Globalization: The Most Imminent Phenomenon of Modern World
With time, the world is becoming a smaller place. The invention of the steam engine and the railroad brought the far-flung corners of the world closer together and made it easier for goods and people to be transported. The invention of the telephone and the airplane brought the far-flung corners of the world even closer together, and made it easier for people to be transported. The invention of the internet and the container ship, along with the increased use of shipping containers, have taken the world even smaller.
People have been debating the effect of rapid economic amalgamation for the world economy since 1950s. As a result, scholars have struggled to produce a definition that captures the complexity of globalization and allows for a clear-cut answer to the question of whether globalization is good or bad. The first modern globalization was the expansion of Europe. The term was coined in the nineteenth century to refer to British imperialism and is now used in a much wider sense to refer to a worldwide process that has shaped the modern world. Actually, the term, Globalization refers to the increasing interconnectedness of the world economy through the expansion of trade, technology, and transportation. It is the process by which the societies and governments within a country are interconnected, economically and politically. The term was first used to describe the process of increasing cultural and commercial interactions between nations around the world. The term has been used to describe the increasing interdependence between nations through economic and political agreements. Through Globalization, markets are liberalized, business and government are integrated worldwide. It is the advancement of market principles and practices on a world scale that has made possible the prosperity of billions of people in recent decades.
Globalization refers to the changes in the way the world is and is becoming. It has had a profound impact on the way we live our lives. For the last three centuries, people and ideas have been transferred as well as exchanged across the globe. Moreover, communication, travel, business, and trade have also changed a lot and intensified. For most people, globalization means easier travel with fewer security checks to get into other places, while it is the process of importing ideas, practices, and products to other.
Background of Globalization:
A few countries were critically hooked up around the 20th century from different parts of the globe, but today the interconnected world has changed everything. While the spread of the Internet has meant that cultural artifacts can be transmitted instantly worldwide, it has also meant that the flow of information is usually no longer limited to the physical realm. Today, almost all countries have Internet access, and since the World Wide Web was invented, people have been creating content online, such as news articles, maps, and diagrams, that reach people around the world. Yet, Globalization, also known as world globalization, is the name that is commonly used to describe the process by which the inhabitants of one country gain economic power, typically by exporting their products to other countries and regions.
Reasons behind Globalization:
The main causes of globalization are: 1) to increase the flow of goods and services around the world; 2) to increase international trade and foreign commerce; 3) to increase market access for products exported to international markets; 4) to increase competition in world markets; 5) to provide opportunities for new investment and entrepreneurship in less-developed countries; 6) to provide capital that creates jobs; 7) to make international businesses more competitive; 8) to increase the amount of trade and commerce across international borders; 9) to increase the international demand for products and services, especially when they become globally competitive; 10) to bring new products to the market and make them globally competitive; 11) to increase the international economic activity and increase the world’s GDP due to the increased trade.
Advantages of Globalization:
Globalization has had a profound impact on our way of life and has changed many aspects of our lives. It has helped greatly to increase trade between nations resulting in the mobility of people. The followings are the advantages of globalization:
1) In short, globalization has accelerated the pace of world and domestic economic change, altered patterns of international and domestic political relations, and altered conditions of international conflict. The globalization process has increased world trade and interdependence, which has deepened the economic ties between countries.
2) To increase market access, globalization creates markets where everyone has equal access, either directly or indirectly, to products and goods they want.
3) Economically, globalization has provided a platform for multinational businesses to more easily expand to other countries. It has also encouraged the formation of transnational corporations that are able to expand into international markets.
4) Economically, it leads to the disappearance of national borders and the creation of a world market in goods and services. Internationally, it has expanded trade, boosted competition, contributed to the reduction of tariffs and improved the efficiency of markets. It has also increased the flow of information and improved the means of communication.
5) Consequently, it has enhanced cultural exchanges, fostered the spread of knowledge, and expanded the audience for quality entertainment, all to the benefit of society.
6) Socially, globalization has brought people together across borders, breaking down barriers and creating new social ties.
7) Politically, the globalization accelerates the emergence of global power instead of single super-power.
8) it helps us becoming more tolerant and sociable irrespective of class, caste, religion, and countries.
9) The physical barriers between nations have been dismantled and the international trading system has expanded. Thus, the free flow of information and goods has allowed companies to have unprecedented access to markets around the world. Moreover, the expertise of workers and technological innovation have made the world more productive.
Disadvantages of Globalization:
After many years of globalization, people are starting to feel the negative effects. Most of the jobs in one country have been offshored to other countries, leaving the majority of the people jobless and in poverty. The cost of living has gone up, making it hard for the average person to make ends meet.
Even though globalization has increased the size of the world market, it has also brought about new kinds of social problems. Different kinds of threats posed by globalization are:
1) It has made the world economy more vulnerable by helping to create a single global market. It has dispersed manufacturing and services around the world to lower costs, which has increased inequality.
2) It has also made the world less secure by encouraging reliance on military power and weakening the social, political, and economic institutions necessary for a safe and secure society.
3) One of the greatest disadvantages of globalization is that it limits the ability of independent governments to control their own economies. This is especially true in the developing world, where government largely lacks the authority to make its own economic and social policies.
4) One of the greatest burdens of international globalization has been the loss of jobs as well as the hollowing out of the middle class. Jobs have been outsourced to low-wage countries, and the wages of those left behind have stagnated, or even declined.
5) While trade and commerce have brought many benefits, they have also had a negative impact on the social fabric of the world.
6) In most of the cases, globalization exploit the tax matrices of financially weaker countries.
7) The process of globalization initiates the spread of contagious and communicable diseases globally at large scale.
8) While globalization has increased prosperity for many people around the world, it has also accentuated global disparities and increased the concentration of wealth in a small number of economic sectors, threatening democracy and human rights.
Over the past two centuries, globalization has transformed the world economy, bringing prosperity to some nations and hardship to others. It has made some countries more powerful and others more vulnerable. It has also brought significant benefits to the United States, making them a richer and more powerful nation. But globalization has also brought serious problems for others as well.