The Importance Of Globalization

872 Words4 Pages
This essay will talk about how globalization connects to different parts of our lives in different countries by focusing on international finance, and how this leads to a shift in power from individual countries to the global capital, by examining the structure of international finance, economic sovereignty and economic sanction. Globalization gives plenty of opportunities for countries to develop economy, education, technology and so on. Meanwhile, it changes the power of different countries gradually by global capital.

Globalization has changed the structure of traditional international finance. Because of the Globalization-which means there are much more trade between different countries than before-plenty of countries will be affected by one country if there is inequality of financial expenses and income. For example, the freight crisis in Thailand had expanded quickly to the Southeast Asia and Japan, and even spread to the Russia and Latin America, which makes world economy unstable eventually. What is more, globalization has already exacerbated the gap between rich and poor. Globalization creates efficiency by competition, but the wealth is concentrated to a small group of companies and people because of the unequal distribution of profit between different countries. The developed countries have the higher status of globalization-as the owner of most of advanced technology and capital, so they have the dominance of international finance like price setting. To make the
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