Globalization
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The International Monetary Fund defines globalization as “the growing economic interdependence of countries worldwide through increasing volume and variety of cross-border transactions in goods and services, free international capital flows, and more rapid and widespread diffusion of technology”. Meanwhile, The International Forum on Globalization defines it as “the present worldwide drive toward a globalized economic system dominated by supranational corporate trade and banking institutions that are not accountable to democratic processes or national governments.” ( www.wikipedia.com/wiki/globalization) Well almost anything, theory, person, etc. has its positive side and negative side, here we will discuss the ups and downs of globalization.
Supporters of free trade point out that economic theories of comparative advantage suggest that free trade leads to a more efficient allocation of resources, with all countries involved in the trade benefiting. In general, this leads to lower prices, more employment and higher output.
positives
1) Access to and diversification of overseas markets with a resulting increase in incomes . 2) Increase in trade.
3) Access to technological improvements.
4) Increased demand because of higher per capita income and population growth.
5) Improved quality of products.
6) Increased competitiveness in international markets through better organisation of production and management.
Generally speaking, the anti globalization side believe that the