Impact Of Globalization On The World Economy

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The process of globalisation came with the evolution of technology, industries and media and this process has been happening for a long time changing the world in cultural, social, political and economic aspects. According to Jan Aart Scholte, “a more global world is one where more messages, ideas, merchandise, money, investments, pollutants and people cross borders between national-state-territorial units”. Some positive effects of globalisation can be listened such as people become more open to new experiences and cultures, easier and more efficient communication, economic progress including increase of international trade. The advancement of international trade has been creating a global dependence on the economy, new opportunities to companies operate in more than one country, freer movement of capital, goods and services (BBC, 2014). Since the Second Word War, governments have been promoting some kinds of trade, especially between similar countries, and investing in some companies to build and establish in foreign markets. International trade has been essential to the world economy and it has been increasing in the last decades making the world more connected. This essay will discuss the impact of globalization on international trade and argue that this has had a largely positive effect on the economy.

The content and the direction of trade can follow different ways depending on the kind of the country (Silicon Valley, 2014). The world can be divided into developing
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