The Positive and Negative Effects of Globalization

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The Positive and Negative Effects of Globalization

Is Globalization ultimately positive or negative, or somewhere in between? I believe it depends on who you ask the question, and how it affects their life. For myself, I can’t get passed the negative way it has impacted my life and others around me in the same situation. Those of us who have lost our jobs and livelihood and are now labeled as “the long term unemployed” have seen our jobs eliminated and outsourced overseas; find it hard to feel positive about globalization. Watching families lose their homes and children going hungry is a disgrace considering we are the greatest country in the world. Maybe we are our own worst enemies to a degree. The collapse of our economy is partially due to globalization and our own greed. What happened to the middle-class? Unemployment is at an all time high since the Great Depression of the 1930’s. What we are experiencing now has been referred to as the Great Recession of 2007-2010. I beg to differ and believe we are indeed in a second Great Depression. I’m sure many will agree. The middle-class has been squeezed tight. Most of the middle-class is feeling the brunt of this hard hit economy. Many are living paycheck to paycheck. Job cuts have really hit all class levels from low income earners to upper management. Some say the middle class is gone. I believe we are still here and maybe struggling for now, but we will rebound just as those did after the Great Depression of the 1930’s. This is history repeating itself. Before returning back to school a year and a half ago after a ten year lapse, I never really knew or understood much about globalization. Not being ignorant, I probably just did not relate issues to the term globalization. I’ve come to find out, globalization is a fairly new idea that many are embracing today. I have found through my research that the term globalization is not easily defined either. “Globalization is an umbrella term for a complex series of economic, social, technological and political changes seen as increasing interdependence and interaction between people and companies in disparate locations.” 5 There are numerous beneficial effects for people in all countries. “It has been the most successful prosperity and anti-poverty movement in modern history.” ˡ Some of the advantages of globalization include – businesses are forced to be competitive on a global scale which allows the market place to work and gives consumers a better advantage. Politicians can no longer protect businesses. They have to compete with foreign businesses whether they like it or not. Labor in a country will stay with a market sector they are good at. American labor can focus on something more beneficial if China is better at manufacturing. Consumers can get the best products for the best prices. They can purchase items of the same quality for less cost from China. Before globalization China and India were poor countries with a poor standard of living. Now everyone grows more prosperous. These countries are economically booming. These are the positive effects of globalization. “It is a movement that is pro-free trade, pro-prosperity and anti-poverty. It is helping the developing world raise its standard of living as well as raising the standard of living in the developed world.” ˡ In terms of the positive impact globalization has had on employment, companies have ventured to developing countries producing employment opportunities for them. This is one of the positive and negative effects of globalization, depending on whose point of view you hear. “It has given an opportunity to invest in the emerging markets and tap up the talent which is available there. In developing countries, there is often a lack of capital which hinders the growth of domestic companies and hence, employment. In such cases, due to global nature of the businesses, people of developing countries too can obtain gainful...
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