Economic Globalization Is Irreversable

INTRODUCTION
Economic globalization is one of the three main dimensions of globalization commonly found in
countries, academic literature, with the two others being political globalization and cultural globalization,
as well as the general term of globalization. Economic globalization refers to the widespread international
movement of goods, capital, services, technology and information. It is the increasing economic
integration and interdependence of national, regional, and local economies across the world through an
intensification of cross-border movement of goods, services, technologies and capital. Economic
globalization primarily comprises the globalization of production, finance, markets, technology,
organizational regimes, institutions, corporations, and labour. While economic globalization has been
expanding since the emergence of trans-national trade, it has grown at an increased rate due to
improvements in the efficiency of long distance transportation, advances in telecommunication, the
importance of information rather than physical capital in the modern economy, and by developments in
science and technology. The rate of globalization has also increased under the framework of the General
Agreement on Tariffs and Trade and the World Trade Organization, in which countries gradually cut
down trade barriers and opened up their current accounts and capital accounts. This recent boom has been
largely supported by developed economies integrating with developing countries through foreign direct
investment, lowering costs of doing business, the reduction of trade barriers, and in many cases cross-
border migration. While globalization has radically increased incomes and economic growth in
developing countries and lowered consumer prices in developed countries, it also changes the power
balance between developing and developed countries and affects the culture of each affected country.
And the shifting location of goods production has caused many jobs to cross borders, causing some
workers to change careers.
DISCUSSION
Economic globalization is an irreversible process due to the growing demands in every facet of
globalized markets from both developed and developing nations and economic policies of various nations
have suppressed the impetus for their own economies to move forward thus debunking theory of
economic globalization. However, Princeton University professor Robert Gilpin argues that nations'
economic policies have mistakenly slowed their own growth by resisting globalization, showing that
globalization is not irreversible. Antonio L. Rappa agrees that economic globalization is reversible and
cites International Studies professor Peter J. Katzenstein. However, Thomas Friedman argues in his book
The World Is Flat that globalisation is both irreversible and inevitable.
CONCLUSION
Globalisation is not a new phenomenon, we have seen a gradual process of globalisation ever
since man left Africa. Recent centuries and decades have accelerated this process and globalisation is
increasingly hard to ignore as it transforms societies and economy. It is hard to avoid the conclusion, that
there is a certain inevitability of future globalisation. It is possible, some unexpected event may seriously
derail globalisation – such as an adverse environmental shock. But, on the other hand, environmental
problems place emphasis on a global solution, which brings countries together to find a solution.
COMMENT/S
Beginning as early as 6500 BCE, people in Syria were trading livestock, tools, and other items. In
Sumer, an early civilization in Mesopotamia, a token system was one of the first forms of commodity
money. Labor markets consist of workers, employers, wages, income, supply and demand. Labor markets
have been around as long as commodity markets. The first labor markets provided workers to grow crops
and tend livestock for later sale in local markets. Capital markets emerged in industries that require
resources beyond those of an individual farmer.

Economic Globalization Is Irreversable

Uploaded by

Copyright:

Available Formats

Economic Globalization Is Irreversable

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Economic Globalization Is Irreversable

Uploaded by

Copyright:

Available Formats

INTRODUCTION

You might also like