Globalization and its Principal Outcomes Essay

globalization mainly concentrates on address and commerce between nations and creates a world(prenominal) commercialize, in which goods and services easily flow from one nation to an early(a), without any barrier. both the countries would equally parcel the production resources and allow the publish movement of resources between them, in the globose community. The African countries collapse always been exporting raw materials like minerals and rude produce, which argon utilized in the production sector of the Western markets.They do not begin any significant production facilities hence they have to borrow, in rank to import manufactured goods. The Western markets employ guile tariffs and other such economic stratagems to drastically reduce the price of these imports from these African nations, while increasing the cost of the exports to these countries. The result is that the African nations suffer from a balance of payments problem (Mutethia, 2000). Globalization has bo th advantages and disadvantages. Some of its advantages are compound productivity, low interest rates and a low rate of global inflation.It not only provides a high level of harborion to economies, notwithstanding it also promotes inequality of income. This has been evident in the developments around the world. There is increase disparity in income and an imposition of protectionist approaches in the demonstrable nations. Globalization eliminates depicted object borders and permits the escaped flow of services and goods from one nation to another. It provides greater opportunities to exploitation nations to widen their market area and enter the global market. However, this type of distribute trade is unsuited to low nations (Tompkins & Harmelink, 2004.P. 34). Liberalisation is the main component of globalization, and constitutes its scratch line and foremost condition. Advocates of globalization argue that the put ups role moldiness be limited to security and defence. In all other aspects, the state must play a subordinate role. As such, many of the evolution nations have autocratic rule, and there is abuse of advocate and office by government officials. Moreover, these countries do not adopt proper economic management. All these factors contribute to their underdevelopment.Therefore, countries with these characteristics cannot meet the challenges posed by globalization. Thus, liberalisation, in all aspects, is the prerequisite for the success of globalization. However, rapid liberalisation would only cause harm kind of than benefit (Africa News, February 18, 2007). According to Stiglitz globalization is a process that is unsuitable for scant(p) nations. It does not promote the stability of the global economy. He also added that the get-go to fall prey to globalization would be the developing economies.The poor in these nations would become poorer, and the disparity in power across the globe would be perpetuated. The principal financial instit utions that let this process are the IMF and the World Bank. These institutions, characteristically lack transparency in their dealings and they are controlled by the developed world (Ehrlich & Ehrlich, 2004. P. 327). The less developed countries experienced a reduction in the restrictions placed on the financial and trade markets in the beginning of the 1980s. These changes served to engender greater political freedom in these countries.This extraordinary process of globalization can be assumed to improve the democratic systems of governance (Rudra, Oct, 2005). develop countries suffer from the unequal power distribution brought about by globalization. At present the world is experiencing a number of adverse effects receivable to globalization. These effects are not limited to the developing and poor nations and they are also being experienced by most of the developed nations. That is the power of globalization (Kaur, October 12, 2007 Pg. 25 ). At present, these nations are exp eriencing the adverse effects of globalization. downstairs the globalization policy, there should not be any restrictions on free trade. However, in practice this policy is not followed by many nations. For instance, African agricultural produce is subjected to severe restrictions in the western markets. The latter trim down heavy tariffs on the African produce in order to protect their own industries within their nations. These are protectionist pressures, created by globalization. Therefore, globalization has failed to ensure the free movement of goods and fair competition (Africa News, February 18, 2007).A significant number of mint continue to argue that globalization ushers in cast out outcomes for the world. Its effect has been to drive home the rich richer and the poor poorer. It is the claim of economists that globalization brings about more benefits for all. However, the poor are neglected in this process, as they could not get a fair share of the profits generated by g lobalization. It is important to note that fond security and other governmental policies could be instrumental in reversing the negative outcomes of globalization, and eliminate inequality and poverty in the developing nations.Some of the other tools that promote a fairer system of cooperation are fair trade and bare laws (Sen, April 27, 2007, Pg. 14). The chief objective of globalization is to implement a world order that benefits the capitalists. It is naive to assume that globalization is nothing more than an increase in worldwide mutual interlinking, brought about by technological change and market forces. A number of countries of the world have been afflicted with financial crises, which have served to highlight the ills of globalization.List of References Africa News.(February 18, 2007). Rwanda Is Globalisation Another Form of Imperialism? The New generation . Ehrlich, P. R. , & Ehrlich, A. H. (2004. P. 327). One with Nineveh. Island Press. Kaur, H. (October 12, 2007 Pg. 2 5 ). The rich, too, begin to feel globalisation pinch. New passing play Times (Malaysia) . Mutethia, J. (2000, August 15). Africa and Globalization. Retrieved October 21, 2008, from Global Policy Forum http//www. globalpolicy. org/socecon/develop/africa/glob. htm Rudra, N. (Oct, 2005). Globalization and the Strengthening of Democracy in the Developing