Globalization is a matter that everyone talks about this days and it will continue to be a big challenge for the next decade. We can see through this document different types of debates, against or for it but the one thing that is sure is that globalization will always be among us. In this article we are exposing our pros and cons concerning globalization.
- It will favor the development of trade. And trades are correlated with the GDP. By developing international trades countries develop their GDP.
- Globalization helps countries increasing their competiveness. That will then intensify the growth of the country and the well being of the people.
- NTIC is something that has been driven by globalization. People need to connect with each other because they are now working together and this has to be as simple as possible. Companies kept on pushing the development of NTIC because this is one of the perfect ways to connect with each other all around the world.
- Development of free trade zones and monetary zones. This is part of globalization, more and more countries gather together in order to be more stable and have stronger economies.
- More peace around the world: globalization helps us understanding more how others are thinking and this brings peace in the world. Since we understand the others, we are more tolerant towards them.
- You can now do more economies on a global scale. You can divide the production of one product between many countries: that way you have bigger scale economies effects and you use the real specialization of each one of those countries. We can take the iPhone for example.
- Job destructions in developed countries, even if there is new types of jobs created. People are not always able to adapt.
- Higher competition between people and companies. Now companies and people have to think that they are in competition with the entire world.
- The globalization favors the fiscal evasion, because it is harder to follow the movement of cash.
- Globalization helps creating the idea of “to big to fell”. This is a big problem because we have seen in 2008 that the “to big to fell” doesn’t exist. This can create a problem of trust in the different countries.
- Higher risk of epidemics: now people travel all around the world, all the time. People can bring back dangerous diseases. This is something difficult to control when people are crossing the borders.
- Problems of wealth gap. Globalization makes countries get richer, but the problem is that this money added doesn’t always go into the pocket of poor people. In fact most of the time the wealth that has been created goes into rich people pocket and this increase the wealth gap.
- Linked economies can also be dangerous as we can see with the sanction that UE took against Russia. It is difficult to have sanctions against Russia since our country has a lot of investments in Russia and we use a lot of gas and petrol they are producing. It is than difficult to take measures against a country with who we are linked.