The term "globalization" has acquired considerable emotive force. Some view it as a process that is beneficial—a key to future world economic development—and also inevitable and irreversible. Others regard it with hostility, even fear, believing that it increases inequality within and between nations, threatens employment and living standards and thwarts social progress. This brief offers an overview of some aspects of globalization and aims to identify ways in which countries can tap the gains of this process, while remaining realistic about its potential and its risks. Globalization offers extensive opportunities for truly worldwide development but it is not progressing evenly. Some countries are becoming integrated into the global economy more quickly than others. Countries that have been able to integrate are seeing faster growth and reduced poverty. Outward-oriented policies brought dynamism and greater prosperity to much of East Asia, transforming it from one of the poorest areas of the world 40 years ago. And as living standards rose, it became possible to make progress on democracy and economic issues such as the environment and work standards. By contrast, in the 1970s and 1980s when many countries in Latin America and Africa pursued inward-oriented policies, their economies stagnated or declined, poverty increased and high inflation became the norm. In many cases, especially Africa, adverse external developments made the problems worse. As these regions changed their policies, their incomes have begun to rise. An important transformation is underway. Encouraging this trend, not reversing it, is the best course for promoting growth, development and poverty reduction. The crises in the emerging markets in the 1990s have made it quite evident that the opportunities of globalization do not come without risks—risks arising from volatile capital movements and the risks of social, economic, and environmental degradation created by poverty. This is not a reason to reverse direction, but for all concerned—in developing countries, in the advanced countries, and of course investors—to embrace policy changes to build strong economies and a stronger world financial system that will produce more rapid growth and ensure that poverty is reduced. How can the developing countries, especially the poorest, be helped to catch up? Does globalization exacerbate inequality or can it help to reduce poverty? And are countries that integrate with the global economy inevitably vulnerable to instability? These are some of the questions covered in the following sections. Economic "globalization" is a historical process, the result of human innovation and technological progress. It refers to the increasing integration of economies around the world, particularly through trade and financial flows. The term sometimes also refers to the movement of people (labor) and knowledge (technology) across international borders There are also broader cultural, political and environmental dimensions of globalization that are not covered here.
[...] The thousands who similarly come to India to study Yoga, Buddhism and other important under appreciated aspects of Indian culture highlight the fact globalization is more of a two way street than most people realize. To understand the NRI community in America, note that Indian immigration to the United States has been particularly related to the high-tech sectors. Until recently, about 25% of the graduates of India's four most prestigious technology institutes immigrated to the U.S. This has lead to a situation where more Indian technological talent is in the U.S. [...]
[...] The phenomenon seems inevitable, so most of the focus is on how to enhance the positive aspects of globalization and mitigate the negative. Anti-globalization activists loudly protest corporate globalization. Their protests are extensions of their grievances against big business in general. So they seem to be protesting more against the "corporate" than the "globalization." Much of what these activists do is quite helpful in spurring reform and government oversight. But they are not deeply opposed to globalization per se. At the other end of the spectrum are the pro-globalization cheerleaders. [...]
[...] Beginning today, rediff.com brings you a special series on what the lifting of quota restrictions means to the Indian textile industry, how it will affect those involved in the sector and what lies ahead. An 18-hole golf course in the dusty, water-starved town of Tirupur in Tamil Nadu is proof of the changing times in India's textiles industry. Let alone a golf course, even a golf club in Tirupur would have been unimaginable some years ago. "But we have realized that such facilities are essential to venture into the new world and conquer the global market," points out K P Pannerselvam, a textile manufacturer in Torpor. [...]
[...] The crude and desperate attempts by ideologists of the Bush administration to somehow connect, in ever more arcane ways, the anti-globalization movement with the Islamic fundamentalists is fuelled by desire to distract public attention and hide a real anxiety on its side which is summed up in the question: when will the long list of real connections between the "terrorist network" the Bush administration is hunting and its own personnel be revealed? That is why, perhaps, President Bush harkened back to his childhood memories of "Wanted Dead or Alive Posters" (with the emphasis on "DEAD") when speaking of Osama bin Ladin and his associates. [...]
[...] Unless India adopts a stance of hard bargaining and selectivity in the manner it globalizes, globalization will take place on the terms of the world's most powerful nations - and is unlikely to bring widespread benefits for the Indian people. It is therefore high time that the mantra of unrestrained globalization be questioned and challenged. The tall claims made by it's advocates need to be carefully scrutinized without the prevailing neo-liberal bias. The many failures, economic distortions and pitfalls of globalization need to be clearly exposed. [...]
APA Style reference
For your bibliographyOnline reading
with our online readerContent validated
by our reading committee
