To some extent, globalization has been positive to the world, not only can it make more efficient markets, but also it creates more opportunities for firms in developing countries. In general, economic globalization is dominated by developed countries, the developing countries tend to be at a disadvantage. It has widened the gap between rich and poor. Globalization is a double-edged sword, as the popular saying goes, everything has two sides, just like a coin.
While other researchers argue that economic globalization gives solutions of trading and poverty that developing countries encounter. In this paper, I will discuss how Economy Globalization is a good trend that brings benefit for the country. The decision of doing economy globalization chosen because it is considered as beneficial for the country. “The economic essence of globalization is actualized in spreading out the most efficient forms of social production, which in technological terms is demonstrated in the speed, cost-cutting, and reliability of production processes.” (Mamedov, 2016). Globalizing the trade to become international wide gives more opportunity for the country to fulfill the demand of the country.
• However, there have also been significant domestic benefits to globalization for wealthier nations like the United States. Lower trade barriers, increased economic interactions, significance increases in real-time communications abilities between international organizations, and more emphasis on international cooperation - all consequences of globalization - have served to strength the U.S. domestic economy. Unfortunately, these economic benefits are offset by the fact that the U.S. is now operating under a massive trade deficit - a new and troubling impact of 21st century globalization. In past eras, wealthy nations benefits from globalization specifically because new markets were opened for goods and products; today, globalization has had
• What are the benefits of international trade? What are some negative aspects of international trade? International trade has advantages and disadvantages. On the one hand, it opens the market to all sorts of products, which in turn raises the competition between the local and the international producers; and on the second hand, it gives importers advantages to import different products, and it gives the consumer a wide variety of products, and different options to choose from. It can be a challenge for a better quality, lower prices, and a wider range of products.
As globalization is able to transfer goods, services, products, or even employees from some countries to other ones, it becomes a much more effective way to widen or narrow disparity all over the world. It cannot be ignored that globalization is a great issue that widens economic inequality in the U.S. “In the discussions about jobs, a lot of attention has focused on trade and terms such as globalization, outsourcing, and offshoring. The concern, of course, is that a free-trade environment is letting good jobs drain from the U.S. economy and wind up in China, India, and other countries where workers command much lower salaries.” (Parry 2014, p. 1). In the view of aforementioned fact, globalization opens many borders to companies and businesses of the U.S. to take much benefit so that the companies and businesses put so much investment and build a lot of workplaces outside of the region. For this reason, disparity in terms of economy increases dramatically just as people who live in underdeveloped countries have many opportunities, just like finding easily workplaces, to live a superior life unlikely people who live in the U.S. lose their workplaces.
Martens & Zywietz (2006) have urged that globalization, as its name suggests, is a global phenomenon that should be embraced by the whole world failure to which the benefits may not be fully realized. I, therefore, agree that all nations should appreciate globalization. Globalization is a good thing that is currently happening to the world. All nations should be encouraged to open up their business, and social structures invite opportunities of integration because they will lead to the betterment of livelihoods of the citizens through increased social-economic growth. Globalization is benefitting even those who really do not appreciate it.
Social globalization describes an exchange of values, ideas and it has facilitated the promotion of equality, dignity and human rights. Finally, the major effect of globalization is produced in the world economy. The aim of globalization is the growth of the global economy by giving firms a superior competitive position with lower cost through free trade and by increasing the number of consumers, products and services. Some people said it helps developing nation-states to “catch up” the industrialized ones and it improves the overall standard of living. Nonetheless, there is a risk for smaller companies that cannot compete in an international market and world governments should promote international investments and try to eliminate barriers to trade even if it causes them some
The term ‘trade’ is like a two edged sword.There are many reasons as to why. By trading, it brings in a lot of advantages to the country. International trade brings valuable benefits such as the exploitation of a country’s advantage. It allows trade to encourage a country to specialise in producing goods and products and services in which it can be most efficient and effective and also at the lowest possible cost. Another advantage would be that trade allows the increase in competition and overall lowers the world prices of goods.
My Thoughts on Globalization I believe that globalization brings more positive benefits the world than negative consequences. The global development witnessed in both the developed and developing worlds would not have been possible without globalization. Globalization brings many positive benefits but also brings some negative consequences. I strongly believe that these negative consequences can be effectively controlled and managed to a level that it will have little
What are the benefits of international trade? What are some negative aspects of international trade? International trade is an exchange of products and services between countries. There are both benefits and negative impact of international trade and these are; benefits – improve of wages, enhances domestic competitiveness, improve of productivity, reduce dependency, improve employments, improve of infrastructure and promotes peace, stability and harmony. While the negative are; risk of higher unemployment, impact to home grown business, economic dependency, excessive export of natural resources, political influence, loss of culture and environmental degradation.