Globalization

The word "globalization" can be traced back to 1944 [citation needed]. The term has been used by economists since 1981, however its concepts did not permeate popular consciousness until the latter half of the 1990s. Various social scientists have tried to demonstrate continuity between contemporary trends of globalization and earlier periods.[2]. The first era of globalization (in the fullest sense) during the 19th century was the rapid growth of international trade between the European imperial powers, the European colonies, and the United States. After World War II, globalization was restarted and was driven by major advances in technology, which led to lower trading costs.

Globalization is viewed as a centuries long process, tracking the expansion of human population and the growth of civilization, that has accelerated dramatically in the past 50 years. Early forms of globalization existed during the Roman Empire, the Parthian empire, and the Han Dynasty, when the silk road started in China, reached the boundaries of the Parthian empire, and continued onwards towards Rome. The Islamic Golden Age is also an example, when Muslim traders and explorers established an early global economy across the Old World resulting in a globalization of crops, trade, knowledge and technology; and later during the Mongol Empire, when there was greater integration along the Silk Road. Global integration continued through the expansion of European trade, as in the 16th and 17th centuries, when the Portuguese and Spanish Empires reached to all corners of the world after expanding to the Americas.

Globalization became a business phenomenon in the 18th century when the Dutch East India Company, which is often described as the first multinational corporation, was established. Because of the high risks involved with trade, the Dutch East India Company became the first company in the world to share risk and enable ownership through the issuing of shares: an important driver for globalization.

Liberalization in the 19th century is sometimes called "The First Era of Globalization", a period characterized by rapid growth in international trade and investment, between the European imperial powers, their colonies, and, later, the