International Foundation Course : Economics Option

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International Foundation Course: Economics Option Essay Writing “In what ways has the economy of my country been affected by globalization?” Globalization is a worldwide trending phenomenon for the past century that has affected millions of lives in many different ways. Cambridge English dictionary defines globalization as “the increase of trade around the world, especially by large companies producing and trading goods in many different countries” . Globalization has many facets and may have implications economically, socially, politically, technologically and culturally; it affects each country and individual uniquely. In essence, globalization is the integration of national economies: openness to trade, financial flows, foreign direct…show more content…
With limited number of resources during the early years, thousands of refugees and a perpetual state of threat of attack from India, Pakistan could do little to revive the economy of the state. Pakistan essentially became an agricultural economy; the share of agriculture sector to GDP was 53 percent. Pakistan adopted import substitution industrialization (ISI) policy, as was the norm with developing countries in the 1950s and 1960s, through over-valued exchange rate by using both tariff and nontariff barriers on foreign transaction and use of quantitative restrictions on agricultural products export. Moreover, Pakistan suffered from extreme inequality and rise in poverty rates; the wealth was concentrated among only 22 families of Pakistan. Economic management remained in the tight clutches of the government, with bare minimum integration internationally. Pakistan started liberalizing its economy under third military general, Zia ul Haq’s regime in late 1970s. Free market policies were adopted and economic liberation paved the way to Pakistan becoming part of the global economy. The process of liberalization started with import liberalization, at that time one hundred products were on the negative list and about 50 products were in the restricted list; quantitative restrictions were removed from all the products. Public and private sector were given their due importance and a
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