Globalization Brian Chambers Economics

What Really is Globalization?

Globalization is defined as the process of international integration arising from the interchange of products, communications, political ideas, and other aspects of culture. Economic globalization is the interdependence of economies through an increase in cross-border movement of goods, services, technology, and capital.

Globalization although it has number of positive attributes still has a largely negative affect on many people. Globalization has created the ability for many companies to outsource work and allow them to produce products from cheaper labor. This results in an increase in poverty for many countries because their citizens are left without the jobs that have been sent overseas.

For Example: The Iphone

Did you know that most iPhone are assembled in foreign countries such as China and Taiwan Companies that outsource factory jobs such as Apple have taken a number of jobs away from the American economy and people. These companies try to disguise this by stating they are keeping the real jobs in America such as product design, software development, and product management. But in reality these jobs do not require the number of workers that a factory requires. These jobs also require a higher amount of education than that is needed for a factory worker.

Increases in poverty rates are a direct result of this because in these developing countries that jobs are being outsourced to, the workers are being paid less than what they deserve for their services While in the developed countries that are outsourcing these jobs, the population of people without jobs are increasing rapidly.

Globalization has resulted in the rich getting richer and the poor getting poorer This is because the rich and wealthy are finding new ways such as outsourcing jobs and using the new technology that comes from globalization to replace the jobs that require minimum wage, which owners are not willing to pay.

For nearly 3 billion people live on only just two dollars a day That is half of the worlds population. Of the 2.2 billion children in the world:  1 million grow up in poverty  640 million without adequate shelter  400 million without access to safe water  270 million without access to health care services

“If your in the luckiest 1 percent of humanity, you owe it to the rest of humanity to think about the other 99 percent” –Warren Buffett