Globalisation is a highly opinionated topic, which is discussed throughout the years, especially since Donald Trump won the election in 2016 who is now promoting a way of business which is considered to be more in the direction of protectionism rather than globalisation. Protectionism is supposed to protect producers, workers and businesses of the import-competing sector from other countries. Political tools to achieve such a protection of national business are tariffs, regulations on imported goods and other government regulations. This is against what the world has been moving towards in the past decades since WWII. Western society since then has promoted a more global approach of living, including migration, trade and problem solving.
Globalisation is described as the process of increasing the integration of internationally dispersed goods. These integrations include factors such as culture, society and economical, political and informational cooperation. All those factors contribute to the fact that the world is moving closer together rather than further away, how Donald Trump is suggesting. The world is becoming a "global village" with products available in countries that do normally not have access to them, such as bananas in the UK or a Mercedes in the United States.
Table of Contents
1. Why they are wrong – Anti-globalists
2. Definitions of rich and poor
3. Negative impacts of globalisation on the poor
4. Economical dangers and positive effects of investment
5. Influence on the society of developing countries
6. Conclusion
Objective & Topics
This essay critically examines the impact of globalisation, specifically addressing the arguments presented in The Economist regarding its benefits and downsides. It investigates whether globalisation exclusively benefits the wealthy or if it provides pathways for improving the livelihoods of the poor and fostering global development.
- Theoretical definitions of wealth and poverty on an individual and national level
- Economic consequences of outsourcing and foreign direct investment
- Social impacts, including trafficking, healthcare, and education in developing nations
- The role of the "global village" in bridging cultural and economic divides
- Evaluation of protectionist vs. globalist perspectives
Excerpt from the Book
Why they are wrong – Anti-globalists
Globalisation is a highly opinionated topic, which is discussed throughout the years (Boddy 2014), especially since Donald Trump won the election in 2016 who is now promoting a way of business which is considered to be more in the direction of protectionism rather than globalisation (Berenson 2016). Protectionism is supposed to protect producers, workers and businesses of the import-competing sector from other countries. Political tools to achieve such a protection of national business are tariffs, regulations on imported goods and other government regulations (Milner 1989). This is against what the world has been moving towards in the past decades since WWII. Western society since then has promoted a more global approach of living, including migration, trade and problem solving (Bardham 2017).
Globalisation is described as the process of increasing the integration of internationally dispersed goods (Boddy 2014, Banerjee et al. 2009). These integrations include factors such as culture, society and economical, political and informational co-operation (Linsted 2009). All those factors contribute to the fact that the world is moving closer together rather than further away, how Donald Trump is suggesting. The world is becoming a “global village” (Linsted 2009, p.341) with products available in countries that do normally not have access to them, such as bananas in the UK or a Mercedes in the United States.
Summary of Chapters
1. Why they are wrong – Anti-globalists: Introduces the debate surrounding globalisation, contrasting it with protectionist policies and defining the core objective of the essay.
2. Definitions of rich and poor: Establishes clear metrics for poverty and wealth, utilising Purchasing Power Parity (PPP) for individuals and GNI per capita for nations.
3. Negative impacts of globalisation on the poor: Examines the displacement of workers in developed nations and the challenges faced by the low-skilled workforce due to outsourcing.
4. Economical dangers and positive effects of investment: Analyzes the dual nature of international investment, weighing the risks of financial recession against the benefits of economic upswings.
5. Influence on the society of developing countries: Discusses the social implications of globalisation, focusing on human rights issues like trafficking as well as improvements in life expectancy and healthcare.
6. Conclusion: Summarizes the discussion by affirming that while globalisation has irreversible challenges, its potential for positive transformation outweighs protectionist alternatives.
Keywords
Globalisation, Protectionism, Poverty, Wealth, Economic Integration, Outsourcing, Developing Countries, Foreign Investment, Social Impact, Healthcare, Education, Labour Markets, Global Village, GDP, GNI
Frequently Asked Questions
What is the core focus of this work?
The essay evaluates the validity of anti-globalisation arguments by assessing both the negative impacts on vulnerable populations and the long-term benefits of an integrated global economy.
What are the primary thematic areas covered?
The work explores economic definitions of poverty, the consequences of corporate outsourcing, the impact of international trade on local social structures, and the broader benefits of knowledge and technology sharing.
What is the central research objective?
The objective is to determine whether the claim that "globalisation only benefits the rich" holds true, or if the process serves as a necessary engine for global improvement.
Which methodology is employed?
The author uses a literature-based analytical approach, reviewing existing economic studies and definitions from institutions like the World Bank and the UN to build a balanced argument.
What topics are discussed in the main body?
The main body covers the definitions of wealth/poverty, the debate on labor outsourcing, the effects of market volatility, and social development indicators such as life expectancy and school attendance.
Which keywords characterize this study?
Key terms include Globalisation, Protectionism, Economic Integration, Inequality, Foreign Investment, and Social Development.
How does the author define a "poor" person?
The author adopts a definition based on Purchasing Power Parity (PPP), specifically referring to individuals living on less than 2 PPP$ per day.
What role does the "global village" play in the author’s argument?
The "global village" concept represents the increasing connectedness of the world, which the author argues is an irreversible process that offers significant opportunities for raising standards of living globally.
How does the text explain the impact of outsourcing?
It presents a nuanced view: while outsourcing often leads to short-term job losses in developed countries, it also generates employment and economic growth in host, developing countries.
What is the author’s final stance on globalisation?
The author concludes that globalisation is an irreversible and beneficial process, emphasizing that instead of working against it, focus should be placed on mitigating its negative aspects.
- Quote paper
- Marcel Strangmueller (Author), 2017, "Why they are wrong". Analyzing globalization and its impact on the rich and poor, Munich, GRIN Verlag, https://www.grin.com/document/417202
