Gl

obal
izat
ion
Execut
iveSummar
y:
ThephraseWorldhasbecomeaglobalvillageisverycommonnowa
days.Themul ti
nati
onalsalsostressupon Thinkglobal
.Theseconceptsrelat
es
tothegl obal
izati
onpr ocessthatref
erstowar dsanongoi ngprocessbywhich
regionaleconomi es,societ
ies,
andcultureshav ebecomei nt
egr at
edthr
ougha
globe-spanni
ngnet workofcommuni cati
onandexecut i
on.Theconceptwasf i
rst
describedbyChar l
esTazeRussel li
n1897butt heterm waswi del
yusedafter
1960s.

Therewer efouraspect sofgl obali

zati
onasi ndicatedbyt hepresenter
si.
e.
economi caspectsaret heeconomi cintegrat
ionoft hewor l
deconomi esthatis
saidtoleadthewor ldtowar dpr osperi
tyandeconomi cexcel l
ence.Envi
ronmental
aspectssuchasgl obal war minget calsoleadtot heunifi
cat i
onofthewor l
dto
thinkaboutthewhol ewor l
daboutenv i
ronmental i
ssues.Pol i
ti
calaspectsofthe
globali
zati
onstressupont hecr osscount r
ypolit
icalcooper ati
onand
understandi
ngofot herpol i
ticalsystemsoft heglobeandt helastcult
uraland
socialaspectsoftheglobal i
zationrelatetotheunder standingoftheother
cultur
alnormsandsoci alpat t
erns.

Thehistoryoft hegl obal i

zat i
onisv erymuchol di ndeedst artingfrom t he
colonizingthepeopl ei not herregi onsoft hewor ldast heBr i
ti
shdi d.Aust ralia
andAmer icawer ecol oniesoft heEur opei nthebegi nning.Mor eover ,
golden
Isl
ami cageal sol ai
dt hef oundat ionf orthegl obali
zati
onast heMusl i
mt rader s
andpr eacherst ravell
edacr osst hewor ldtot radeandspr eadt heirideology .In
Brit
ishEmpi ret heEastI ndi aCompanyandv ari
ousot hercompani esexpl oited
thepot enti
alandr i
chnessoft hesubcont inentbutt hi
st hingalsocont ri
but ed
towardst heconceptofgl obalization.Af t
erWor l
dWarI I
, t
heev olutionoft he
global fi
nanci
al insti
tuti
onsuchasI MFandWor l
dBankal sol edtowar dsthe
unifi
cat i
onoft hewor ld.Ther ecentdev el
opment sincludet heinaugur ationof
WTOandEur opeanUni on.

Thethi
ngscont r
ibut
edtowar
dst heglobal
i
zati
onalsoincl
udefr
eetrade
areasunderdif
ferenttr
eati
esasNAFTA, SAFTAetc;evol
uti
onofthecust
om
unionsandall
iances;devel
opmentofcommonmar ketsandeconomi
cunions.
EuropeanUnionisthemostpopularexampleofallt
his.

Thegl
obalinst
it
uti
onssupporti
ngthisconceptar
eWTOmai nfunct
ionof
whi
chistoli
ber
ali
zetrade,el
i
minati
onofv ari
ousquotasandset
tl
ementoftrade
di
sput
esamongt hecountr
iesoftheworl
d; andI
MFwhi chfor
med1944asr esul
t

1
 Gl
obal
izat
ion
ofBrett
onwoodsconf erencetoov er
seethemonitor
yissuesoft hewor l
dand
support
ingtheunderdev el
opedcountri
esbyprovidi
ngthem loans;andUNCTD
Unit
edNat i
onsConf erenceonTr adeandDev el
opmentest abli
shedi
n1964asa
permanentint
ergovernment albody.I
tisthepri
nci
palorganoft heUnitedNat
ions
GeneralAssemblydeal i
ngwi t
htrade,i
nvestment,
anddev elopmentissues

Companiesgoglobalbecausetheywanttobereacti
veast or
espondt o
thelowtradebarr
ier
s,cust
omerdemandi ngl
obalmarket,
localcompetiti
onet c
orsomecompani esadoptproacti
veapproachtoexpl
oitgrowthopportunit
ies,
economiesofscaleandrecourseassessandcostsavi
ngsuchasut il
izingthe
cheaplaborfor
ce.

Thehurdlesfacedbytheglobal
izat
ionpr ocessonitswayarepoli
ti
caland
regul
atoryconstrai
ntsofeachcountry
,currencyandmar ketdi
ff
erences,
cult
ural
andsocialdispari
ty,
ethi
calandenvir
onment alperspect
iveswhi
chlargel
yare
countr
yspeci f
ic.

Somet alkaboutt hef ruit

soft heglobalizati
onthatcanbereapedi nthe
shapeofeconomi candpol i
ticalexcell
enceandot herhavesomer eservati
on
regardi
ngt hedestructi
veef fectsoft heglobalizati
ononthewor l
dasi tisargued
thattheallupsi
desar efort hedev el
opedcount r
ieswhoaresocalleddr i
versof
theglobali
zati
on,mor eov erthebi asedr ol
eoft heIMFandWor ldBankt owar dthe
l
essdev elopedcour ti
ersalsor aisethequest ion.Somepeopleareoft hev i
ew
thatbubbleofthegl obali
zationi saconspi racyoft heJewstotakeov erthewor l
d
anditsresourceswhi char econcent ratedinlessdev el
opedMusl i
m count r
ies.

2
 Gl
obal
izat
ion

Gl
obal
izat
ion:

Meani
ngofGl
obal
izat
ion:
Globalizationistheprocessofmakingatransformationofthingsor
phenomenai ntoglobal ones.Itcanbedescr i
bedasapr ocessbywhi chthe
peopleofthewor ldareuni fi
edintoasi nglesoci
etyandf uncti
ont ogether.I
talso
meanser asureofnat ionalboundar i
esforeconomi cpurposes; i
nternati
onaltr
ade
(governedbycompar ati
v eadvantage)becomesi nter-
regionaltr
ade( governedby
absoluteadvantage).Pr eci
sely
,itrefer
st oanincreasi
ngi nter
connectednessof
dif
ferentpar
tsoft hewor l
dthroughcommonpr ocessesofeconomi c,
envir
onment al
,polit
icalandcul t
uralchange.

Inshor tGlobali
zati
oni showourwor l
disbecomi ngmor eandmor elike
onecount ryeachandev eryday .Ther eareseveralmeaningsandal lusually
ment i
ont heincr
easingconnect iv
ityofeconomi esandway sofl i
feacr ossthe
world.TheEncy cl
opediaBritannicasay sthatglobali
zati
onist he"processby
whicht heexper i
enceofev erydaylifeisbecomi ngstandardizedar oundt he
world."Whi lesomeschol arsandobser versofglobali
zati
onst ressconv ergence
ofpatter nsofproductionandconsumpt i
onandar esul
ti
nghomogeni zati
onof
cul
ture, othersstr
essthatgl obali
zationhast hepotenti
altot akemanydi verse
for
ms.

Def
ini
ti
onofGl
obal
izat
ion:
Global i
zati
oni sat erm whi chhasbecomev erypopul arandi susedi n
manydi ff
er entcont extsinl it
eratur e.Therearemanydi ff
erentdef init
ionsf or
Globali
zation.Int hefinanci almar ket s,i
tisknownasbl urr
ingoft hebor ders
betweendi fferentmar kets.Reddi ngdef inesglobali
zationast hei ntegrati
on
betweent hemar ketsf orgoods, ser vi
cesandcapi tal.Healsol i
nksgl obal i
zati
on
tothebreakdownoft hebor ders.I tisquiteevidentthattherear emanydi ffer
ent
i
nterpret
ationofgl obal i
zati
ondependi ngont hecont extandont heper sonwhoi s
tal
kingabouti t.Thought hepr ecisedef i
niti
onisstill
unav ai
lable,butt hereare
fewdef i
niti
onst hatar ewor thviewi nglike:

I
neconomi
cs,
abr
oaddef
ini
ti
oni
sthatgl
obal
i
zat
ioni
stheconv
ergenceof
3
 Gl
obal
izat
ion
pri
ces,products,wages, rat
esofinterestandprofit
stowar ddev el
opedcount r
y
norms.Gl obal
izationoftheeconomydependsont her ol
eofhumanmi grati
on,
i
nternati
onal t
rade, movementofcapi tal
,andintegr
ationoffinancialmar
kets.
TheInternati
onal MonetaryFund[IMF]not esthegrowi ngeconomi c
i
nterdependenceofcount ri
esworldwidethroughincreasingvolumeandv ar
iet
y
ofcross-bordertransact
ions,f
reeinternati
onalcapit
al fl
ows,andmor erapidand
widespreaddiffusionoftechnol
ogy .

Accor
dingt oGuyBr ai
nbant ,
thepr ocessofglobali
zati
onnotonlyi
ncludes
openingupoft hewor l
dt rade, developmenti ftheadvancedmeansof
communi cat
ion,inter
nationalizationoft hefinanci
almarkets,mi
grat
ionofthe
people,gr
owingimpor tanceofMNC s,i
ncreasedmobi l
it
yofgoods,data,
capital
,
personandideasbutal soi nfections, di
seasesandpol l
uti
on.

Thereforeterm gl
obalizati
oncanbeappar ent
lyinf
err
edastheintegr
ati
on
oftheeconomi esofthewor l
dt hroughuninhi
bit
edtradeandfi
nanci
alfl
ows
whicharethroughmut ualexchangeoft echnol
ogyandknowledge.I
talso
contai
nsfreeinter
-countr
ymov ementoft hel
abor.

4
 Gl
obal
izat
ion

Dr
iver
sofGl
obal
izat
ion:
Themediaandalmosteverybookonglobalizationandinternationalbusiness
speakaboutdi
ff
erentdri
versofglobal
i
zat
ionandt
heycanbasi
cal
l
ybesepar
ated
i
ntothefol
lowi
ngdiff
erentgroups:

1)Technol
ogi
caldr
iver
s:-
Technol ogyshapedandsett hef oundat i
onf ormoder ngl obal ization.
Innov ationsi nt het ranspor tationt echnol ogyr ev olutionizedt hei ndust ry.The
mosti mpor tantdev el opment samongt hesear et hecommer cial jetai rcraftand
theconceptofcont ai nerizationi nt hel ate1970sand1980s.Wi thoutt her apid
growt hofai rcar goser v
icesmadepossi blebyt hei nt r
oduct ionofwi de- bodi ed
j
et s,itwoul dnothav ebeenpossi blef orI srael t
obecomeal eadi ngexpor terof
cutf l
ower stot heUni tedSt at esorf orAust rali
at obecomeal eadi ngsuppl ierof
fresht unat oToky ossushi mar ket s.Inv entionsi nthear eaofmi cropr ocessor s
andt elecommuni cat ionsenabl edhi ghl yeffect i
v ecomput ingandcommuni cation
atal ow- costl ev el.Ther apidgr owt hoft heI nterneti st hel atestt echnol ogi cal
driverthatcr eat edgl obal e-busi nessandecommer ce.Thoughi tisst i
llfart oo
ear l
yt omakeadef i
ni tiv
ej udgement ,itseemsi ncr easi nglypl ausi bl
et hatt he
i
nt ernetandt het echnol ogi esassoci atedwi thitr epresentadi scont inui tysi milar
,
i
natl eastsomeway s, t
oel ect ricityort het elephone.
Itisint er est i
ngt onot et hatsomeoft het echnol ogieswhi chhav e
facili
tatedt her api dgr owt hofi nt er nat i
onal tradei ngoodsar enotespeci allynew,
butr atherr epr esentpr ogr essi veext ensi onsofpr eviousl yknownt echnol ogi est o
thepoi ntwher et heyhav el ower edcost ssuf ficientlyt or enderf easi blet rade
whi chwaspr ev iousl yuneconomi c.Thesenewt echnol ogieshav egr eat l
y
expandedbot ht her angeofmat er ial whichcanbet ransmi ttedel ect ronical ly
from onepoi ntt oanot herandt hedi stanceov erwhi chi tcanbet ransmi tted; and
theyhav edr ast ical l
yr educedt hecostoft r
ansmi ssion.Mor eov er, t
henumberof
peopl eabl et omakeuseoft heset echnol ogi eshasgr ownexponent ially.
Consi dert hisexampl epr ovidedbyPet erDr ucker :
Ami d- sizedcompanyi nAmer icasindust ri
al mi d-west ,f oundedi nt he
1920s, usedt ohav esome60%oft hemar keti ni nexpensi v edi nner war ef orf ast-
foodeat eri
es, school andof ficecaf eterias,andhospi t
alswi t
hi nahundr ed- mi l
e

5
 Gl
obal
izat
ion
radiusofi t
sf act ory
.Chinai sheav yandbr eakseasi l
y,socheapchi nais
tradit
ionall
ysol dwi thinasmal lar
ea.Almostov erni
ght ,
thiscompanylostmor e
thanhal fit
smar ket
.
Oneofi tscust omer s,ahospitalcafeteri
awher esomeonewentsur fi
ngon
theinternet,discov eredaEur opeanmanuf acturerthatof fer
edchinaof
appar entl
ybet terqual i
tyatal owerpriceandshi ppedcheapl ybyair
.Withinafew
mont hst hemai ncust omersi ntheareashi f
tedt otheEur opeansuppli
er.Fewof
them, itseems, reali
zel etalonecaret hatthest uffcomesf r
om Europe.
Experiencessuchast hishavebecome, ifnotubi quit
ous,t
henatleast
common- place.
Druckergoesont oconcl ude:
I
nthement algeographyofe- commer ce, di
stancehasbeenel i
mi nat
ed.
Ther eisonl yoneeconomyandonemar ketThecompet it
ioni
snotlocalany
mor ei nf act,itknowsnoboundar i
es.

2)Tast
es:
-
Anot herkeydr i
veroft hecur rentexper ienceofgl obal i
zati
onandone
whichi sof tenov erlookedbyi t
scr i
ticsi st hewayi nwhi chpeopl eal lov erthe
wor l
dhav eacqui redagener allyincr easi ngt astef ort hepr oductsand
exper i
encesofpeopl ei not herpar tsoft hewor l
d.Adv ancesi ntr
anspor tationand
communi cat ionsandr educt ionsi nt hei rcosthav ecl ear l
yplayedar oleint hi
s
process, bymaki ngi tpossi blef ormor epeopl etoexper i
encemor eofmor epar t
s
ofthewor ld,ei t
herper sonal l
yt hrought rav el orvicariousl yv i
atelevi
sion, cinema,
theinter netandot hermedi a.Forexampl e, i
n1978, 290mi lli
onpeopl eorabout
6%oft hewor ldspopul at i
ont ookani nt ernat i
onal trip.By1996, t
henumberof
i
nter national tr
av elershaddoubl ed, toov er10%oft hewor ld
spopul ation.By
2020, thisf igur eisexpect edt ohav ei ncr easedt oov er20%.Educat i
onhashada
similaref fect .Educat i
oni ncr easespeopl esappet itef orv ar i
etyanddi v ersity.It
enhancest hei rabi l
itytomakecompar isonsandchoi cesbet weenal ternat i
ves.It
reducest hei rtolerancef orshoddyorneedl esslyexpensi vegoodsandser vices.
Almosti nev itably,t hesear chf oral ter nat i
v esl eadspeopl et olookbey ondt he
peripher i
esoft heirownnat ionsf orpr oduct sasbasi casf oodandbev erages
orascompl exasmot orv ehicles; forser v i
cesr angingf rom f il
mst oaccount ing
advice; andf ordi fferentav enuesf ori nv est ment .Int hissense, globalizat ioni san
extensionoff r
eedom: asJohnMi ckl ethwai tandAdr ianWool dri
dgenot ei nt heir
bookaboutgl obal izati
on, AFut ur ePer fect ,globalizat ionbyi t
sv er
ynat ur ehel ps
tohandt hepowert ochooset ot hei ndi v i
dual .

3)Pol
it
icaldr
iver
s:-

6
 Gl
obal
izat
ion
Byreducingbar
rierstothemov ementofgoods, servicesandcapi t
al
(t
houghgener al
lynotpeople)acrossnat ionalboundari
es,thegov ernmentshave
gavewayt oglobali
zat
ion.Liberal
izedt r
adingrulesandderegulatedmar ketsl
ead
toloweredtari
ffsandallowedforeigndi r
ectinvestmentsi
nal mostal lov
erthe
world.Theinsti
tut
ionofGATT( GeneralAgr eementonTariffsandTr ade)1947
andt heWTO( Wor l
dTradeOr ganizat
ion)1995aswel lastheongoi ngopening
andpr i
vat
izati
oninEasternEuropear eonl ysomeexampl esofl atest
developments.

4)Mar
ketdr
iver
s:-
Asdomest i
cmar ketsbecomemor eandmor esatur
ated,theopport
unit
ies
forgrowthareli
mitedandgl obalexpandi
ngi sawaymostor ganizat
ionschoose
toov er
comet hi
ssituati
on.Commoncust omerneedsandt heopportuni
tytouse
globalmarket
ingchannelsandt ransf
ermar keti
ngtosomeext entar
ealso
i
ncent i
vestochoosei nt
ernati
onali
zati
on.(Ferr
ier
,2004)

5)Costdr
iver
s:-
Sourci
ngeffi
ciencyandcostsvaryfr
om countrytocount
ryandglobal
fi
rmscantakeadvantageoft hi
sfact
.Othercostdr
iverstogl
obali
zat
ionarethe
oppor
tuni
tytobuil
dgl obalscal
eeconomiesandthehighproductdev
elopment
cost
snowaday s.(
Ferrier
,2004)

6)Compet
it
ivedr
iver
s:-
Wi t
hthegl
obalmarket,gl
obali
nter
-fi
rm competit
ionincr
easesand
organi
zati
onsar
eforcedt
o play
int
ernat
ional
.Stronginter
dependencesamong
countr
iesandhi
ghtwowayt radesandFDIactionsalsosupportthi
sdriv
er.

7
 Gl
obal
izat
ion

Var
iousaspect
sofGl
obal
izat
ionaf
fect
ingt
hewor
ld:
Belowaretheimportantaspectsofglobalizationthataffecttheworldin
di
ff
erentway
s:
Industrial(al
iasTransNationalizat
ion)-:Emergenceofwor
ldwi
de
product
ionmar ket
sandbr
oaderaccesst
oar angeofgoodsfor
consumer sandcompani
es
Fi
nancial-
: Emergenceofworl
dwidef
inanci
almarketsandbet
teraccess
t
oext
ernalf
inanci
ngf orcor
por
ate,
nati
onalandsub-nat
ional
bor
rowers
Pol i
tical-:Spreadofpoli
ti
calspher
eofi
nterest
st otheregi
onsand
countriesoutsi
detheneighbor
hoodofpoli
ti
cal(stateandnon-st
ate)
actorsandt hepotent
ial
formationofagl
obalcit
izensmovement
I
nfor
mat i
onal-:Incr
easei
ninf
ormat
ionf
lowsbet
weengeogr
aphi
cal
l
y
r
emot
elocat
ions.
Cu l
tural-
:Growthofcross-cul
tur
alcontact
s; adventofnewcategoriesof
consci
ousnessandident
iti
essuchasGl obali
sm whi chembodiescultur
al
di
ffusi
on,t
hedesir
etoconsumeandenj oyforeignproductsandideas,
adoptnewtechnol
ogyandpr act
ices,
andpar t
icipateina"worl
dculture"
.
Ecological-:Theadventofgl
obalenvi
ronmentalchal
lengesthatcannot
besolv
edwi t
houtint
ernat
ional
cooperat
ion,suchascli
mat echange,

8
 Gl
obal
izat
ion
cross-
boundarywaterandai
rpol
l
uti
on,
over
-f
ishi
ngoft
heocean,
andt
he
spreadofinv
asivespeci
es.

Thus, globalizati
onhasbecomei dentifi
edwi thanumberofl arget rends,
mostofwhi chmayhav edev elopedoraccel eratedsi nceWor ldWarI I
.These
i
ncludet hegr eaterinternat i
onal mov ementofcommodi ties,money ,i
nf ormat i
on,
andpeopl e; andt hedev elopmentoft echnology ,organizat i
ons, legalsy stems,
andinfrast ructurest oallowt hismov ement,gr eaterinter
nat ional cult
ur al
exchange, spreadingofmul ti
cultur
alism,andbet terindividual accesst ocultural
div
ersity,dev elopmentofagl obaltel
ecommuni cati
onsi nf r
astruct ur
eandgr eater
tr
ansbor derdat aflow, usingsucht echnologiesast heInternet ,communi cati
on
satel
li
tes, submar i
nef i
beropt iccable,andwi relesst el
ephones.Al sowi t
nessed
i
st heincreasei nthenumberofst andardsappl i
edgl obally;e.g.copy rightlaws,
patentsandwor ldt radeagr eement s.Thereisapushbymanyadv ocat esforan
i
nternational criminal cour tandi nt
ernati
onal justicemov ement s.

Hi
stor
icalPr
ecedent
s:
Theterm "globalization'wascoinedinthelatterhalfofthetwentieth
cent
ur y
,andtheterm andi
tsconceptsdi
dnotpermeatepopularconsci
ousness
unti
lthelat
terhal
fofthe1980s.Vari
oussoci
alsci
ent
istshavetri
edto
demonst r
ateconti
nui
tybet
weencont empor
arytr
endsofglobali
zati
onandearli
er
peri
ods.

Theearli
estwr i
tt
entheoreticalconceptsofgl obal
izati
onwerepennedby
anAmer icanentrepr
eneur-t
urned-mi ni
sterCharlesTazeRussel lwhocoinedt he
ter
m' corpor
ategiants'i
n1897.I nthe16t hcentur y
, Globali
zati
oninit
slargest
extentbegani nPor t
ugal.Port
ugal '
sglobalexplorationsint he16thcent
urylinked
continents,economiesandcul turesasnev erbef ore.

Gl obali
zati
oni sacenturieslongprocess, t
racki
ngt heexpansi onofhuman
populat i
onandt hegr owthofci vi
li
zati
ont hathasaccel erateddramat icall
yinthe
past50y ears.Earl
ierformsofgl obali
zati
onexi steddur i
ngt heMongol Empire,
whent her ewasgr eaterint
egrationalongt heSilkRoad.Gl obal i
ntegrati
on
continuedt hrought heexpansionofEur opeant rade,asint he16thand17t h
centuries,whent hePor t
ugueseandSpani shEmpi resreachedt oal l
cornersof
thewor ld.Theef f
ect sonEuropeani ndustr i
eswer enotable,e.g.theSilverMining
i
nSchwaz, Austri
awaspar tlyabandoned, assilverwasav ail
ablef r
om the

9
 Gl
obal
izat
ion
Spanishcoloniesforlowerpr i
ces.
Gl
obalizati
onbecameabusi nessphenomenoni nthe17t hcentur
ywhen
thefi
rstMultinat
ionalwasf oundedinTheNet herlands.Dur i
ngt heDutchGolden
Aget heDutchEastI ndiaCompanywasest abli
shedasapr i
vateownedcompany .
Becauseoft hehighr i
sksinvolvedwit
ht heint
ernationaltrade,ownershi
pwas
divi
dedwi t
hShar es.TheDut chEastIndiaCompanywast hef i
rstcompanyinthe
worldtoissueshar es,animportantdri
verforglobalizat
ion.

The19thcentur
yissomet i
mescal l
ed" TheFi r
stEraofGl obali
zati
on.
"It
wasaper i
odcharacteri
zedbyrapidgrowthini nter
nationaltradeandinvest
ment
betweentheEuropeanimperialpowers,t
heircolonies,and,later
,theUnit
ed
Stat
es.Itwasinthisperi
odthatareasofsub- saharanAf r
icaandt heIsl
and
Pacif
icwereincorpor
atedint
othewor ldsystem.

SinceWor ldWarI I
,bar rierst ointernationaltradehav ebeenconsi derabl
y
l
ower
edt hroughi nternati
onal agreement s-Gener al Agr eementonTar iffsand
Tr
ade(GATT) .Par t
icularinit
iat i
vescar r
iedoutasar esul tofGATTandt heWorld
Tr
adeOrganization( WTO) ,
forwhi chGATTi st hefoundat i
on, haveincluded
Pr omot i
onoff reet r
ade- :Reduct i
onorel imi nat i
onoft ari
ffs;creationof
freet r
adezoneswi thsmal lornot arif
fs, r
educedt ranspor t
ationcost s,
especi al
lyresul ti
ngf r
om dev el
opmentofcont ainerizat i
onf orocean
shi ppi
ng,reduct ionorel iminationofcapi t
al cont r
ols,r educt i
on,
eliminati
on, orhar moni zat ionofsubsi diesforl ocal busi nesses
Rest r
ict
ionoff reetrade- :Har moni zationofi nt ell
ect ual propertylaws
acr ossthemaj orit
yofst ates, withmor erestrict i
ons.
Supr anationalr ecognitionofi ntellectualproper tyrest r i
cti
ons( e.g.
pat entsgrant edbyChi nawoul dber ecognizedi ntheUni t
edSt ates)

TheUruguayround(1984to1995)l edt oatreatyt

ocreatet
heWor ld
TradeOrganizat
ion(WTO),tomediat etradedi sput
esandsetupauni for
m
plat
form oft
radi
ng.Otherbi-andtr
ilateraltr
adeagr eements,i
ncl
udi
ngsections
ofEurope'sMaastri
chtTr
eatyandt heNor t
hAmer i
canFreeTradeAgreement
(NAFTA)hav eal
sobeensignedi npur suitofthegoal ofr
educi
ngtari
ffsand
barri
erstotr
ade.

Thewor ldincreasi
ngl
yisconfrontedbyproblemst hatcannotbesol ved
byi
ndiv i
dualnat i
on-stat
esact
ingalone.Examplesincludecross-boundaryairand
waterpollut
ion,over-fi
shi
ngoftheoceansandot herdegradat i
onsofthenat ur
al
env
ironment ,regulati
onofouter
-space,global
warmi ng,i
nternati
onalt
error
ist
net
wor ks,gl
obal tradeandfi
nance,andsoon.Sol ut
ionstot heseproblems

10
 Gl
obal
izat
ion
necessitat
enewf ormsofcooper ati
onandt hecreationofnewgl obalinst
itut
ions.
SincetheendofWor ldWarII,f
ollowingtheadv entoft heUNandt heBr et
ton
Woodsi nstituti
ons, therehasbeenanexpl osioninther eachandpowerof
Mul t
inati
onal corporationsandt herapidgrowt hofglobal civi
lsociet
y.TheGl obal
scenariogroup, anenv i
ronmental r
esearchandf orecastingor gani
zati
on,views
globali
zati
onaspar toftheshifttoaPl anetar
yPhaseofCi vi
li
zati
on,
characteri
zedbygl obal soci
alorganizati
onseconomi esandcommuni cat
ions.
TheGSGmai ntainst hatthefut
ur echaracterofthi
sgl obal societ
yisuncertai
n
andcont ested.

Measur
ingGl
obal
izat
ion:
-
Lookingspecificallyateconomicglobalization,itcanbemeasuredindifferent
way
s.

Goodsandser vi
ces, e.g.exportspl
usi mportsasapr oport
ionofnational
i
ncomeorperheadofpopul ati
on.
Labor/ peopl e,e.g.netmi grati
onrates;i
nwar doroutwardmi grati
onfl
ows,
weight edbypopul ati
on.
Capital, e.g.i
nwar dorout war ddir
ectinvestmentasapr oporti
onof
nati
onal incomeorperheadofpopul ati
on.
Technol ogy ,
e.g.internati
onal r
esearch&dev elopmentfl
ows; propor
tionof
populat ions( andr atesofchanget hereof)usingpar
ticul
arinventi
ons
(especi all
y'factor-neutral
'technol
ogicaladvancessuchast het el
ephone,
mot orcar ,broadband)

Towhatext
entanati
on-
stat
eorcult
urei
sgl
obal
i
zedinapar
ticul
aryear
hasunt
ilmostr
ecent
lybeenmeasuredempl
oyi
ngsi
mplepr
oxi
esli
kef l
owsof

11
 Gl
obal
izat
ion
t
rade,
migr
ati
on,
orf
orei
gndi
recti
nvest
ment
,asdescr
ibedabov
e.

Amul t
ivariat
eappr oacht omeasur i
nggl obalizat
ionistherecentindex
calculatedbyt heSwi ssThi nktankKOF.Thei ndexmeasur esthethr eemain
dimensi onsofgl obalizati
on: economi c,social,andpol i
ti
cal
.Inaddi t
iontothr
ee
i
ndi cesmeasur i
ngt hesedi mensi ons, anoverallindexofglobali
zationandsub-
i
ndi cesr eferr
ingt oact ualeconomi cf lows,economi crest
ri
cti
ons, dataon
personal contact,dataoni nformationf l
ows, anddat aoncul t
uralproximit
yis
calculated.Dat aar eav ail
abl eonay earl
ybasi sfor122count ri
es.

Measur
ingAt
ti
tudest
owar
dsGl
obal
izat
ion:
Measur ementofat t
itudest owar dglobal
izat
ionwassoughtaf teri
na2003
worldwi deglobalizationst udy .Thest udyfocusedont eenager s'percepti
ons
towardsgl obal i
zati
onandgl obal i
sm, becausesoont heywi l
l betheadul t
sliv
ing
outther esultsoft oday '
spol icy.Thest udyexami nedt hethesisof:Teenagersare
naturalglobalists&Teenager sar eaf r
aidofglobali
zation.Thesampl eforthi
s
studyincludedt wohundr edt eenager sbetweentheagesof14and18, fr
om New
York,Lebanon, Azerbai j
an, andt hePhi l
ippi
nes.Thel ocati
onswer eurban.There
wasasur veyadmi nisteredwi thi nputfrom GeneElli
s, aprofessor
(Wirt
schaf tswissenschaf tSemi nar )attheEberhardKar l
sUni ver
sityofTuebingen,
andgl obalconsul ti
ngpr i
nci pal ,economi st
,andformerWor ldBankempl oyee
AndrewMack.

Topi csofglobal i
zati
onandgl obalism wer egr oupedi ntosub- categori
es.
Globalizati
oncat egori
esi ncl
udedimmi grati
on, tr
ade, anddi plomaticr el
ati
ons.
Globalism incl
udedconsumpt ion,personal freedoms, technology,andcul t
ure.
Ther esultsofther esearchsuggestedt hatbot hAmer icant eenager sand
i
nternat i
onal t
eenager sarenaturalglobalist
sandar el argelyinfavorof
gl
obal i
zation.Teenager sinNewYor khadhi gherlevelsofsuppor tfor
gl
obal i
zationthangl obali
sm.International t
eenswer emor eglobalists.
I
mpor t
antly,allt
eenswer ever
yposi ti
vetowar dstechnol ogy ,
cultur
al exchange,
tr
ade, consumpt ionofi nter
nati
onal goods, andi mmi gration.

Thest udysuggestedt hatthefutureofinternationaltechnology,trade,and

cult
urewi l
ldependonbringingt heconceptsofgl obalizati
onandgl obalism
together.Mor eso,t
heInternetseemst obeoneoft hemosti mpor t
anttool si
n
l
inkingteenager sgl
oball
yandt hissuggeststhatthissor tofcommuni cation
shouldbedev el
opedaroundt hewor ldataf asterrate.Final
ly,itwassuggest ed
thatthef utur
eofcultur
eandt r
adewi lldependont her ateoft echnologi
cal
progress.
12
 Gl
obal
izat
ion

I
mpactofGl
obal
izat
iononI
ndi
a:
I
ndi
aopenedi
tseconomyi
near
lyni
net
eencent
ury
;itf
oll
owedamaj
or
cri
siswhichl
edtheeconomyneart odef ault
ingonloans.Afteralongt
ime
passed,t
herehasbeenasteadyliber
alizati
onwiththecurrentaccount
tr
ansacti
ons.Numbersofnewsect or
swer eopenedf ort
hepor t
foli
oandfor
eign
dir
ectinv
estmentsi
nroads,t
elecoms, airpor
ts,i
nsuranceandmanyot hermajor
sector
s.

TheI
ndi
antar
if
frat
esr educedrapi
dlyovert
hedecadefr
om anaver
ageof
72.
5%in1991-
1992to24.
6%i n1996-97.Tari
ffwentupsl
owlyi
nlateni
net
ies
andbecame35.
1%in2001-02.

Gl
obali
zat
ioni
nIndi
ahasal l
owedcompani estoincr
easetheirbaseof
oper
ations,
expandthei
rworkfor
cewithminimalinvest
ments,andprovidenew
ser
vicestoabroadrangeofconsumers.Theprocessofglobal
izat
ionhasbeen

13
 Gl
obal
izat
ion
anint
egralpar
toftherecenteconomicprogr
essmadebyIndi
a.Global
i
zat
ion
hasplayedamajorrol
einexport-
ledgrowth,
leadi
ngt
otheenl
argementofthe
j
obmar ketinI
ndi
a.

Oneoft hemaj orforcesofgl obalizati

oninI ndiahasbeeni nthegr owth
ofout sourcedI Tandbusi nesspr ocessout sourcing(BPO)ser vi
ces.Thel astfew
yearshav eseenani ncr
easei nt henumberofski l
ledprofessionalsinIndia
empl oyedbybot hlocalandf oreigncompani est oserv i
cecust omer sintheUS
andEur opei nparti
cul
ar.Takingadv antageofI ndi a
slowercostbuteducat ed
andEngl i
sh-speakingwor kforce, andut il
izi
nggl obalcommuni cations
technologi essuchasv oice-overI P(VOI P),email andtheinter
net,inter
nat i
onal
enterpriseshav ebeenabl etolowert heircostbasebyest abli
shingoutsour ced
knowl edge- workeroper
at i
onsi nIndi a.

AsanewI ndi
anmi ddl
eclasshasdev elopedaroundthewealththattheIT
andBPOi ndustr
ieshavebroughttothecount r
y,anewconsumerbasehas
devel
oped.Inter
nati
onalcompaniesarealsoexpandingtheiroperat
ionsinIndi
a
toservi
cethismassivegrowthopportuni
ty.
Notabl
eexampl esofint
ernati
onal
companiesthathavedonewel li
nIndiaintherecentyearsi
ncludePepsi,Coca-
Cola,McDonald
s,andKentuckyFri
edChi cken,whoseproductshavebeenwel l
acceptedbyIndi
ansatlarge.

Globali
zati
oninI ndiahasbeenadv ant
ageousf orcompani esthathave
ventur
edi ntheIndi
anmar ket.Bysimplyi
ncreasi
ngt heirbaseofoperati
ons,
expandingtheirworkforcewi t
hmi ni
mal i
nvestments,andpr ovi
dingservi
cestoa
broadrangeofconsumer s,largecompaniesenteri
ngt heIndianmarkethave
openedupmanypr of
itableoppor tuni
ti
es.

Indi
ancompani esarerapidl
ygaini
ngconf i
denceandarethemsel
vesnow
majorplay
ersinglobal
izat
ionthroughint
ernati
onalexpansi
on.Fr
om st
eelt
o
Bol
lywood,fr
om carstoIT,Indi
ancompani esaresetti
ngthemsel
vesupas
powerhousesoftomor r
owsglobaleconomy .

Globalcompar i
sonsdescr i
beIndiaasaf ast
estgr
owingcount r
yaf ter
China.Tradeandi nvestmentaretwooft hev eryimport
antreasonofpr ogress
l
eadingi nl
ower i
ngt heratesofpovert
yandgl obali
nequal
it
yov erthedecades.
Thepr oport
ionoft heworldpopulati
onlivi
ngi npovert
yisconti
nuallydeclini
ng.
Therearef i
vemaj orareaswher eI
ndiahast okeeponconcent rati
nginor derto
achievethi
sgoal andt hoseareasare:-

14
 Gl
obal
izat
ion
Technologicalentr
epreneurship
Newbusi nessopeni ngsforsmal l
andmedi
um ent
erpr
ises
Quali
tymanagementi mpor t
ance
Prospectsinruralareas
Pri
vati
zationoff i
nancial
insti
tuti
ons.

St
epsTakent
oGl
obal
izeI
ndi
anEconomy
:

Someoft hestepstakent ol i
berali
zeandgl
obalizeoureconomywer e:
1.
Dev al
uation:
Tosol v
et hebalanceofpaymentpr obl
em Indiancurr
encywere
devaluat
edby18t o19%.
2.
Disinvest
ment :
Tomaket heLPGmodel smoot hmanyoft hepublicsect
ors
weresoldt otheprivatesect or.
3.
AllowingForeignDi r
ectI nvestment(FDI
):
FDIwasal l
owedi nawiderangeof
sectorssuchasI nsurance( 26%) ,def
ensei
ndustri
es(26%)etc.
4.
NRIScheme:
Thef acil
i
tieswhi chwereavai
labletofor
eigninvest
orswerealso
giv
ent oNRI '
s.

GDPGr
owt
hRat
e:
TheeconomyofI ndiaispassingthr
oughadi ff
icultsi
tuat
ion.Outputanddemand
condit
ionswerehighl
yaf f
ectedbythepoorper formanceinagri
cultur
edur i
ngthe
l
asttwoy ear
s.Theeconomygl obal
l
yrecordedanout putgrowthof2. 4%.The
perf
ormancei nt
hef i
rstquart
erofthefi
nancialy eari
saround5.8%andi nthe
secondquarteri
saround6. 1%.

Expor
tandI
mpor
t:
Theexpor tofI ndi
ai nyear2001-02extendedt o32,572andi mpor text endedto
38,362mi llionappr oxi
mat el
y.I
ndiancompani esbecamer espectablecompani es
i
nI nternational market.Agri
cul
tureexportsroseto18%oft hetotal annual expor
t
ofthecount ry.Thel ar
gestcontri
butorinthepreviousyearst othetot al
agricult
ural exportsisthemar i
neproductwhi chaccount stobet het ot al
ofone
fi
fthpor t
ionoft heagricul
tur
alproducts.Oilseeds,ri
ce,coffee,andt eaar eother
promi nentpr oductswhi chaccountsintotaloftheagricul
turalproduct sof5t o
10%

ACompar
isonwi
thOt
herDev
elopi
ngCount
ri
eswi
thI
ndi
a:
I
ndia
sshar
eofworldexpor
tsi
ncr
easedf
rom 0.
05%to0.07%overt
hel
ast
2decadesandChi
nasshar
ehast
ripl
edt
oalmost4%overthesame
per
iod.

15
 Gl
obal
izat
ion
Indi
asshareoftheglobaltr
adei sexactl
ysimil
artothatofthePhil
ippi
nes,
aneconomywhi chis6timessmal leraccor
dingtoesti
mationofIMF.
FDIfl
owsi ntoIndi
ahaveav eragedaround0.5%ofGDPagai nst5%for
Chinaand5. 5%forBrazil
overthepastdecade.FDIinflowstoChinanow
exceedsbyUS$50bi ll
ionannually
.ItisUS$4bi l
l
iononlyinthecaseof
Indi
a.

Adv
ant
agesofGl
obal
izat
ion:
I
ti
sthe
adv
ant
agesofGl
obal
i
zat
ion
whi
chactt
obr
ingabouteconomi
cwel
far
e
oninter
nati
onall
evel
s,t
her
ebybenefi
ti
ngtheworl
dwidepopulat
ion.
Ment
ioned
bel
ow, ar
etheadvant
agesofGlobal
i
zati
onwhichfaci
l
itat
ethedevel
opmentof
worldeconomiesi
mmensely:

Freemov ementofcapit
alsoff
er saccesstotheforei
gninvest
mentsto
manycount r
iesl
iketheUnit
edSt atesofAmer i
ca.
Thewor l
dwidecommer ci
almar ketbecomessof lexi
bleduetotheadvent
ofGlobal
izat
ion,
thattr
ansacti
onsoft heinter
nati
onalcompaniesarenot
rest
ri
ctedtogeographi
calbordersofthecountri
es.

16
 Gl
obal
izat
ion
Global i
zat ionenhancest hef l
owofcapi t
al, per mi tt
ingt hei nvest or s
toinv est
ont heunt appedr esour cesoft hedev elopingcount ries.
Global i
zat ionoft hemassmedi ahasr educedt hegl obal space
subst ant i
al l
y ,keepi ngt hepeopl ei nf ormedaboutal l l
at esti nternat i
onal
happeni ngst hroughdi fferentt elev isionchannel s.
Impr ovementi ngl obal communi cationnet wor ksl eadst oeasyf lowof
i
mpor tanti nf ormat i
onnotonl yt oi ndi vi
dual sbutatcompanyl ev elsaswel l
.
Thedemocr atict hought sar er api dlyspr eadamongcount riesacr osst he
wor ld, owi ngt oGl obal ization.
Global i
zat ionst ressesoni ncr easi ngmut ual dependenceamongal l
the
nat i
on- st atesacr osst hewor l
d.
Global i
zat ionl essenst hepossi bilit
iesofwar far eamongdev eloped
count ri
est oconsi der abl eext ent s.
Thedev elopedcount riesdi splayat endencyf orwor kingt owar ds
prot ect i
ngt hei rsur roundi ngenv ironment st ol ar geext ent s.
Global i
zat ionenhancesf reei nt ernat ional tradesamongcount riesacr oss
thewor ld.
Thet ot al out putl ev elsofacount ryi ncreasewhenpr oduct ionsbecome
compet ition- orient ed.Thi smeanst hatt ocompet ewi tht heexi stingwor l
d
mar ket, thepr oduct smustbeofbestqual itiesandt heyal soi mpr ovet he
l
ifest yleoft heov er all popul at
ion.
Cheapi mpor tsandext ensi vecompet i
ti
ononi nt ernat i
onal l
evel keepa
checkont hepr icesl eadi ngt ol oweri nflationr at es, whi choccasi onally
i
nt erruptt heeconomi cgr owt handdev elopmentofanat i
on.
Economi cGl obal izat i
onusher si nt heconceptofOpenEconomy ,wher e
ther ei sanext ensi vepr omot i
onoft echnol ogi cal growt handi nv ent i
ons.
Thi sr equi resnewt opi csandconcept stobei mpor tedf r
om abr oad.
Empl oy ment si nt heexpor t-or
ient edi ndust riesgener allypayi tsempl oy ees
appr oxi mat ely15%mor et hant hei mpor t-orient edj obsi nacount ry.
Oneoft heposi ti
v eef fect sofGl obal izati
oni st hesmoot handspeedy
transpor tat i
onofpeopl eandcommodi ti
est odi fferentcor nersoft he
wor ld.
Global i
zat ionr educescul t
ur al blockagesanddi fferencesamongnat i
ons,
byencour agi ngf ellow- feelingandmut ual compassi on.

17
 Gl
obal
izat
ion

Di
sadv
ant
agesofGl
obal
izat
ion:
Opponentsofglobalizationpointouttoitsnegativeeffects.Someofthem are
l
i
stedbelow.
Dev el
opednati
onshaveout
sour
cedmanufact
uri
ngandwhitecoll
arj
obs.
Thatmeansfewerj
obsfort
hei
rpeopl
e.Thi
shashappenedbecause
manufact
uri
ngworkisout
sour
cedtodevel
opi
ngnati
onsli
keChinawhere
18
 Gl
obal
izat
ion
thecostofmanuf act ur i
nggoodsandwagesar el ower .Pr ogr ammer s,
editor s,sci entistsandaccount ant shav el ostt hei rjobsduet oout sour cing
tocheaperl ocat ionsl ikeI ndi a.
Global i
zat i
onhasl edt oexpl oitat i
onofl abor .Pr isoner sandchi l
dwor kers
areusedt owor ki ni nhumanecondi t
ions.Saf et yst andar dsar ei gnor edt o
producecheapgoods.
Jobi nsecur i
ty-Ear l
ierpeopl ehadst abl e, per manentj obs.Nowpeopl elive
i
nconst antdr eadofl osi ngt heirj obst ocompet ition.Incr easedj ob
compet iti
onhasl edt or educt i
oni nwagesandconsequent l
yl ower
standar dsofl iving
Terror istshav eaccesst osophi sticatedweaponsenhanci ngt heirabi l
ityto
i
nf l
i
ctdamage.Ter ror i
st suset heI nter netf orcommuni cat i
ngamong
themsel v es.
Compani eshav esetupi ndust riescausi ngpol lutioni ncount rieswi thpoor
regulat ionofpol lution.
Fastf oodchai nsl ikeMcDonal dsandKFCar espr eadi ngi nt hedev el
opi ng
wor l
d.Peopl ear econsumi ngmor ejunkf oodf r om t hesej ointswhi chhas
anadv ersei mpactont hei rheal th.
Thebenef i
tsofgl obal izationar enotuni ver sal.Ther i
char eget t
ingr icher
andt hepoorar ebecomi ngpoor er.
Badaspect soff or eigncul tur esar eaf fect ingt hel ocal cultur est hroughTV
andt heI nter net.
Enemynat ionscanspr eadpr opagandat hr ought heI nternet .
Deadl ydi seasesl i
keHI V/AI DSar ebei ngspr eadbyt rav el
lerst ot he
remot estcor ner soft hegl obe.
Local indust riesar ebei ngt akenov erbyf or eignmul ti
nat i
onal s.
Thei ncr easei npr iceshasr educedt hegov er nment sabi l
ityt osust ai
n
social wel f
ar eschemesi ndev elopedcount ri
es.
Ther ei si ncreasei nhumant rafficking.
Mul ti
nat i
onal Compani esandcor porat ionswhi chwer epr ev iousl y
restrictedt ocommer cial act ivit
iesar ei ncr easi ngl yinfluenci ngpol iti
cal
decisi ons.
Global i
zat i
onhasl eadt oenv ir
onment al damagei nIndi a( aswi thmany
devel opi ngnat ions) .Duet ol arge- scalei ndust rializationur bansl umshav e
formed, airandwat erpol l
ut ionhasdr amat icallyi ncreased.Mul tinati
onal
fi
rmshav eexpl oitedr esour cesbel ongi ngt ot hecount ryandl eadt oland
degr adat i
on.Del hi forexampl eist he4t hmostpol l
utedci tyi nt hewor l
d.
Thoughf oreigni nv est mentwi l
l promot eeconomi cdev elopmenti nthe
shor tt erm, t
hepr of i
tsear nedf rom t hebusi nessv entur emov eoutoft he

19
 Gl
obal
izat
ion
country.Thereisalsoapossi bil
itythatatt
imesofr ecessi oninvestors( i
n
portf
oli
oi nvest
ment )maywi t
hdrawt heirf
undscausi ngf urt
herprobl ems.
Domest icresourcessuchasl abormay beexploit
edbyl argepr oduction
basedf i
rms.Thesef irmsmayal soabusenat uralresour cesanduset hem
i
neffi
ciently.
Domest icproducerbeingov erpower edmyov erseasgi ant s,whoalready
havecompet i
ti
veadv antagesov erthedomest i
cpr oducer s,
andhav emor e
fundstoi nvest
.Thiswi l
lleadtot heclosur
eofmanydomest icownerf i
rms.

Concer
nsandFear
s:
Ontheimpactofglobalization,therearetwomajorconcerns.Thesemay
bedescri
bedasevenfears.Undereachmajorconcernther
earemanyr
elated
anxi
eti
es.Thefi
rstmajorconcer
nisthatgl
obali
zati
onleadstoamorei
niquit
ous

20
 Gl
obal
izat
ion
dist
ributi
onofi ncomeamongcount ri
esandwi thincountr
ies.Thesecondfearis
thatglobali
zati
onl eadst
olossofnationalsoverei
gntyandthosecountr
iesare
fi
ndingitincreasingl
ydif
fi
cultt
ofol
lowi ndependentdomest i
cpol
ici
es.These
twoissueshav etobeaddressedboththeoreti
call
yandempi ri
cal
l
y.

Thear gumentt hatgl obalizationl eadst oi nequal ityisbasedont he

premi set hatsi ncegl obal izat ionemphasi zesef ficiency ,gai nswi llaccr uet o
count rieswhi char ef av orabl yendowedwi t
hnat ural andhumanr esour ces.
Adv ancedcount ri
eshav ehadaheadst ar tov ert heot hercount riesbyatl east
threecent uries.Thet echnol ogical baseoft hesecount riesi snotonl ywi debut
highlysophi st i
cat ed.Whi let radebenef itsal lcount ri
es, great ergai nsaccr uet o
thei ndust ri
allyadv ancedcount ries.Thi si st her easonwhyev eni nt hepr esent
tradeagr eement s, acasehasbeenbui ltupf orspeci alanddi fferent i
al treat ment
i
nr elat iont odev elopi ngcount r
ies.Byandl arge, t
hist reat mentpr ov idesf or
l
ongert ransi tionper iodsi nr elationt oadj ust ment .Howev er,ther ear et wo
changeswi thr espectt oi nt ernat ionaltradewhi chmaywor kt ot headv ant ageof
thedev el opingcount ries.Fi rst,forav ar ietyofr easons, thei ndust r i
allyadv anced
count riesar ev acat ingcer tai nar easofpr oduct i
on.Thesecanbef ill
edi nby
dev elopi ngcount ri
es.Agoodexampl eoft hisi swhatt heEastAsi ancount ries
didi nt he1970sand1980s.Second, i
nt ernat i
onal tradei snol ongerdet er mi ned
byt hedi stribut ionofnat ur al resour ces.Wi tht headv entofi nfor mat i
on
technol ogy ,ther oleofhumanr esour ceshasemer gedasmor ei mpor tant .
Speci alizedhumanski ll
swi llbecomet hedet ermi ningf act orint hecomi ng
decades.Pr oduct iveact ivitiesar ebecomi ng knowl edgei ntensi v er athert han
resour cei ntensi ve.Whi let herei sadi v i
debet weendev elopi ngandt he
adv ancedcount riesev eni nt hisar easomepeopl ecal litthedi gi taldiv ide-i tis
agapwhi chcanbebr idged.Agl obali
zedeconomywi thi ncreasedspeci alizat i
on
canl eadt oimpr ovedpr oduct i
vityandf ast ergr owt h.Whatwi ll ber equi redi sa
balanci ngmechani sm t oensur et hatthehandi capsoft hedev elopi ngcount ries
areov er come.

Apar tf
rom thepossibl
eini
quitousdist
ributionofi ncomeamongcount r
ies,
i
thasal sobeenar guedthatglobal
izati
onleadst owi deningi ncomegapswi thin
thecount riesaswel l
.Thiscanhappenbot hint hedev elopedanddev el
oping
economi es.Thear gumentisthesameaswasadv ancedi nr elat
iontoiniqui
tous
dist
ri
butionamongcount ri
es.Globali
zati
onmaybenef itevenwi thinacountry
thosewhohav etheskil
lsandthetechnology.Thehi ghergr owt hrateachiev
ed
byaneconomycanbeatt heexpenseofdecliningi ncomesofpeopl ewhomay
berender edr edundant.Inthi
scontext,i
thast obenot edt hatwhi l
eglobali
zation
mayaccel eratetheprocessoftechnologysubst i
tutioni ndev elopingeconomi es,

21
 Gl
obal
izat
ion
thesecount r
iesevenwi t
houtglobal
izat
ionwi l
lfacet heprobl
em associ
atedwith
mov i
ngf rom lowertohighert
echnology.Ifthegr owt hr
ateoftheeconomy
acceleratessuffi
ci
entl
y,thenpartoftheresourcescanbedi v
ertedbythestat
eto
moder nizeandr e-
equippeopl
ewhomaybeaf fect edbytheprocessof
technologyupgr adati
on.

Thesecondconcer nr elatest othelossofautonomyi nt hepur suitof

economi cpolici
es.Inahi ghlyi ntegrat
edwor ldeconomy ,iti
st ruethatone
countrycannotpursuepol icieswhi charenotinconsonancewi ththewor l
dwide
trends.Capitalandtechnol ogyar ef l
uidandt heywill
mov ewher ethebenef it
s
aregreater.Asthenationscomet ogetherwhetheritbeinthepol it
ical,socialor
economi carena,somesacr ifi
ceofsov erei
gntyisi
nev i
tabl
e.Theconst rai
ntsofa
globali
sedeconomi csy st
em ont hepur sui
tofdomest icpoli
cieshav etobe
recognised.Howev er,i
tneednotr esultintheabdicati
onofdomest i
cobj ecti
ves.

Anot herfearassociatedwithglobal izat

ionisinsecuri
tyandvolati
li
ty.
Whencount r
iesareinter
-r
elatedstrongl y
,asmal lsparkcanst ar
talarge
confl
agr ati
on.Pani candf earspreadf ast.Thedownsi detoglobali
zati
on
essenti
al l
yemphasi zestheneedt ocreat ecountervail
i
ngf or
cesintheform of
i
nstit
utionsandpol i
ciesattheinternational l
evel
.Globalgovernancecannotbe
pushedt ot heperiphery,
asi nt
egrationgat hersspeed.

Empi r
icalev i
denceont heimpactofgl obalizati
ononi nequal i
tyisnotv ery
clear.Theshar ei naggr egat ewor l
dexpor t
sandi nworldout putofthe
dev el
opi ngcount ri
eshasbeeni ncreasi ng.I naggr egatewor ldexpor ts,t heshar e
ofdev el opingcount r
iesincr easedf rom 20. 6percenti n1988- 90to29. 9percent
i
n2000.Si milarl
yt heshar ei naggr egatewor ldout putofdev elopi
ngcount ries
hasi ncr easedf rom 17. 9percenti n1988- 90t o40. 4percenti n2000.Thegr owth
rateoft hedev elopingcount riesbot hi nt ermsofGDPandpercapi taGDPhas
beenhi ghert hant hoseoft hei ndust ri
al count ri
es.Thesegr owt hrateshav ebeen
i
nf acthi gherint he1990st hani nthe1980s.Al lthesedat adonoti ndi cat ethat
thedev elopingcount riesasagr ouphav esuf feredinthepr ocessofgl obal izati
on.
Infact, therehav ebeensubst ant i
algains.Butwi t
hindev elopingcount ries, Afr
ica
hasnotdonewel landsomeoft heSout hAsi ancount ri
eshav edonebet teronly
i
nt he1990s.Whi lethegr owt hratei npercapi taincomeoft hedev elopi ng
count r
iesi nthe1990si snear lytwot i
meshi ghert hanthatofi ndustrialized
count r
ies, i
nabsol uteter mst hegapi npercapi taincomehaswi dened.Asf or
i
ncomedi str
ibutionwi thinthecount ri
es, iti
sdi ffi
cultt
ojudgewhet her
globalizat i
oni sthepr imar yf actorresponsi bleforanydet eriorati
oni nthe
distri
but ionofi ncome.Wehav ehadconsi derablecont r
ov ersiesinourcount r
y

22
 Gl
obal
izat
ion
onwhathappenedt othepovert
yrati
ointhesecondhalfof1990s.Most
analyst
sev enf orIndiawouldagreethatt
hepov ert
yrati
ohasdeclinedinthe
1990s.Differencesmayexi stastowhatrateatwhichthishasfal
len.
Nev er
thel
ess, whet heriti
sinIndi
aoranyothercountry
,iti
sv er
ydiff
icul
ttotr
ace
thechangesi nt hedi st
ri
buti
onofincomewi t
hinthecountri
esdir
ectl
yt o
globali
zat
ion.

I
ndi
asSt
anceonGl
obal
izat
ion:
WhatshouldbeIndiasattitudeinthisenvironmentofgrowing
23
 Gl
obal
izat
ion
global i
zation?Att heout setitmustbement ionedthatoptingoutofglobal i
zat
ion
i
snotav i
ablechoice.Ther eareatpresent149member si ntheWor l
dTr ade
Or ganisation(WTO) .Some25count r
iesar ewai t
ingtojointheWTO.Chi nahas
recent l
ybeenadmi ttedasamember .Whati sneededist oev ol
veanappr opri
ate
framewor ktowr estmaxi mum benefit
soutofi nternat
ionaltradeandinvestment.
Thi sframewor kshoul dinclude:
(a)Maki ngexpli
cittheli
stofdemandst hatIndiawouldliketomakeont he
mul ti
lateraltr
adesy stem, and
(b)St epst hatI
ndiashoul dtaketorealizethef ul
lpotenti
al f
rom global
izati
on.

Wher
edoesI
ndi
anst
andi
nter
msofGl
obal
Int
egr
ati
on?
I
ndiacl
ear l
ylagsingl
obal
isat
ion.Numberofcount
ri
eshaveacl
earleadamong
t
hem China,largepar
tofeastandfareastAsi
aandeast
ernEur
ope.Letsl
ookat
afewindicator
showmuchwel ag.

Ov erthepastdecadeFDIf l
owsi ntoIndiahav eav eragedar ound0. 5%of
GDPagai nst5%f orChi na5. 5%f orBrazil.Wher easFDIi nf l
owsi ntoChina
nowexceedsUS$50bi llionannual l
y.Itisonl yUS$4bi l
lionint hecaseof
India
Consi dergl obal t
rade-I ndi a'sshareofwor l
dmer chandi seexpor t
s
i
ncr easedf rom .05%t o. 07%ov erthepat20y ear s.Ov ert hesameper iod
Chi na'
sshar ehast ripledt oal most4%.
India'sshar eofgl obal tr adei ssimilartot hatoft hePhi li
ppi nes,an
economy6t imessmal leraccor dingtoI MFest imat es.I ndiaundert rades
by70- 80%gi v
eni tssi ze, proximitytomar ketsandl abourcostadv antages.
Iti
si nterest i
ngt onot et her emarkmadel asty earbyt heGov ernorofRBI .
Despi teal lt
het alk,wear enowwher eev erclosebei nggl obali
sedi nterms
ofanycommonl yusedi ndi catorofgl obalisati
on.I nf actwear eoneoft he
l
eastgl obalisedamongt hemaj orcount ries-howev erwel ookati t.
AsAmar tyaSenandmanyot herhav epoi ntedoutt hatI ndia,asa
geogr aphi cal,poli
tico- cul turalenti
tyhasbeeni nteract i
ngwi ththeout side
wor ldthroughouthi stor yandst il
lcont i
nuest odoso.I thast oadapt ,
assi milat
eandcont ribut e.Thi sgoeswi t
houtsay ingev enaswemov einto
whati scal l
edagl obal isedwor l
dwhi chi sdistinguishedf r
om pr evi
ous
erasf rom byf astert rav el andcommuni cat i
on, greatert radel i
nkages,
dent i
ngofpol i
ti
cal andeconomi csov ereigntyandgr eateraccept anceof
democr acyasawayofl ife.

Consequences:

24
 Gl
obal
izat
ion
Thei mplicati
onsofgl obalisationf oranat ionaleconomyar emany .
Globali
sat i
onhasi ntensifi
edi nter dependenceandcompet it
ionbet ween
economi esint hewor ldmar ket .Thi si srefl
ectedinInt erdependencei nregard
totradi
ngi ngoodsandser vicesandi nmov ementofcapi t
al.Asar esult
domest i
ceconomi cdev elopment sar enotdet erminedent i
relybydomest ic
poli
ciesandmar ketcondi ti
ons.Rat her ,
theyareinfluencedbybot hdomest i
c
andi nt
ernational poli
ciesandeconomi cconditi
ons.I tisthuscl eart hata
globali
singeconomy ,whi l
efor mul atingandev aluatingi t
sdomest i
cpol i
cy
cannotaf for
dt oi gnoret hepossi bleact ionsandr eact ionsofpol ici
esand
development sint her estoft hewor ld.Thisconst r
ainedt hepolicyopt ion
avail
ablet othegov ernmentwhi chi mpl ieslossofpol icyaut onomyt osome
extent,i
ndeci sion-maki ngatt henat ionallevel
.

Gl
obal
izat
ion-ACont
rov
ersi
alTopi
c:
Thosewhosupportglobalizationpointoutthatfreetradeenables

25
 Gl
obal
izat
ion
compani esfr
om theri
chindustr
iali
zedcountri
estoinvesti
npoor ercountr
ies,
provi
dingjobstolocalci
ti
zensandi mprovementstoinfr
astr
ucture.Many
multi
nat i
onalcor
porat
ionsnowr educelaborcost
sbyout sourci
ngpor t
ionsof
thei
rbusinessoperati
onstocountriessuchasIndi
aandChi na.Thishasbeen
part
icularl
ytr
ueofthemanuf act
uringsector
.

Forei
gncompaniesalsoprovi
deweal t
ht ol
ocal
economi esint
heform of
for
eigncur r
encywhentheybuylocalproduct
sandservices.I
nmanycases,they
havebuiltschool
s,col
l
egesandhospi t
alsforthel
ocalr
esidents,
enhanci
ngthe
qual
ityoflif
e.

Advocatesalsocontendt
hatglobal
izati
onall
owsforthemixi
ngofpeople
andcul
tur
es,furt
herenabli
ngthesharingofideas,
experi
encesandl
if
esty
les.
Peopl
ecanexper i
encefoodsandotherproductsnotprev
iousl
yavai
l
ablei
nt hei
r
owncountry
.

Ov er
all
,support
ersofglobal
izati
onarguet hatithasbr oughtimprov ed
standardsoflivi
ngandqualit
yoflifetoseveralcountries.Theypointt oexamples
suchasChi na.Asar esul
tofopeningitsmarket stothewor ld,Chinaseconomy
canclaim anincreaseinpercapit
apersonalincomef rom $1, 420in1980t o
$4,120by1999.I n1980,Amer i
cansearned12.5t imesasmuchast heChinese
percapita.By1999, t
heywereonlyearning7.4timesasmuch.

Suppor
ter
scit
egl obal
izat
ionashav
ingbenef
it
edcount
ri
esinanumberof
way
s,par
ti
cul
arl
ypoorerones.Forexampl
e,t
hepercent
ageofpeopl
ein
26
 Gl
obal
izat
ion
devel opingcount ri
eslivi
ngbelow$1perdayhashal v
edi nonly20y ears;l
if
e
expect ancyi nthedev el
opingwor l
dhasal mostdoubledsi nceWWI Iandi s
cl
osi ngt hegapwi t
ht hedevel
opedwor l
d;between1950and1999gl oballi
ter
acy
i
ncr easedf rom 52%t o81%.
Butgl obali
zati
onhasequal lyvocalopponents.Inrecentti
mes,
global i
zationhasbeenbl amedf orahostofil
ls,i
ncludingpov er
tyintheThird
Wor ld,jobl ossesinindustr
ial
i
z edcountri
esandev ent heAmer i
canizati
onof
othercul tures.

Anti
-gl
obali
stscontendt hatitoperatesonlyintheint
erestsoft heri
ch
nati
onsandmul t
inat
ional corporat
ions.Theyar guethatsuchcorporations
exploi
twor ker
sinthedev elopingwor l
d,subjecti
ngthem topoorwor king
condit
ionsi n
sweatshops, andpay ingthem salari
esthattheywouldnotbe
all
owedt ogetawaywi t
hbackhome.Theycont endthatthemultinat
ional pr
ofi
ts
arerepatri
atedandlitt
leisinvestedinthecommuni ti
eswhosel aborand
resourcestheyconsume.

Thesecrit
icsalsosaythatthegapbetweent heri
chandpoornat ionsis
growing,andthatglobal
izati
onhasnotbenef i
tedpoor ercountr
ies.Figuresused
frequent
lytobackt hei
rpositi
oncomef rom avarietyofsources,i
ncludinga
reportfr
om theUnitedNat i
onsDev el
opmentPr ogram.Forexampl e,thegapi n
i
ncomesbet weenthe20%oft her
ichestandpoor estcountri
eshasgr ownf rom
30t o1in1960t o82t o1in1995.

Bythelate1990s,thefi
ft
hofthewor ldspopulati
onli
vinginthehi
ghest
-
i
ncomecount r
ieshad:
86%ofthewor l
dsgrossdomesti
cpr oductthebot t
om fif
thjust1%.
82%ofwor l
dexportmar ket
sthebottom fi
fthjust1%.
68%offorei
gndirectinv
estmentthebottom fift
hjust1%.
74%ofthewor l
dstel
ephoneli
nesthebot tom fi
fthjust1.
5%.

Theseanti
-global
istssaythisri
singinequal
it
yistheresul
tofmarket
for
ces.Theysaythatgiv
enf reerein,
mar ketfor
cesgiv
et heri
chthepowertoadd
tothei
rwealt
h.Therefor
e, t
heyarguet hatl
argecorpor
ationsi
nvesti
npoor
countr
iesonl
ybecauset heycant akeadvantageoflowwagel ev
elsorsothey
canaccessthei
rnaturalresour
ces.

27
 Gl
obal
izat
ion
TheFut
ureofGl
obal
izat
ion:
Sowhatdoesthefuturehold?Whatwillbetheresultoftheincreasingly
i
nter
connect
edst
ateoft
hewor
ld
snat
ions?

Whil
etherearemanyopinions,t
her ei
sonlyonesour
cet hatcangi
veus
thetr
ueanswer theHolyBibl
e.I
nit,Godaccuratel
yfor
etol
dt heri
seandfallof
themajornati
onst hr
oughouthi
story,
includi
ngtheBabyl
onian,Medo-Per
sian,
GreekandRomanempi res.Heevenpr ophesi
edthesuddenriseoftheAmer i
can
andBrit
ishpeopletowor l
dpromi
nence.

AndGodhasf oret
oldtoday
sfast-
pacedinter
connect
edwor l
dandi t
s
matchl
essadvancesinsci
enceandt echnol
ogy:Butyou,
ODaniel
, shutupthe
words,
andsealthebook,eventothetimeoftheend:manyshal
lrunt oandfr
o,
knowl
and edgeshal
lbeincreased.

TheBiblestatest hat,i
nthef uture,aunionoft ennat i
ons( orgr oupsof
nations)wi l
lari
se,andr eplaceAmer icaast hedomi nantwor ldpower .Itwill
attackanddef eatAmer i
caandBr it
ain, t
akingthesur vi
vorsintocapt ivi
ty.This
polit
ical,economicandmi l
it
arycombi newi l
lbebackedbyauni versalfalse
chur ch.I
twi l
lbecomeawor ld-
leadingt r
adingbloc,possessi ngvastr ichesand
tradingalloverthewor ldinev eryproductimagi nableev enhumanbei ngs!This
polit
icall
yinfl
uential
r el
igiousent i
ty,l
edbyachar ismat i
cf i
gure,willusherina
tempor aryperiodofgr eatweal t
h.Gl obali
zationwillthri
vedur i
ngi t
sr eignto
l
ev elsunseeni nhumanhi storyprosper i
tywi l
lfl
ourish,butnotforal l.

Howev er,
shortl
yaftertheriseoft hi
st en-
nationunion,i
twil
l bereplaced
byawor l
d-rul
i
ngsupergov ernment
thatwillusherinlasti
ngpeace, prosperi
ty
andsecurit
yforall
.UponHi stri
umphantRet urn,JesusChr i
stwil
ltakeov erall
thegovernmentsofmen, andadmi nisterHisgov ernmentthekingdom of
Godthroughouttheeart
h.Att hatti
me, thewor l
dwi l
lbecometrul
y oneone
withGod.

Tr
ueglobalizat
ionwi
ll
occur,butaccordi
ngtoGod sj
ustst
andards.No
mor
einequali
ty.Nomor epover
ty.Nomor eexploi
tat
ion.Peacewi
llabound.What
awonder
fulpi
ct ur
esoontobecomear eal
it
y!

28
 Gl
obal
izat
ion
Concl
usi
on:
Theconclusioncanthusbemade,thatdespiteglobalizationcontribution
totheincreasedl evel
sofeconomi cgrowthi tdi
dnotcont r
ibut
etot he
i
mpr ovementi ntheskeweddi str
ibut
ionofi ncomebet weendev elopedand
developi
ngcount ri
es.Theproblem istheskeweddi stributi
onofincomecan
mainlybeat t
ributedtot heli
mitedparti
cipationsoft hedev elopi
ngcount r
iesin
theprocessofgl obalizati
on.Theimplicationsofglobal izati
onforaneconomy
aretoomany .Globali
zationhascompet iti
onandi nter dependencebet weenthe
economiesi nthewor l
dmar ketwhichreflectsinthei nterdependenceintradi
ng
ofgoodsandser v i
ces.

Theyar einf
luencedbybot h,domest i
candi nternati
onal policiesandal so
bytheeconomi cconditions.So, i
tisv eryclearthatagl obali
zingeconomy ,
when
evaluatingitsdomest icpol i
cies,cannotaf f
ordt oignorethepossi bleact i
onsof
thepol i
ciesanddev el
opment sint her estofthewor l
d,theopt i
onofwhi chis
avail
abl etothegov ernmenti ndeci si
onmaki ngatanat i
onallev el
.Ther ecent
experiencei sthatthecount rymustcar eful
lychooseacombi nat i
onofpol i
cies
thatenabl esittotaket heoppor t
uni t
ybyav oi
dingpitfall
s.UnitedSt ateshasbeen
thelargesteconomyi nt hewor ldf rom ov eracent ur
ybutmanymaj or
development shavebeent akingpl acei nthewor ldeconomysi ncet hatt i
me
whichhasl eadtoshi f
tt hefocusf r
om USandot herrichcount ri
esofEur opeto
thetwoAsi angiantcount ri
es-I ndiaandChi na.

Theexper tsoft heeconomi esandv ariousot herst udiesconduct edacr oss

st
thewor l
denv isageI ndiaandChi nat or ulethewor l
dint he21 cent ur
y .The
Indianeconomywaspassi ngthroughav erydi fficultphasewhi chi scausedbyso
manyunf avor abledomest i
candext ernal dev el
opment s.Thel argestcont ributor
i
nt het otal agr i
cult
ur alexpor t
si sthemar inepr oduct swhi chaccountt obet he
totaloft heonef ift
hpor ti
onsoft heagr icultural product s.Oi lseeds, r
ice, coffee,
andt eaar eot herpromi nentproduct swhi chaccount sint het ot alofthe
agricultural productsofabout10%.
I
ndi a, whichisnowt hef ourthlargesteconomyi nt ermsofpur chasi ng
powerpar i
ty,mayov ertakeJapanandbecomet hi r
dmaj oreconomi cpower
within10y ear s.Theeconomi ci mpactofgl obal izat i
oni nVi etnam andChi na
demonst ratet hatglobal i
zati
oncanbebenef ici
al tot hegr owt hofdev el oping
count ri
esandcanf ur t
her moreenhancet hesov er eigntyofdomest ic
gov ernment s.Whi l
egl obal i
zationcananddoeshav enegat ivesi de
effectssomemul tinat i
onalsdoexpl oitthei rwor kers,domest ici nsti
tut i
onswi l
l
facemor er iskf r
om capi talfl
ows, andt het hr eatofsoci al instabi l
it
ymay

29
 Gl
obal
izat
ion
ri
set heaimst otradearenonet helesssupport
edbyt hemaj or
it
yofcr oss-
countryempi ri
cal data.Whilethemanneri nwhichdev el
opingcountriescanbest
uti
li
zei nter
national capi
talandmar ketsshouldremainani ssueofconcernand
furt
herst udy,t
hecl aimthatgl obali
zationi
smer elyasourceofproblemsi s
unjusti
fiedgivent heanalysisofVietnam andChi na.I
twasi ndi
catedinthepaper
thatitisimportantt odif
ferentiat
etheconceptofgl obal
izati
onfrom
i
nternat i
onali
zationandr egionali
zation.

I
twasal soi ndicat edthatgl obalizationhadsomespeci f
icef fectsont he
economi esoft hedev elopingcount ri
esofAf ri
ca.Itwasi ndicatedt hatunder
certaincircumst ancesgl obal i
zati
oncanl eadt ohi
gherunempl oy mentandan
i
ncr easingskewnessi nt hedi str
ibut i
onofi ncomebet weendev elopedand
dev el
opingnat i
ons.Gl obal izati
oncanpl ayandv eryimpor tantr olei nsolvingthe
dev el
opmentpr oblemsofAf ri
ca.Ifcount riesinAfri
caar epr epar edt oallowf or
tradeliberali
zat i
onandf oll
owst abl emacr oeconomi cpolicyitwi llcontributeto
thedev elopmentoft her espect i
vecount ries.Ther oleofNEPADast hesol uti
on
tothedev el
opmentpr obl emsofAf r
icahasal sobeenev al
uat ed.I twasi ndicated
thatthedev elopedcount r i
esisinf av oroft heNEPADi niti
ati
v e,iftheAf rican
count r
iescanadher et ot heprinciplesembeddedi nt heNEPADdocument s.A
concer ncanber aisedaboutt hef actt hati nt
ernat
ional t
radei sonl yfavoringa
fewnat ionsi nAf r
ica.Fut ureresear chwi llhavetoinv esti
gateway st opromot e
theeconomi cdev elopmenti nalltheAf ri
cancount ries.

Ther efore, onecanev i

dent lyinferthatGlobal i
zat i
onmeanst heintegrat
ion
oftheeconomi esoft hewor l
dt hroughuni nhi
bitedtradeandf inanci
alflows
whichar ethr oughexchangeoft echnol ogyandknowl edge.I thasprov i
ded
developi
ngcount rieswi t
hagr eateraccesst othemar ket sandt echnologyofthe
developi
ngcount rieswhi chhasl eadt oahi ghli
v i
ngst andar dandagr eater
producti
v i
ty.Wecomeacr osst hei mpactofgl obalizationondev el
opi
ng
countri
esi nt heabov estatedpoi nt swhi chnotonl yshowsgoodbutal sobad
i
mpactofgl obalizationont hecount ri
esespeci all
ydev elopingcount r
ies.
Globali
zationhasi ncreasedt herisksinv olvedwi t
hi t
.Indi ancompani esnowhav e
becomer espect abl ecount ri
esi nI nter
nat i
onal market.Agr icult
urewentt o18%
i
ncreaseoft het ot alannual expor toft hecount ry.ChinaandVi etnam also
developedi tseconomyt hroughpr ivat
izationandgl obal i
zat ion.Thus,
Globali
zationhaspl ayedav er yimpor tantr ol
einev erydev elopedanddev el
opi
ng
countrybutmai nl yindev elopi ngcount ries.ThoughGl obal i
zat i
onisverygoodf or
developi
ngcount riesbuti nf ewpl acesi thasbadef fect sont hosecount r
iesas
well.

30
 Gl
obal
izat
ion

Websi
tesv
isi
ted:
Thi
srepor
thasbeencompi
l
edaf
tert
hecol
l
ect
ionandcar
eful
scr
uti
nyofi
nfor
mat
ionf
rom t
hef
oll
owi
ngwebsi
tes:

www.
economy
wat
ch.
com/
economi
cs-
theor
y/gl
obal
i
zat
ion/
eff
ect
s.ht
ml

www.
buzzl
e.com/
art
icl
es/
negat
ive-
eff
ect
s-of
-gl
obal
i
zat
ion.
html

www.
busi
ness.
mapsof
indi
a.com/
global
i
zat
ion/
indi
a-i
ndust
ry/

www. bizcov
eri
ng.
com/
busi
ness-
and-
soci
ety
/gl
obal
i
zat
ion-
and-
it
s-i
mpact
-
on-
india/

www.
en.
wiki
pedi
a.or
g/wi
ki
/Gl
obal
i
zat
ion

www.
i
mf.
org/
ext
ernal
/np/
exr
/Key
/gl
obal
.ht
m

www.
global
pol
i
cy.
org/
global
i
zat
ion.
html

www.
tr
adechakr
a.com/
indi
an-
economy
/gl
obal
i
zat
ion.
html

www.
ri
s.org.
in/
Semi nar
_ on_I
ndia_
Gl obal
iz
ati
on.ht
m
www.
realt
rut
h.org/
arti
cles/070223-001-gl
obal
izat
ion.
html

31
 Gl
obal
izat
ion

32