The Impact Of Globalization On The Economic Performance Of The Nation
The globalisation process has had significant impact on the overall economic performance of the nation. This is when South Africa re-joined the scene of international economies in the 1990’s during which time globalisation had begun to gain prominence. Its move from a socialist socialist movement to a democratic system in 1994 has been a major key towards its gain in economic performance during the globalisation period. This is as the first democratically elected president, Nelson Mandela moved away from the previous Apartheid governments acts towards South Africa’s economy. Mandela used the gains for the globalisation process in trade and investment flows into the economy, which showed major advances in the nations economic performance.
GDP + Growth
After the introduction to the democratic system in the early 90s, where the nation experienced low growth rates of roughly 2.2% it has persistent growth rates of around 5% where the globalisation process really “kicked in” in their econmony, they experience a sharp drop of -6% during the global financial crisis period as shown in figure 1. South Africa’s GDP has increased from $1,632,943,780,400 US in 1990 to $3,008,576,000,000 US in 2014, stimulated by the influence of the Globalisation period.
During the early 2000s, South Africa’s unemployment rate was quite high this is as when South Africa had the globalisation process at effect it widened the gap between the rich and…