Topics: Economics, International trade, Globalization Pages: 2 (382 words) Published: March 20, 2013

Comparative advantage assumes that capital is essentially national in character rooted in the ownership of land and the production of goods. International trade will benefit all countries

There has been a shift from productive capital to financial capital. Capital demanded to be bribed to come and utilise {exploit} a country’s labour. {pay low taxes}.

Globalisation rules require country’s to sign up to liberalisation and privatisation. Effectively selling off public assets at very low prices.

Over the past year £1m people in 20 countries have protested against globalisation.

Brazil: AES {a US energy giant} has threatened to block a £2bn investment project unless energy prices are deregulated. Surcharges of up to 200% on electricity consumers

Columbia: Workers have retaken control of major suppliers of water, electricity and telecommunications in Cali.

Allyson Pollock {UCL}: privatised markets in public services cost more, deliver less bequeaths huge debts and generally walk off with public assets.

Globalisation will lead to a transfer of technology: South Africa was prevented from manufacturing its own anti-aids drugs. Technological advances are not been offered freely to the poor. All demand payment of royalties and protection of patents.

Large amount of spurious trade in goods and services. Carbon emissions. Problem: Subsidies for exports and transport.
Guardian 15/8/2001 page 12 {A. Simpson: labour MP Nottingham South}

J.Sachs & A.Warner: developing countries with open economies grew over six times faster than those with closed economies. D.Dollar & A.Kray GDP per head fell by 1.1% in the 90’s in non-globalising countries. GDP rose by 5.1% a year in globalising ones {economic growth dominated by the record of Asia that masks the failure of other regions}. Incomes of the poor rose with overall growth. Letter Guardian 7/8/01.

World Bank – the developing countries which have performed the best over the past...
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