Globalisation And Theories And The Impact Of Globalization And Its Impacts

1102 Words5 Pages
Globalization and its Impacts Introduction This essay will mainly point out on what is globalization and its theories and what effects is it causing on welfare of people and how is it causing effects on social conditions for the population in south in this essay it is about India and Nigeria . Globalization and Theories Oxford dictionary (2015) explains that Globalization is the process in which businesses and organizations develop international influence and work in an international scale .The world system theory states there is a class difference within society . So, the wealthiest of society will use the poor parts of society…show more content…
Integration of economies has made policy options limited for states . Capitalism has affected the way states run in today 's world . This leads to formation of polices which favor the principles of markets due to the structure of globalization. In this case, states cannot be sovereign and form their own policies . States must have the freedom run its political and economical work according to its own values without being interrupted by any external power . Welfare state has been bought up to ensure social security for its citizens but over the years this concept has been getting a lot of heat from developed countries .This could be due economic globalization which can lead to devaluing of currencies , regulation of capital markets, excessive public funds leading public deficit and also increasing cost of labor on goods and services . Globalization of economies has made the chances of states to know there outcome of their polices less. Due, to the completion of international trading markets and increase of mobility in capital and MNC 's , states are forced to reduce to cost on labor , reduction of good and service prices , and reduction of taxes to make their local markets more competitive which effects the welfare of the state a lot . After the 2008 financial meltdown everyone turn to the austerity measures which leads to the cutting of employment in public sector and also reduction of pensions . If they would be no integration in economies and without any completion states would not be forced to choose what they want . Globalization is limiting states to run its own and limiting the availability of policies

More about Globalisation And Theories And The Impact Of Globalization And Its Impacts

Open Document