Just imagine waking up in squalor, a once prominent society, now a desolate wasteland. All because foreign interest has raped your land of its natural resources and you seen not a cent in profit. Although, globalization is unifying the worlds developed nations and is bringing commerce to nations that have struggle in past years. True, globalization has many positive effects but do the pros outweigh the cons. In this essay I will discuss Globalization ruining the integrity of many countries and also is forcing many undeveloped nations into a bind, and is causing economic distress on some developed nations.
Many different factors contribute to the exploitation of developing countries and has caused many issues for them economically. In spite of the fact that free trade increases opportunities for trade internationally, it also increases the risk of failing for small companies in undeveloped countries that cannot compete on an international level. I cannot definitively say that globalization itself is completely good or completely bad, however I do believe it has caused great losses for the poor and middle class.
Franklin D. Roosevelt scorned and worked against the minority in the 1920’s that had such a powerful influence over the majority of the country at that time (Sachs). However the economic and political factors differ today from 1920’s. China and globalization add even more challenges to solving the economic crisis at hand (Sachs). In the present economy, “profits are being earned, and kept, abroad” (Sachs, 2011, p. 30). In the U. S. workers are losing jobs as more and more companies are moving operations off shore, these workers also must compete with higher educated individuals and oversea workers for jobs, while manufacturing and other low skill jobs continue to shrink (Sachs).
“The benefits of globalization have been unfairly skewed towards a privileged elite, a trend that leads to lower global growth…”. I think that globalization is a major reason why poverty is becoming such a major issue in today’s society. I know from fact that globalization and
These powerful monopolies and industrial combines charge unfair prices from the consumer and crush the small producers. This leads to a redistribution of income from consumers to the shareholders of monopolies. (iii) Suppression of Talent: It is said that ‘slow rises merit by poverty depressed’. It is not easy for a poor man to make his way in life, however brilliant he may be. It is a great social loss that brainy people without money are unable to make their due contribution to social welfare.
Globalisation can be defined as “the process of an increased relationship between national economies through international trade, foreign direct investments by multinational firms, and international financial investments”. With an increase in trade between nations, the distribution of resources will reallocate exports and pricing in a procedure to find stabilit... ... middle of paper ... ...onal trade inhibit their own ability to grow and become wealthy. As a result, these countries have not benefitted from globalization and are therefore seen as poorer countries with high poverty rates and low-income rates. Migration of intellectuals has also prevented the developing nations from benefitting from globalization. People are voting with their feet and leaving the country for better opportunities, resulting in a brain drain.
Many of these trends of poverty actually make things exponentially worse by repelling foreign entities who might want to help. So as a result the poorest nations tend to get even poorer. Many of the poorest nations remain unable to attract foreign investors. This seems strange since the whole reason why these investors go to poor countries and build factories is because the workers in super poor nations are willing to work for little to no money. But when you think about it you realize that it’s just too much of a hassle for them to try and ma... ... middle of paper ... ...l improvements in major industries like the transportation industry have also benefited wealthy countries more than poor countries.
Apter (2002, p.13) stated: “The truth is that if one can’t live with globalization, one can’t live without it either. Its consequences are many and diverse. But the devil is in details”. An analysis of globalization’s impact on economies of developing countries points out that globalization is a negative trend that widens the gap between wealthy and poor, exploits resources, and makes developing countries more depressed and marginalized. Harmful Impact of Globalization on Developing Countries Negative Trends, Deception, and Role of Multinational Companies Globalization facilitates integration of economies in terms not only of services and goods, but of technology, information, and ideas (Birdsall, 1999).
The film explores a maze of illegal activities and provides evidence supporting the idea that the sale of counterfeited goods results in government instability, money laundering, corruption and a host of other problems around the world that globalization has brought upon today’s society. The wealthier countries exploit innocent people for economic growth and create unequal distribution of wealth, which leads to a decrease in over economic productivity and slows economic growth. Low-skilled workers in developed countries who will see a decrease in wages due to the competition that they face from low-skilled workers in developing countries who will see an increase in wages. Economists have come up with an idea that trade liberalism is the force behind the rise of inequality in the United States and Western Europe, because of the boost in trade with poor countries and fragmentation of means of production, that has caused low-skilled jobs to be outsourced. Where treatment of the workers are inhumane and the unequal distribution of wealth will lead to an increase in poverty because the inequality leads to harmful for development that is generated because too he pressure that is created by inequality, this is directed the states having to adopt to redistributive polici... ... middle of paper ... ... of individuals competing for low-skilled jobs.
There seems to be a pattern of growing poverty that is in relation to a diminishing middle class. It seems as though the shrinking middle is on its way to extinction and the number of poor people is increasing tremendously. Our society shall soon be composed of two groups, the filthy rich and the filthy poor. This is a direct consequence of globalization. There seems to be a rule associated with globalization that states that a government has to do everything in its power to attract foreign investors regardless of any social problems.