization are clearly illustrated in Peru. Once a third-world country filled with poverty and oppression, Peru is now transitioning into a developed nation. In Peru, globalization has raised the human development index, empowered women, and created a stronger country. (Leon 90-91) One of the benefits of globalization on a social level is an increased Human Development Index. The Human Development Index is a measurement of a country's social, political, and economical growth in comparison to other countries in the world. The Human Development Index rates each country with a score between 0 and 1, with 1 being the most advanced, globalized country. Factors that are involved in determining a country's HDI are gross domestic production per capita, life expectancy at birth, adult literary, and the number of persons enrolled in educational institutions. In 1975, Peru's Human Development Index was a 0.643. By 2003, the Human Development Index had risen more than one tenth to 0...
Words: 1174 - Pages: 5
...Globalization and Religion Abstract In this paper I will explain how globalization is very beneficial from an economic and business point of view. Globalization can be argued as a tool for economic growth, advancement and prosperity through co-operation between the developed and developing countries. The pro-globalization critics argue that the benefits that globalization brings to developing nations surpasses or outcasts the negative impacts caused by globalization and may even go a step further to state that it is the only source of hope for developing nations to prosper and stand out. However, the real question to be asked is as to what extent are the positives argued upon without taking into account the negative aspects of globalization towards developing countries. There are many developing countries benefiting or even prospering from globalization Therefore, my paper will dispute that the growth and advancement provided by globalization to developing countries is beneficial in short-term, but in the long-run, it will only bring upon negative impacts and challenges due to the obstacles involved such as exploitation of labor and resources, higher increase in poverty, and effects of multi-national corporations on local businesses and the economy, and to an extent the effects on the developing country itself. One of many negative effects that comes with globalization on developing countries is exploitation of labor. With a competitive global market, inflation, and cheaper...
Words: 1028 - Pages: 5
...Impact of globalization on non-western cultures China Globalization has reached to practically every corner of the globe. It brings to the world an exchange of information, goods, services, economy, and awareness of other cultures. Two cultures that have benefited from globalization economically are China and India. China is an excellent example of how globalization has transformed a once stagnant economy into an economic super power. Change occurred as a result of international influence from the United States. The United States had hopes in the Chinese economy and realized the capabilities China possessed in the export of goods to the United States and other countries. The United States helped China become aware of how shut off it had become from a growing global economy and helped to make them aware of the positive impact an open economic system could have on its nation. In 1986, China began to work towards joining the World Trade Organization. In 2001, China finally joined (China and the, 2014). The United States had a major role in China’s decision to open their economy, and they supported the effort fully. The influence on China from globalized nations was both direct and indirect. It was direct because countries such as the United States, worked closely with China during their admission to the World Trade Organization even requiring changes to the Chinese economy before they would be allowed to proceed. The influence was also indirect as the Chinese government...
Words: 1388 - Pages: 6
...Globalization Western Governors University Globalization is talking about the development of an integrated world economy, exchange of cultural views, thoughts, and products (Wikipedia, 2013). Pologeorgis (2012) states that, essentially globalization began with the exploration and settlement of new lands. Communication and transportation advances have aided in this process. Two non-Western countries that have been impacted by globalization are India and China. India opened its doors to globalization during the 1990's following an economic crisis in which the country almost defaulted on loans (Balakrishnan, n.d.). Before globalization India purposely isolated itself from world markets and was in a state of economic stagnation (Nayar, 2007). This stagnation left the country in profound poverty with no industrial growth. The people of India faced other challenges as well such as illiteracy, government corruption, and malnutrition (Wikipedia, 2013). In the years since globalization industrial growth has occurred at a rate of about 6.5 percent that has thwarted any reoccurrence of economic decline and a poverty rate at 26 percent that had previously been 55 percent (Nayar, 2007). China too, has benefited from globalization. In 1978, Deng Xiaoping established leadership of China. Unlike Mao Zedong, Xiaoping embraced globalization and demanded economic change that he believed would ensure the safety of communist rule (Yahuda, 2003). Like India, the people of China lived in poverty...
Words: 296 - Pages: 2
...MANAGEMENT SEMESTER 2, 2015/2016 ESSAY – Individual Assignment “Globalization brings more benefit than harm and should therefore be encouraged”. Discuss the statement. Submitted to: Prof. Dr. Mohd Nazari Ismail Prepared by: TAN WAN TENG, CGA150015 Date: 5th April 2016 TAN WAN TENG (CGA150015) CSGB 6314 International Business Management Globalization is not a new thing. Long time ago, people have been selling to and buying from each other places at far distances, for example, the Silk Road across Central Asia which was connected China and Europe during the Middle Ages. The globalization has been developing since 1980 and today it is easier for people and firms to communicate with other countries in the world. Globalization is the development of worldwide economy in which resources and products move fairly across national borders. It is also a process of integration among people, companies, and governments of different countries, which is usually driven by international trade, investment and supported by information technology. Both developing and developed countries are taking part actively in globalization process but both countries reacted differently in globalization. This process has the positive and negative effects on employment, culture, education and knowledge, market competition, economic, wealth and human physical well-being around the world. Employment and Poverty The outsourcing of services and manufacturing to developing countries...
Words: 2531 - Pages: 11
