Advantages and Disadvantages of Globalization on Development in Developing States

2028 Words Dec 16th, 2012 9 Pages
Advantages and Disadvantages of Globalization on Development in Developing States Globalization brings more economic advantages to developing countries than disadvantages, even though this statement is arguable for many. But the simple effect of enabling developed countries and developing countries to compete in the same “Global arena” is already a gain, not only for DCs but for LDCs as well. The increased interaction among actors promoted by Globalization facilitates free trade which in turn provide LDCs with higher incomes and better socio-economic standards of living. The degree of development achieved and the areas in which benefits are present vary from country to country, but exist in all of them without mistake. On the other hand, …show more content…
Institutions like the Center of Global Disease and USAID have created “health action plans” like the USAID Global Health Strategic Framework that proposes a country-led approach s instead of donor-driven disease control programs. Initiatives are mostly focused on women and children and include the following: the eradication of smallpox, implementation of science, family planning, public-private partnerships. (USAID) The major disadvantages of globalization and its impact on the development of developing states are largely macroeconomic, social, and environmental in nature. Macro-economically, globalization widens the geographic impact and intensifies the contractionary and stagnatory duration of economic recessions and depressions, therefore severely affecting and further impoverishing the national economies of developing states. Also, but in the more socioeconomic sense of intellectual thought, globalization centralizes economic wealth, restricts social mobility, and deviates toward an unsustainable path of high inequality in both the social and economic spheres of developing states. According to the Report on the World Social Situation 2005: The Inequality Predicament, “changing labor markets and increased global competition have spurred an explosion of the informal economy and deterioration in wages, benefits and working conditions, particularly in developing countries” (United Nations 2005). In
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