THE IMPACT OF GLOBALIZATION
THE IMPACT OF GLOBALIZATION ON DEVELOPING COUNTRIES
Phuong Anh Tran
Avdić Adisa Ing.
Study Skills – IBSS0PPZ
14.12.2014
The World Bank defines developing country as the “one in which the majority lives on far less money – with far fewer basic public services – than the population in highly industrialized countries.”(The World Bank; www.web.worldbank.org) and it also says that
“five million of the world’s 6 billion people live in developing countries where incomes are usually under $2 per day and a significant portion of the population lives in extreme poverty
(under $1.25 per day)”(The World Bank; www.web.worldbank.org) but on the other hand according to the United Nations Statistics Division “there is no established convention for the designation of “developed” and “developing” countries or areas in the United Nations system.”(United Nations; www.un.org). Not many people realized how globalization affected us over past centuries and how globalization puts human societies all over the world closer together, especially in the past few decades. Thanks to modern world and all its possibilities, such as transportation, communication or technology, everything is connected more than ever before. Products from one part of the world can be shipped and sell to anywhere and along with that traditions and ideas goes around more freely. The whole process of globalization increases interconnectedness between societies. Events in one part of the world have more of an effect on people in societies far away. The world seems to be shrinking. In the end, everything is getting at the international level, from economies, laws and even social
movements. Since “globalization involves the increased integration of national economies, which means a reduction of barriers in trade and investment between different economies”
(Economics Help; www.econ.economicshelp.org) one of the biggest benefit is the benefit of free trade. Nevertheless, with free trade also comes free movement of labour,
Phuong Anh Tran
Avdić Adisa Ing.
Study Skills – IBSS0PPZ
14.12.2014
The World Bank defines developing country as the “one in which the majority lives on far less money – with far fewer basic public services – than the population in highly industrialized countries.”(The World Bank; www.web.worldbank.org) and it also says that
“five million of the world’s 6 billion people live in developing countries where incomes are usually under $2 per day and a significant portion of the population lives in extreme poverty
(under $1.25 per day)”(The World Bank; www.web.worldbank.org) but on the other hand according to the United Nations Statistics Division “there is no established convention for the designation of “developed” and “developing” countries or areas in the United Nations system.”(United Nations; www.un.org). Not many people realized how globalization affected us over past centuries and how globalization puts human societies all over the world closer together, especially in the past few decades. Thanks to modern world and all its possibilities, such as transportation, communication or technology, everything is connected more than ever before. Products from one part of the world can be shipped and sell to anywhere and along with that traditions and ideas goes around more freely. The whole process of globalization increases interconnectedness between societies. Events in one part of the world have more of an effect on people in societies far away. The world seems to be shrinking. In the end, everything is getting at the international level, from economies, laws and even social
movements. Since “globalization involves the increased integration of national economies, which means a reduction of barriers in trade and investment between different economies”
(Economics Help; www.econ.economicshelp.org) one of the biggest benefit is the benefit of free trade. Nevertheless, with free trade also comes free movement of labour,
Cited: Adrian Wood,North-South Trade, Emplyment and Inequality: Changing Fortunes in a Skill-Driven World, 1995; page 23 David Ricardo, Principles of Political Economy and Taxation, 1817 Ian Goldin and Kenneth Reinert, Globalization for development, 2007; pages 171-172 Michael Maritato, International Relations and Politics, lecture; presentation Week 2, Week 7, Week 9/class SR4AB(2014) Sanjaya Lall, Working Paper Number 93, The Employment Impact Of Globalization In Developing Countries, 2002 Wayne Ellwood, The No-nonsence guide to Globalization, 2009; page 15 ASEAN, www.asean.org; http://www.asean.org/asean/about-asean