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Student number:1135209315
Class number: 2
Chinese name:Xie Jia
English name:Aaron

Task 1 Summary writing

Globalization makes great contributions to the convenient communication of different countries all over the world due to the rapid increase of trade commerce and information flow . It did change the world to a great extent . While as Abadon explains , it has both positive and negative effects(Abadon 2009).

Free trade plays a main role in globalization .With the development of world trade principles of free trade valued by the WTO and GATT came into being. Free trade promotes different countries’ economies . On the one side , countries which trade openly think it can make sense. On the other side ,closed countries benefit less . The balance of global trade between developed and least developed countries(LDC) does not exist gradually . For example , Europe and East Asia benefit more than Africa when trading . LDC can change strategy in expanding the exports of manufactured goods and services(Abadon 2009).

Because of the free trade, a large amount of money is circulating worldwide. However the major assets are controlled by a few rich countries. From 1980’s to 1990’s , neoliberals have taker measures to set free money from governments, lowering government expenses , reducing taxes, as well as relaxing policy on banks it is a good way for gaining liquidity from the world. However ,in East Europe, and Latin America they are not lucky all the time. In addition, because of the speed of financial transactions, nervous investors can quickly withdraw their capital, which can lead to financial crisis, for example the Global Financial Crisis of 2007-2009.

In addition, there is a big increasing speed and amount of information and communication around the world. It is known that IT has too many advantages, not only referring to plenty of new jobs it provides , new product methods but...
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