14.+Impact+of+globalisation

14. Impact of globalization

The impact of globalisation in the area of economic growth and development has both positive and negative aspects between both developed and developing economies.

Within differing economies it is evident that globalisation facilitates high rates of economic growth as countries that have taken on international trade, foreign investment and transnational corporations are the ' winner countries'. For example The impacts of economic growth and development ( well-being ) has There was the rise of China due to globalisation - speed of china's economic development - trade and export orientated manufacturing - role of China has strengthed other economies deepening trade and financial flows around the world.
 * __Positive Impacts of Globalisation:__**
 * developing economies have greater acess to opportunities in producing their goods as well as new technologies and foreign investment
 * high- income economies due to transnational corporations find growth opportunities in shifing to global production process
 * accleration in world economic growth as GWP- 3.5% during 2000's and despite economic recession growth is stil stonger evident in countries like China and India, bothing gaining benefits
 * convergence in living standards as developing economies are catching up to high- income economies as well as transition and newly- industrialised
 * developing asia- fastest growing region in the world 7.5%
 * middle east - fast growth 4.9%
 * african region - increase in 3.8% over past two decades
 * western hemisphere - stronger performances recorded at 3.1%
 * transition economies - ( commonwealth independent states grew 6% during the 2000's
 * newly - industrialised Asian economies - 4.8% after past two decades
 * high- income economies grew by 2.2% on average
 * raised income levels
 * more resources for education and health care
 * programs to clean up natural environment

__**Negative Impacts of Globalization:**__
 * Globalisation can attribute towards income inequality and also damaging towards the natural environment. This occurs because of the pressure developing economies can feel to be 'up to standard' therefore causing dumping of wastes and also to decrease wage levels to increase country profit from taxes.
 * Due to extreme rapidly growing economies such as China and India, economies in the close region such as South Korea, Japan, Malaysia, etc are disadvantaged because of the power and cheaper labour both of these countries offer. Therefore shunning the growth and ability of other countries.
 * Globalisation has also lead to indebtedness in developing countries trying to take advantage of the opportunities that globalisation can offer. This happens in mainly African economies where the incentive to become a bigger economy may be too high.

> > By: Monique and Daniel =)
 * Lastly it is clear that certain features of globalisation can facilitate economic growth, however it is also once again evident that unless a proper policy implied from the government these features will either destabilise or constrain economic growth.

**__Differing View on Globalization. (Right spot to place info?)__** This view supports globalization due to the fact that it allows countries and their economies to become entwined with other economies, this allows for new trade routes which in turn will allow their economies to prosper. However there is a negative side to this action, economies become too entwined that they rely too heavily on one another for certain goods and services. Through the example of the American Chinese government and the recent financial crisis this shows how one economy can loose so much due to becoming heavily dependant on a particular product or asset that another economy may attain. This view portrays that through globalization countries, individuals and economies can be winners and losers. This means that through globalization countries can greatly benefit or loose big. An example of this view is where globalization has allowed for better transport which allows individuals to travel overseas, this new transport opens up an avenue where a countries skilled workers may want to migrate due to better pay and living conditions. In this sense the country gaining these workers is benefiting or “winning” and the country that is suffering the brain drain is essentially the looser. This view portrays a moral concern about the effect that globalization creates on developing countries and how developed countries take advantage of this. This can be seen through the example that affluent countries have been using their power to shape the rules of the world economy according to their own interests and have deprived the poorest populations of a fair share of global economic growth. This ultimately is a moral concern due to the fact that developed countries are technically stealing from the poor Ben and David
 * __ Economist Views __**
 * __ World Trade Organization View __**
 * __ Moral View. __**