Globalisation Essay Example | Topics and Well Written Essays - 1500 words - 1

Globalisation - Essay Example However, interrelations and dependence among the different economies of the world was present from the historical period but what appears to be new with the concept of globalization is the intensification of the awareness of people. Local transformations as well as extensions of social relations laterally through time and space are parts of the process of globalization. Thus, with globalization the society will be without borders and boundaries with no specified cultural territories. This often results in dominance of the developed countries of the world over the poor economies in their efforts of decision making which often leads to the exploitation of the dominant economy leading to their degradation of the environment and human rights suppression. Thus, the objectives of the global economists are to suppress the negative impacts of the globalization process so that the positivities of the phenomenon could dominate. (Globalization101, n.d.: Waters, 2001, pp. 2-4) Background of glob alization There have been constant debates among economist regarding whether globalization is a unique phenomenon of the recent modern period. However, history reveals that trade relations existed among economies from historical age. There were also cultural interactions among countries, and work relations as people migrated to different countries of the world for better living from the time immemorial. From the years before the First World War capital flows from one country to the other, trade relations between countries and immigration of workers existed. The change that ultimately occurred with globalization is the increase in the volume of unrestricted trade, doubling of the capital flows amongst economies and rise in the number of the migrants. For over the past twenty years the features of globalization also took a change of course. Globalization that was previously restricted to the developed economies of the world spread among the developing economies with the opening of the markets of these nations through liberalization. Thus, the economic relations among the nations underwent a huge change with the spread of globalization across the borders of the rich countries. With globalization, the trade pattern experienced considerable change. The developing economies of the world that previously exports raw materials to the developed world emerged as serious competitors of manufacturing products of the industrialized nations. Thus with the increasing trade relations the developing economies mainly India and China experienced continuous economic growth. With globalization and increased trade relations world production increased by about 30% which further increases international trade by almost 80%. This resulted in reducing the cost of production through specialization of products and thus helped in increasing the living standards of people. The increase in the trade of service sector implies that nations are becoming richer. With the advancement of technology and communication trade in services has been popularized in recent years. The developing countries that opened up market through policies like trade liberalization, deregulation of the capital markets and privatization of state owned industries experience huge capital inflows and stands as the emerging economies of t