Positive and Negative Aspects of Globalization - Essay Example

Globalization Introduction Various authors have defined the term globalization but the most commonly accepted definition of globalizations is that it is a process that entails the interaction as well as integration among, individuals, organizations as well as states and this interaction is mainly due to investments and trade which are supported by the use of information technology. Despite this definition globalization exceeds the economic phenomenon. Globalization affects the wide range of aspects such as the environment, political system of a country, the economic development, culture as well as the well being of the most communities all over the globe. In essence globalization is mainly compared to a two-edged sword, since it has both positive and negative effects. Thus one ought to look at both the positive and negative effects of globalization and look for ways to solve the negative aspects that are attributed to globalization. This essay will deal with the positive as well as the negative aspects of globalization in respect to all those dimensions and will lastly offer a list of recommendations to solve the negative effects brought about by globalization. Positive aspects of globalization One of the major benefit that is associated with globalization is that with the improvement of technology there has been a noteworthy reduction of costs and prices and also there has been a change in the way that the world learns, communicates as well as the way diseases are treated. Thus globalization has assisted a lot in easier treatment of disease, easier and quick way of communicating of individuals in different places. Also due to globalization there has been the invention of modern forms of communication which leads to the faster spread of information globally. This has contributed a lot in overthrowing of undemocratic governments and a development in open-minded democracies all over the globe. Another benefit of that is brought about by globalization is that a large number of the countries that engage in it have a faster economic growth as compared to other which does not participate in it. Thus these countries have improved levels of living standards thus leading to reduces poverty levels in those countries. With economic globalization, there is an increased level of interdependence among states, this is mainly reflected the increased numbers of cross border trade in goods and services this has increased financial flows as well as flows in relation to labor and therefore most countries have achieved economic growth (Bourguignon 2002). A good example of such a country is India, over the last two decades India have been able to reduce its poverty level. China has also reduced the levels of the poor people living in the rural areas form approximately two hundred and fifty million to thirty four million by the year 1999. Also due to globalization cheaper product are made available to a wide range of individuals and based on accessible competition there is promotion of efficiency as well as productivity. Globalization has also led to migration of individuals from various continents to other continents, with migration there have been greater levels of diversity as well as respect for cultural distinctiveness and this has ultimately led to improved democracy across various states and access to the basic human rights all over the globe (Hatton & Jeffrey 2002). Globalization has also led to increased levels of interdependence. There have also been establishment of institutions such as the World Bank and the WTO so as to take care of inter-government disputes among different countries in disputes (Berg & Anne 2002). This has in itself enabled resolutions which based on rules thus the reduction of international and economic tension between countries hence free trade is enhanced. More importantly globalization has sustained peace around the globe since states are not likely to engage in conflicts with their trade partners and the reduction of poverty play a major role in reducing the proliferation ground for terrorism. Globalization has enabled the spread of language, products and customs around the globe. Through globalization individuals have been able to have some known relating to the cultures of others in the world this has in turn led to better understanding between individuals from different states. Negative aspects of globalization Despite all the positive impacts that globalization have it still have its drawbacks. With trade liberalization as well technological improvements have changed the economies of most countries and there has been a destruction of traditional agricultural communities since government has allowed the import of cheaply manufactured products into the country (Edwards 1998). This has ultimately led to unemployment since the employment opportunities that existed in the traditional sectors are scarce and individuals do not have the adequate skills to perform the work which are created since they require specialized skills. With the invention of the modern day forms of communications individuals have been enlightened of the difference that exist between different countries and therefore individuals have moved to the more developed countries in search for better employment opportunities and better living standards. In response the highly developed countries have placed barriers on migrant workers and racist fears have increased and most migrants end up been mistreated as well as been exploited. Globalization is also said to have various costs in relation to social and economic aspects. Trade liberalizations have been found to reward competitive companies as well as penalize uncompetitive ones, thus most participating countries and forced to undertake various economic restructuring and reform. Although there are long term benefits associated with it, there are displacement costs to tackle with in the short term, and the social costs associated with those who are affected are high (Barro 1997). Globalization has also been found to erode native and national culture and languages. A good example if this is the African countries; most Africans have eroded their cultures and adopted the cultures of other countries which seem to be more superior. Globalised competition among various states has also been found to empower of a 'race to the bottom' in terms of wage rates and labor standards. Globalization has also been attributed to brain drain of the experienced workers; this is because the most qualified individuals in a country tend to migrate to other countries with better salaries. This leads to shortage of skilled labor in most developing countries. In relation to the political aspect of globalization the major economic powers play a major role and have a greater say in the globalization, such as WTO this aspect act against the interest of the developing countries. This is because they have the superior countries have a high level of agricultural protection as compared to the other countries. Solutions To solve the problem associated with trade liberalization is the export control. This will ensure that the local communities use goods that are manufactured locally. Also the government can implement high taxes on high exported goods this will ultimately increase the cost of the exported products thus with the high cost of the products the local people will be forced to consumed the locally manufactured products. The negative aspects brought about by globalization ought to be solved as to ensure that all countries benefits from it. In relation to negative political aspect of globalization all countries ought to have an equal say in global institutions such as the World Bank and the WTO (World Bank 2002a). This will ensure that all countries benefits from globalization. This can be done by having the same level of agricultural protection in all countries. To solve the problem associated with the trade liberalization rewarding the competitive companies a country ought to ensure that its home industries are as competitive as those from other countries. This will ensure that country’s products are consumed more than the products from other countries. To solve the problem associated with brain drain, countries ought to create universities in their countries. This will ensure that students are not part of the brain drain. This problem can also be solved by the launching and international centers of excellence in each country. The problem can also be caused by countries investing in the rebuilding of higher institutions of learning so as to enable native scientists to participate in research thus no need of migrating to other countries. To solve the problem associated with erosion of culture, government ought to invest greatly heavily on the financial as well as human resources in diversity of culture as a matter of priority. Also a new approach ought to be introduced so as to enable the recognition of different cultures as well as identities which will further the expansion of cultural pluralism in the globe. Conclusion Based on the essay it is evident that globalization has both positive and negative effects on almost all aspects of life such as culture, economy, political aspects, mobility aspects and technology. The recommended solutions ought to be put in place so as to control its negative effects while at the same time ripping the positive impacts that are brought about by globalization. This will therefore led to a more positive impact of globalization on all aspects out everyday lives. References Barro, R 1997, Determinants of Economic Growth: A Cross-Country Empirical Study. Cambridge, MA: MIT Press. Berg, A. and Anne K. 2002, “Trade Growth and Poverty”, Washington, DC, World Bank, presented at the 2002 Annual Bank Conference on Development Economics. Bourguignon, F. 2002, Making Sense of Globalization: A Guide to the Economic Issues, Centre for Economic Policy Research, London, CEPR Policy Paper No. 8. Edwards, S. 1998, “Openness, Trade Liberalization, and Growth in Developing Countries,” Journal of Economic Literature, vol. 31, iss. 3, pp. 1358-1393. Hatton, T. and Jeffrey G. 2002, “What Fundamentals Drive World Migration?”, NBER Working Paper 9159 (Sept). World Bank 2002a, Globalization, Growth, and Poverty. World Bank Policy Research Report. Read More