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Globalization and Labor Issues - Essay Example

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In the year 2012, approximately 46.5 million Americans were living in poverty and this is suggested to be largest number in the five decades that census has measured…
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Globalization and Labor Issues
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Globalization and Labor Issues

Download file to see previous pages... On the other end, the developing world has made considerable improvement in cutting its poverty rate by a half. According to the most recent statistics, 21% of individuals living in the developing nations lived below or at $1.25 per day. That is down from 43% in 1990 and 52% in the year 1981. This is an indication that 1.22 billion individuals lived on less than $1.25 each day in 2010, in comparison to 1.91 billion in 1990, and approximately 1.94 billion people in 1981. However, there is a widening gap between the poor and the rich, and those who are capable of accessing opportunities. From the information, it is clear that the developing world is doing a considerable job in reducing its poverty line2. In regards to GDP, it does not mean that a nation with a good GDP have the best living standards. For instance, there are individuals living in poverty in the United States and other nations of the world including both the developed and developing nations.
There is a huge deal of inconsistency among the areas of the world which concern with trends in unemployment. In addition, there is a general division between developing and developed regions. For instance, unemployment rates in the European Union region and Developed Economies remain above the historical levels (8.6% in 2012 compared to an average of 6.9% between 1998 and 2007). On the other hand, in developing nations, unemployment rates are below average compared to the decade before the crisis. The main reason for this divide is that the developing economies have considerably outdone developed economies in period of recovery in terms of their economic growth3.
There is proof that stimulus packages implemented in the developing nations to mitigate the effects of the crisis were directed towards addressing weaknesses of the labor market. In contrast, the limited effectiveness of monetary and fiscal measures ...Download file to see next pagesRead More
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