Globalization: the Good, Bad and the Ugly
Globalization: The Good, Bad and the Ugly
Submitted By: Group 6
G11003, G11024, G11044, G11055
Batch: GMP 2011-12
The Good
As we know from the simple principle of microeconomics that” people face trade off”. We are better off when we trade off. People have to give up something which they have to get something which they do not have. What globalization has done to the human kind is beyond imagination. We have the access to resources which one could not even think of before globalization. There are five factors of production, land, labor, capital and organization. These are the resources which are leveraged to optimize the production of goods and services. After globalization market has become free and every country has access to each others’ resources. There are two things which work, one the country is benefitting because of export and the country is able to generate goods, services and employment by exploiting other country’s resources. So both of them are complementing each other and participating in mutual development. If you look at the tag on your shirt, chances are you would see that it was made in a country other than the one resides. What's more, before it reached your wardrobe, this shirt could have very well been made with Chinese cotton sewed by Thai hands, shipped across the Pacific on a French freighter crewed by Spaniards to a Los Angeles harbor. This international exchange is just one example of globalization, a process that has everything to do with geography. As more money is poured in to developing countries, there is a greater chance for the people in those countries to economically succeed and increase their standard of living. Global competition encourages creativity and innovation and keeps prices for commodities and services in check. Developing countries are able to reap the benefits of current technology without undergoing many of the growing pains associated with development of these technologies. Governments are able to better work
Submitted By: Group 6
G11003, G11024, G11044, G11055
Batch: GMP 2011-12
The Good
As we know from the simple principle of microeconomics that” people face trade off”. We are better off when we trade off. People have to give up something which they have to get something which they do not have. What globalization has done to the human kind is beyond imagination. We have the access to resources which one could not even think of before globalization. There are five factors of production, land, labor, capital and organization. These are the resources which are leveraged to optimize the production of goods and services. After globalization market has become free and every country has access to each others’ resources. There are two things which work, one the country is benefitting because of export and the country is able to generate goods, services and employment by exploiting other country’s resources. So both of them are complementing each other and participating in mutual development. If you look at the tag on your shirt, chances are you would see that it was made in a country other than the one resides. What's more, before it reached your wardrobe, this shirt could have very well been made with Chinese cotton sewed by Thai hands, shipped across the Pacific on a French freighter crewed by Spaniards to a Los Angeles harbor. This international exchange is just one example of globalization, a process that has everything to do with geography. As more money is poured in to developing countries, there is a greater chance for the people in those countries to economically succeed and increase their standard of living. Global competition encourages creativity and innovation and keeps prices for commodities and services in check. Developing countries are able to reap the benefits of current technology without undergoing many of the growing pains associated with development of these technologies. Governments are able to better work