Cost Of Globalization Analysis

Globalization is a very broad term that, when applied to different situations, can cause some confusion. Since there are many different types of globalization, ranging from economic to environmental to scientific, a laconic definition is often hard to come by. For example, Merriam-Webster’s definition of globalization, simplified, is an intent to have one global economy whose key focus points are free global trade, constant input of financial wealth into a company without restrictions by a government, and the ability to have access to inexpensive sources of labor (“Merriam-Webster”). However, the WHO, or the World Health Organization, an affiliate of the United Nations concerned with international health issues, says that globalization
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Clem Tisdell, a professor of economics at the University of Queensland, argues that since developing nations are more dependent on exported goods, they are more exposed to declines in external markets (Tisdell). This means that if the national income of a developing country takes a hit, that hit trickles down onto the salaries of its citizens. If these said hits happen often enough and with enough force, the citizens of that country are at an immense financial risk due. This wild fluctuation of the citizens’ incomes affects what food they buy, what necessities they can afford, and whether or not they are able to support themselves and their families. Tisdell goes on to say that, the instability of many of the developing countries’ work forces adds to the increasing financial risk (Tisdell). The most common type of labor that developing countries offer is basic labor, or work that doesn’t require a high level of education. The benefit of basic labor to big businesses is that it can be moved from country to country, with workers in each one willing and waiting to do the task at hand. However, this instability of work in those developing countries harms the citizens. Job opportunities are diminished because …show more content…
According to Zoran Stefanović, an economic scholar at Nis University, complete homogeneity of the world economy would “endanger the survival of the [global] system” (Stefanović). Each country has different needs, for example, the needs of The United States far outweigh the needs of developing countries such as Kenya due to the population and income differences. If they are all based on the same economy, it would be very difficult to meet both of those countries’ needs while maintaining the balance of the economy. Not only is complete homogeneity a negative effect of economic globalization, but developing countries don’t fully participate in the process of globalization due to not having the resources and stability needed to contribute to free global trade and other such dealings. Because developing countries do not fully contribute to globalization, they do not fully receive any of its proclaimed benefits. In addition to not having the resources or stability required to completely participate in globalization, political instability, corruption, and even war also prevents a developing country from receiving the benefits of economic globalization. Clem Tisdell gives the example that a local politician could take a bribe to “reduce the royalties nations have obtained from

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