Does The Globalization Of Economies Reduce Poverty?

Globalization of economies has negatively affected individuals by creating more inequality and by failing to reduce poverty. The environment has also faced a negative impact because many developed countries are still heavily reliant on fossil-fuels and their production of greenhouse gases keeps rising. Additionally, the United States outsources much of its industrial sector to China whose population is quickly growing which has led to large concentrated areas of pollution emission. When countries globalized their economy and expected their poverty to become reduced, they instead saw no change in their poverty levels and unemployment. Developed countries don’t experience a relief in poverty because most of the jobs go offshore. The less developed countries that receive the offshore jobs do benefit, but the benefits to the rich are higher than the benefits to the poor, allowing inequality to stay stagnant. …show more content…
The rich have the advantage because they are already in the capital market and therefore global trade allows them to further increase their businesses. The poor however don’t receive more benefit than the rich, which they would need in order to be equal to the rich. They do however benefit because trade doesn’t hurt their income and often times it allows for more jobs. The benefits they receive however will never be comparable to the benefits of the rich. “The globalization of markets for goods and services has tended to benefit the relatively rich more, and so has tended to increase income inequality” (Haas, Hird 57). The wealthy are able to use their increased economic success to gain more political power and influence over the poor, growing