Globalisation And Regionalism: The Process Of Globalization Vs. Regionalism

This goal of growth in economy can be achieved through international trade, which involves many countries. Despite the obvious gap between developed and developing countries, economic globalization can manage to bring out positive results for both countries. Benefits arising from economic globalization can be shared among different organizations in various nations. When countries get involved in global trade, companies in those respective countries also benefit from such a move. Nations as well as business organizations are able to explore new markets and therefore increase their output leading to economic growth.

Globalization: History, Trends, and Technologies Globalization is textually defined as the development of an increasingly integrated global economy marked especially by free trade and free flow of capital, and the tapping of cheaper foreign labor markets (Webster’s Dictionary). Within this definition we can see so many vital pieces that need to coexist in order for it to be a truly globalized environment in this world. Globalization is term that is currently being used more frequently but it doesn’t mean the early forms of it were not already in motion. From the early second century BC, “silk roads” were being formed which traded goods from one part of a country to another. Early empires were thriving on globalizing their countries by creating routes and trails to communicate and transport goods.

For centuries, international trade has been a cornerstone for the advancement of geopolitical stability and international relations, but, now more than ever, the importance of free trade is rising. But what precisely is free trade, and what exactly is its purpose in the grand scheme of things? Is it necessarily a good thing, or is it actually doing more harm then good? The answers to these questions are what we need to know to make sure we truly understand the significance of free trade in this increasingly globalized world. Since trade is the economic route a product takes to its market, international trade should be just that on a larger scale, but its so much more.

At the national level, globalization plays a very important role for both the developing and the developed nations. The developing nations can imbibe new technology in the production of goods from the developed countries. The developed countries can make use of cheap labor and also available resources in the developing countries. The developed countries can establish multinational corporations in other countries which gives employment opportunities to the members of those countries. This paper aims to study the meaning of globalization and much importance is given to it in the recent times.

Introduction to International trade International trade is the exchange of capital, goods, and services across international borders or territories or in other words is the process of import and export. international trade has been present throughout much of history its economic, social, and political importance has been on the rise in recent centuries. Industrialization, advanced in technology transportation, globalization, multinational corporations, and outsourcing are all having a major impact on the international trade system. While In most countries, such trade represents a significant share of gross domestic product (GDP). Increasing international trade is crucial to the continuance of globalization this is because without international trade, nations would be limited to the goods and services produced within their own borders.

This paper will be discussing international trading with emphasis on national sovereignty, the World Trade Organization, and how the WTO impacts trading countries. To understand how the World Trade Organization impacts international trading and national sovereignty, we must know what they are and mean to countries. All countries must trade to sustain their people and to get the products they need. It is a known fact that certain countries have what other countries need/want; whether it is natural resources, labor or consumer products. Trading though needs to be regulated, because bigger countries can “bully” smaller less experienced countries.

Instead, the potential of globalization must be acknowledged, though one must take into account the negative impact it has had on the world and look for ways in which it can be improved as argued by Joseph Stiglitz. On the one hand, Philippe Legrain claims in the book Open World: The Truth About Globalization that globalization is not just about the increased ease of transportation of resources and capital, but rather about increasing knowledge and technology, lowering costs, increasing trade, and bringing new opportunities and jobs to both the developed and developing world. Nevertheless, with the United States as the hegemonic power of the past century, it has often implicated what Stiglitz calls American Unilateralism, which claims to be spreading ideas of democracy and the American Dream, while imposing policies that undermine it. The Unit... ... middle of paper ... ...ed to the promotion of tyrannical governments and the reduction of social welfare programs. In order to mitigate these negative consequences of the profit making ideology, global governance and treaties that aim at helping developing countries advance without undermining their democratic principles are needed.

In turn, the countries all benefit from each other. The markets will dictate what the driving forces are, but for now, the largest driving force in the world’s economy today is technology. The effects of globalization can be seen in many different organizations and even communities across the US. Regional trading blocs help countries that would normally not be a participant in the world market. Globalization is will only make this world’s economy stronger.

Globalization, a great number of people regard it as a chiefly economic phenomenon, necessitating the additional integration, or interaction, of nationally based economic entities through the development of international trade, investment and monetary flows. Also included in this view is the rapid advances in sharing social and cultural values as well as new technologies as the world grows together. Globalization can be defined as a procedure in which geographic distance is a diminishing factor in the formation and sustentation of international economic, political and cultural relations. Proponents of this process believe that free trade and integration of world markets will facilitate growth in economies both old and new. Proponents also believe that globalization will stimulate the spread of democracy and in turn improve the condition of human rights so intrinsic to the values of democracy.

Globalization has elevated the global modernization of living swifter than that at any other time in the history of the world, and it is supporting amazing economic growth (Thomas Friedman, 2006). Friedman also uses a term called glocalization-where cultures infuse foreign ideas and better global practices with their own traditions to insure an enhanced form of living. Countries that open and willing to change are said ... ... middle of paper ... ...make relevant points. In an ideal world Thomas Friedman would be absolutely correct with technology bridging the gap between all societies, but we have run into set-backs as William Duiker suggested. In the world today we are experiencing economic melt downs amongst almost all of our developed nations, including the United States.