Question

What is globalization? What does the global economy consists of? Has globalization gone too far? What are the pros and cons of globalization? Who benefits from globalization? What are the impacts on nations and people? What are the competing ideas/arguments? Who should write the rules of the game? Who should control this new economy- the government or market?

Answer 1

Answer.

Globalisation may be defined as the increasing economic interdependence of varied states across the world through a rapid increase in cross-border movement of goods, services, technology, and cap. This trend in global economy means that factories, industries and markets are linked in a complex web of overseas networks where the manufacturers, sellers and buyers may all belong to different nations and yet they are related to each other through trade and commerce.

Many economists argue that such a universal of international appeal in economic relations has only secured unequal distribution of wealth and resources in the world as economic Globalisation has brought unprecedented wealth only to the developed countries as it brought an increase in trade and Foreign Direct Investment thereby resulting in higher growth rates for the economic superpowers rather than the regional businesses in the Third World which seem to have lost markets in their own native country with the influx of First World enterprises.