Globalization

Introduction:

There are a few important questions that need to be asked when discussing globalization and the effects it has on the world.

1. How can the developing countries, especially the poorest, be helped to catch up?

2. Does globalization aggravate inequality or can it help to reduce poverty?

3. Are countries that integrate with the global economy inevitably vulnerable to instability?

Let’s first start off with a definition…

What is globalization?

The term "globalization" has acquired considerable emotive force. Some view it as a process that is beneficial, a key to future world economic development and also inevitable and irreversible. Others regard it with hostility, even fear, believing that it increases inequality within and between nations, threatens employment and living standards and prevents social progress.

This presentation offers insight to some aspects of globalization and aims to identify ways in which countries can reap the benefits of this process, while remaining realistic about its potential and its risks.

Globalization offers extensive opportunities for worldwide development but it is not progressing evenly. Some countries are becoming integrated into the global economy more quickly than others. Countries that have been able to integrate are seeing faster growth and reduced poverty.

Globalization is a historical process, the result of human innovation and technological progress. It refers to the increasing integration of economies around the world, particularly through trade and financial flows. The term sometimes also refers to the movement of people (labor) and knowledge (technology) across international borders. The definition reflects technological advances that have made it easier and quicker to complete international transaction through trade and financial flows. It refers to an extension beyond national borders of the same market forces that have operated for centuries at all levels of human economic activity from the smallest village markets, urban industries, or to the largest financial centers.

Markets