Globalization

The term globalization has obtained a high sensitive charge throughout the years. Some people consider globalization to be a benefit process, at the same time as inevitable and irresistible. Other people see globalization with hostility, even fear, because they believe that it causes more inequality within countries and it threatens employment and the living conditions, therefore hampering the social progress of a country. According to Ira Rifkin, in the "Spiritual Perspectives of Globalization," it is said that globalization can be attributed to a meeting of representatives of 45 nations at Bretton Woods in 1944, which outlined a plan for economic recovery. It was then that the International Monetary Fund (IMF) and the International Bank for Reconstruction and Development were created. These institutions blame globalization for many economic fiascos, as well as environmental and cultural factors that quote as evidence of systematic errors of globalization.
Globalization offers great opportunities to reach a truly global development, but is not progressing evenly since some countries are integrating into the global economy more quickly than others. In countries that have been successfully integrated into it, the economic growth is the fastest and poverty is reduced. As living conditions have improved, it has been possible to advance into a democratic process, and economically, to make progress on different issues such as environmental and working conditions. Does globalization deteriorate inequality or does it help reduce poverty?
Markets promote efficiency through competition and division of labor, i.e, the specialization that allows people and economies to focus on what they do best.
Thanks to globalization, it is possible to benefit from even larger markets around the world and have greater access to capital flows and technology, and to also benefit from cheaper imports and larger export markets. However, markets do not necessarily guarantee that the increased efficiency will benefit everyone. Countries must be willing to adopt the necessary policies and in the case of the poorest countries, these countries may need the support of the international community to achieve this goal.
However, although the gap between human development indicators has been reduced in the long run, too many people are falling backwards. Life expectancies may have increased, but for many people, the quality of life has not improved and many are still immersed in poverty. This is compounded by the spread of AIDS throughout Africa seen in the last decade, which is reducing the life expectancy in many African countries.
Again, it is urgent to implement policies aimed specifically at combating poverty. In countries where're satisfactory growth has been recorded, implementing sound policies can expect a sustained reduction of poverty, since recent data confirms that there is at least a one to one correspondence between growth and poverty reduction. Also, if policies are strongly oriented to fighting poverty - for example, through well-targeted social spending - it is more likely that growth translates into a much faster reduction of poverty. This is a compelling reason for all those responsible for economic policy, including the IMF, to take into account more explicitly the goal of reducing poverty.
As the process of globalization has advanced, life conditions have appreciably enhanced in almost all of the countries. However, most people that have benefited, have been those in the developing countries and only some of the countries are being developed.
The fact that the distance between high income countries and low income countries has been extended is very concerning, and in addition, the number of individuals in the world that live in extreme misery has become a problem. However, it is incorrect to conclude that blaming globalization of the cause of the divergence or that nothing can be done to improve these current situations. On the contrary, low income countries can not be integrated into the world economy as fast as many other developing countries, due to the politics that these countries have decided to implement. No country, even the poorer ones, can afford to be cut off from the world economy. Every country has their main objective to reduce poverty. The international community would strive to help poor countries that are trying to integrate into the world economy, to accelerate their economic growth, and to reduce poverty as well. This is the best way to guarantee that everyone in all the countries around the world are benefited from globalization.