The Disadvantages And Cons And Disadvantages Of Globalization

Globalization is the process by which businesses or other organizations develop international influence or start operating on an international scale. According to economic and political writer Doug Bandow, “Some critics of globalization have contended that the process has helped the rich and hurt the poor. However, the best research indicates that this is accurate: ‘Poverty is falling rapidly in those poor countries that are integrating into the global economy.”. In both documentaries “The True Cost” and “Living on One Dollar” we can see how companies exploit their employees for consumer benefit, as well as the social and economic inequalities that are attached with globalization.

Globalization has, for better or worse, altered the economic arena for every country in the world. For many less developed countries, globalization has leveled the playing field so that their economies can compete with the larger, more developed ones such as the United States and other large western economies. For instance, technical engineers in India and China are now just as qualified as engineers in America, but at half the cost. The once large and prosperous service sector in the United States as well as telemarketing services have largely been sourced to India as a large exodus of American multinational corporations find cheaper workers who deliver comparable quality. This then seems to be the essence of globalization - businesses

The insurgents of globalization are exacerbating income inequality, within developing and developed nations. One of the most powerful country’s in the world the United States an Industrialized nation are allowing large corporations to seek maximize profits without regards for the local

They note the trend of unequal wage growth between low and high skilled workers. This is in part due to manufacturing and other traditional low skill industries were increasingly transitioning to new high skill jobs, which led to disproportional wage growth. Depending on the nations domestic labor markets, they observe across the advanced economies a combination of lower earnings and higher unemployment. However, most studies linking this trend to trade find that it only has a modest effect on wages. By broadening the scope of their investigation to other influences of globalization rather than purely trade, namely capital mobility and its impact on domestic labor markets which are forced to adjust and work at global rates or lose business. In addition, the mobility of labor poses changes through replacing domestic labor. Lastly, the two authors emphasize that governments should not seek to stop globalization but to address underlying factors, such as increasing education and training for displaced

Globalization has been a main culprit of wealth inequality in the United States for many years. Many economists believe that globalization was meant to do the exact opposite of what it is. In theory, globalization should makes goods more easily accessible and stable out our governments, but why isn’t it? After doing some research on the topic I have concluded this. Standards of living in countries, most notably poor countries, should have been raised by globalization, but only certain countries are able to reap the rewards while others suffer. It is fact that there is a positive correlation between inequality in incomes and the production outsourcing processes. The outsourcing causes inequality between skilled workers and the others that are

export capital (factories, jobs, resources) for production abroad (remember, you will want to concentrate on the ethics of this proposed action, rather than the political or legal implications) on

Globalization has led to a growing gap between those who have access and opportunities by which to thrive and those who do not. There are now 793 billionaires (as of 2009)—representing an essentially unimaginable amount of wealth. At the same time, there are millions of workers laboring in conditions we would likely consider inhumane, and doing so for starvation level wages. And still, there are those who do not even have access to jobs whose conditions are even worse. Globalization can benefit some but leaves other nation further and further behind.

The world is not a large and strange place anymore. The world is a place that is interconnected and intertwined. The world has become from a place that each country and their peoples are separate and isolated to a place that each country and their peoples are part of a global network. Thanks to globalization this is occurring. Globalization is the ‘international integration” or ‘de-bordering’ – “a number of highly disparate observations whose regular common denominator is the determination of a profound transformation of the traditional nation-state” (Von Bogdandy 2). Globalization is connecting different people from different cultures and backgrounds together. More and more corporations are entering new foreign markets to sell their

Globalization is the process by which different societies and cultures integrate through a worldwide network of political ideas through transportation, communication, and trade. Generally, globalization has affected many nations in various ways; economically, politically, and socially. It is a term that refers to the fast integration and interdependence of various nations, which shapes the world affairs on a global level. Simply put; globalization is the world coming together. In this essay I will discuss multiple perspectives on globalization through the analysis of these three sources.

In the view of a supporter, globalization means a taste of culture, access to goods, more choices to choose from, and boundless opportunities in cooperation. Towards opponents it is social injustices, exploitation, and terrible working conditions that causes people to go against. Over time income inequality has been growing a distance over the years. There are debates and arguments to this day about the income inequality. Within the nation, opponents are voicing that “freer trade and investment allows international companies to close the factories in high wage”. While the low waged/ developing nations are moved leading to the increase in wage in both blue collar and white collar. In between nations, there are claims of whether globalization

Globalisation has been one of the main drivers of global inequality. When the Soviet Union fell apart and China started to grow, the global economy received over a billion of new workers. This has brought outsourcing to its peak and the value for unskilled labour has decreased. This has created the complete opposite effect for skilled workers where wages have gone up. Over the years this has created a huge global income gap.

One, must also look to the effects of interdependence on inequality between nations. When looking at inequality among nations, Melinda Hills, examines the internationalization of markets, tax competition, and volatility of markets. Capital and Labour are assets becoming more fluid in the interdependent world. This leads to the race to the bottom as shown above, and the effects negatively impact industrialized countries the most. As shown in the article, industrialized countries will lose jobs through companies outsourcing to cheaper areas to produce. This leads in a shift in industrialized economies, workers in the industrial sector now earn lower wages working in service sector, and high-skilled workers obtain a rise in income. This leads

Companies move to developing and third world countries for cheaper production cost. In those countries may be they do not need to provide the workers any benefits and the salary requirement is lower compared to what they had to pay in the home country. In this way the industrialized countries exploit the labor force of less economically developed country. They pay them less but earn more profit (by reducing labor expense). Child labor is also an

Secondly, the debate over income inequality effects of globalization focus on two aspects: Inequality within nations and inequality between countries. The first concerns inequality among individuals inside a country. (Wild and Wild, 2010, p. 48) Critics of globalization believes that free trade and global investment within the internalization incite transnational companies to close factories and move them from high-wage developed countries to low-wage developing countries, which increases the gap between office workers and manual workers within rich nations. (Wild and Wild, 2010, p. 48) In addition, many critics including from Bartlett and Steele (1996), two journalists for the Philadelphia Inquirer, believe that depressing wages in developed nations is the result of the large growth in the international labor force joined with the expansion of the global trade brought by the globalization. (Hill and Hult, 2014, p. 23) Moreover, Hill (2014) support Bartlett and Steele opinion as he stated that organizations that outsources its services into lower-cost foreign markets for lower labor costs were contributing to higher unemployment and lower living standards in their home nations. (Hill and Hult, 2014, p. 24) As an example to support those critics we can consider the case of Apple, the multi billions dollar company that operates its factories in China. According to an article of Oster (2017) Apple pays its workers more or less 305 dollars monthly which is less than 2 dollars

Throughout the world, it has become increasingly noticeable in recent decades that the gap between the developed and developing nations of the world continues to widen to an almost unfathomable proportion. This truth is not only been seen from an individual wage earner’s perspective, as it is truly a regional and global economic phenomenon (Ojo and Gaul (2012)) .