As you would expect Scholte touches on the many aspects of this complex subject, including the growth of capitlism, the uneven spread of liberal democracy, not to mention wealth. He examines why capitalism has proved to be more resiliant than either communism or socialism.

Over all this is a lucid analysis of all things related to the concept of Globalization, and also why it has affected different parts of the world at different depths, or speeds.

            With the fall of Communism, the transition from Communist based economic systems to market based economics was supposed to bring new prosperity to the world. It didn’t. In fact, for most of the twentieth century, the major geo-political goal of America was to defeat communism. Yet, when the goal was finally achieved, this new world prosperity didn’t happen. Instead, the world developed into competing capitalistic models.

            On the one hand is the free-market ideology sometimes called “market fundamentalism” where the belief that markets by themselves lead to economic efficiency and should remain unfettered. “Market fundamentalism” ideology points to Adam Smith’s “invisible hand” – the notion that markets and the pursuit of self-interest leads, as if by an invisible hand, to economic efficiency and even if capitalism misallocates income, that issues of efficiency and equity should be separated. Market fundamentalists view economics as a matter of efficiency and state issues of equity should be left to politics. On the other end of the continuum are the managed market economies such as that adopted by China. In between the ends of this economic continuum are other forms of effective market economies such as Sweden  where robust growth, health-care, and education have been achieved. All are ranked higher than in the United States.

            The world now recognizes that with the financial scandals of the nineties in the United States, and the pursuit of self-interest by multi-national CEO’s, accountants, and investment banks, a financial bubble and the great recession with a massive misallocation of investment resulted and not the economic efficiency that was guaranteed since World War II. The financial crisis and the “Great Recession” have resulted in the rejection of “Finance and Capitalism American Style” [i] and the realization that without appropriate government regulation and intervention, markets do not lead to economic efficiency. Among the central choices of the world’s market economies is the role that government must play. The question is not that “government is the problem and not the solution” as Reagan famously said; but instead, what services should the government provide. The fact is – “market fundamentalism” has been discredited and that there is not just one “right” way to run a market economy and that Sweden’s and other models of capitalism present alternate forms of effective market economies.

            The world has always had to deal with problems with capitalism. Problems with capitalism such as the mis-allocation of wealth and the misalignment of social needs with the needs of capitalism are much more visible now because the ideological battles between Communism and Capitalism no longer exist.   Meanwhile globalization has resulted. Economic globalization has resulted in closer economic integration of the countries of the world through the increased flow of goods and services, capital, and labor, and has resulted in the adoption of capitalism by the world. Capitalism in the form of market economies are now the only game in the world, but capitalism’s problems such as the inability to equitably allocate wealth, the misalignment with societies needs, and the consequences of imperfect and limited information, [ii]  – problems capitalism has always had – along with imperfect regulation has resulted in a rebalancing of economic power in the world and as a by -product, the loss of economic power by the United States and an increase in economic power by the so-called BRIC [iii]  countries and the Pacific Rim.

            Even in the most successful years of the West, during the Industrial Revolution or the economic boom in the United States that followed World War II, GDP growth seldom exceeded three percent. In comparison, China’s average GDP growth over the past thirty years has been over nine percent – three times the growth rate of the best rate of growth in the United States. 

            The major economic issue for the United States in the Twenty-First Century is how to maintain its economic power – and ultimately it’s military power – in a global economy. In other words – how will the United States deal with globalization? The United States now finds itself in the same position Britain was in at the end of the Nineteenth Century. History is repeating itself.

[i]  A term used by Joseph E, Stiglitz. in “Making Globalization Work”, W.W. Norton & Company, New York, 2006. preface.

[ii]  See Joseph E. Stiglitz, “Globalization And It’s Discontents,” W.W. Norton & Company, New York, 2003.

[iii]  A term derived from the first letters of the names for the countries Brazil, Russia, India, and China.

There are various ways that English is important:

Tourism – If you can speak English, you can survive travelling all around the world.  It would also help the tourist to navigate the country if signs, instructions, and guidelines are also translated in English. It can boost the tourism in the country.

Business – English is the common language in the business world. A business man who does not speak English will have a hard time dealing an investment to another country. Example, a Filipino businessman dealing a business proposal to a Chinese businessman will not be able to understand each other’s proposal if they use their own mother tongue languages. But if they use their common language which is the English then they would be able to understand each other business proposals.

Technology – Most of the gadgets manuals are written in English. Airports and air traffic controls uses only English to command all international flights. Computer only recognizes English language, and so is banking and in science. Internet also uses the English language, although some are translated to ones countries language, most are still on an English medium. Not only can you get information from the internet, it also offers an online job, but if you do not have an English understanding, then it will not be very useful.

Jobs – It is a big advantage to any job applicant here in the Philippines if they can speak fluently in English. Most jobs now uses English as their medium of instructions, reports are also made in English. Filipinos who desires to work abroad needs to learn English so they can communicate well and understand their rights as an employee in that area where they are working.

English is important for us to learn as we approach to globalization.

American culture, maybe this is just where Americans will succeed.  If each country produces what they are best at making, maybe America will be the entertainment producers.  Many foreign countries however are very fearful of this taking over of American culture.  They are afraid it will stamp out their own and citizens will forget what it means to be a Canadian, or a French.  Not only are there economic concerns and cultural concerns, but many are worried that American pop Culture does not display the values of that country.  For example, Americans are very individualistic and competitive, in certain Asian countries more emphasis is placed on the whole.  These conflicting views can create revolutions and riots among the young.  Which society is right is still to be determined (Levitt, 2012)    

            Another cultural aspect that is being globalized is beauty.  Before this huge trend of globalization each country had its own standard of beauty based on the norms of that culture.  For example, in china oval faces were considered beautiful, other countries healthy weights are seen as beautiful.  However the western, or American, view of beauty is spreading throughout the world.  Pop Culture is a vessel for beauty standards to be conveyed. Starting with Marilyn Monroe and Barbie, and continuing into today’s actresses and cosmetic ads.  The western ideals of tall, shapely, and blonde standard of beauty started to spread, and is extremely prevalent today.  World beauty pageants started in the 1950’s to also spread the western ideals of beauty. A dark skinned competitor did not win until 1966 in the Miss World competition; and in Miss Universe not until 1974.  Many women in Asia are now trying to conform to these beauty standards.  Even in our own country there are debates as to how the media is affecting our youth on beauty standards.  Many in our own country believe these media standards are unhealthy, yet we are spreading them to other countries (Jones, 1980). 

that says that all factories must have a certain amount of filters and scrubbers, this means that the company has to spend money to put those filters and scrubbers in place.  That may not seem like a lot, but if you put too much regulation on the market it can be dangerous and even stifle the

profits of the company.  If the company is no longer going to make a profit, or a large profit, they might stop producing that good, which would cause the skyrocketing of the price of that product.  The demand would be stable but the supply would plummet.  However, those that want more environmental protection say that unregulated economic activity is going to destroy the environment and we need to stop.  The question is then what should we do about the environment?  Should we regulate the economy, or let technological advances, which come from free markets, come up with a solution to solve the economy?  At first there may be a lower profit and a small downturn of the economy, but proponents argue that things will pick up and then the environment will be safe as well (Levitt, 2012). Asia is especially susceptible to these regulations.  Economies have grown because they can export low cost goods to the west.  If they must comply to regulations on carbon emissions their goods might not be as cheap, therefore their economy would suffer.  However rising sea levels and poor farm land in lesser developed countries is destroying their economy.  If we started to put more emphasis on the environment lesser developed countries will flourish.  Finding a compromise between the two is the hardest part. 

            By 1000 BC desert regions in North Africa and Asia had begun to use camels to encourage trade.  Now societies in desert regions had a way to exchange goods and ideas.  This type of trade was called the caravan.  However there wasn’t very much trade to the west until about 300 BC.  There was also a combination of caravans and waterborne trade during this time.  Caravans would bring the goods from Mesopotamia and then in Greece they would transfer to boats.  Cities that could be in the middle of this transfer were very successful because they could trade in either fashion.  In 106 BC the first caravan from China to Persia without goods being handed off was made, which marks the opening of the famed Silk Road.  The ending of the Silk Road was Rome, since it was easier to trade by sea at that point and one of the first major trading controversies came about during this time.  China who had been trading silk to the rich in the Rome no longer thought that any of Rome’s goods were worth their silk so they would only accept gold.  In response emperor Tiberius banned him his society from wearing silk because it was draining the empire’s gold.  This is also the first time any sort of policy was made in regards to world trade, probably one of the first embargos as well.  The Silk Road was also the most sophisticated and profitable trading route in all of history.  This mass trading that the Silk Road brought with it also brought a huge spread in ideas and religion.  From China Indian merchants brought back Hinduism and Buddhism (Watson 2006).  

            Even the plundering Vikings recognized how important trade was.  They went deep into Russia during the 9th century AD, even though they usually stayed closer to the shores.  Rivers flowing North to South from the Baltic to the Black Sea made the cities along these rivers perfect for trade centers.  Even though Vikings weren’t known to settle, a tribe called the Rus created a settlement called Novgorod on the river Dnieper, which became known as the Great Waterway.  This small tribe is the start of what becomes Russia.  Again trade is an important factor in the success of a society (Watson, 2006).

            Around the twelfth and fourteenth centuries AD Europe had a period of prosperity.  Also during this time trade plays a central role in daily life.  There are now cities that depend entirely on trade.  Wool is one of the most traded items now as well as luxury items.  During the thirteenth century Venice is very prosperous because of the crusades.  Europe was so successful during this time because they traded more, and they developed banking.  However the plague during the 14th century sends Europe’s economy into a downward spiral.  As the economy starts to grow again England decides to try and speed up the process.  Since their roads are horrible they decide to try and connect some of their rivers to make trade easier. The first canal was completed in 1391.  All of the canals brought England to the top of the waterborne trading (Watson, 2006).  

            Railroads and steam boats also had a great affect on trade.  Nations could now send goods across the country, or upstream much easier and faster.  America especially profited from railroads with the transcontinental railroad.  Every year the railroad moved Fifty Million dollars worth of goods across the country (“Pbs” 2010).  Then with the invention of the car and planes goods now move at an unbelievable pace.  International trade has been around for a very long time, yet there are some economists that say we have entered a new type of globalization (Levitt, 2012).

            Since 1950 world trade has increased 20 times, far greater than any increase before it.  It took 113 years, starting in 1800, to increase world trade as much as it did from 1950-1980.  The other new aspect of globalization that exploded was investment.  In two years, 1997-1999, foreign investment doubled from 468 billion to 827 billion dollars.  This boom in foreign interest is said to be different by Thomas Friedman, a famous economist, says that this is a new and different wave of globalization because it is, “farther, faster, cheaper, and deeper.”  Two main factors have been the cause of the increase in globalization, new policies, and technology.  After the Second World War many governments have changed to free-market systems, which open them up to more trading.  Governments also lowered barriers that were keeping too much international trade at bay.  Corporations have also built foreign plants to take advantage of lower taxes or other incentives.  Technology has advanced rapidly and this translates economically as well.  Information technologies are one of the biggest new fields that have pushed globalization so far ahead than ever before.  Information and other financial opportunities are much more available to everyone which makes citizens of the world even more connected (Levitt, 2012). 

          Trade is one of the most important factors when looking at globalization, especially now that we are trading now more than ever.  In 2005 alone world trade increased twenty-seven times from 296 billion to eight trillion dollars.  International brings an array of choices for consumers to choose from as well as lower prices.  Since countries can specialize and do what they do best, consumers have more choices than if they could only buy domestic made products.  This increase in international trade has also cause economic growth in many different countries by creating jobs, raising incomes, reducing prices and gives more power to workers.  Many people would say that America’s number one trading partner is china, but it is actually Canada, followed by China, and then Mexico.  This is due to the trade agreement called NAFTA, or the North America Free Trade Agreement.  To see the importance of trade the Great Depression is a perfect example.  When economies fell Congress passed a Tariff on foreign goods by about 60 percent which made domestic products much cheaper.  Other countries followed suit and soon after world trade had declined greatly.  Economies suffered during this time of lowered trade, which actually extended the Great Depression.  To keep this from happening again the ITO, International Trade Organization, was formed after World War II.  The United States however was not ready to conform to all of the guidelines placed by the ITO, so it died out.  GATT, General Agreement on Tariffs and Trade, was started instead.  This was not a permanent organization that sovereign states had to join; rather it was guidelines that focused on tariffs and trade.  This worked much better than everyone only buying domestic, and economies started to grow because nations were trading again.  Then in 1950 when world trade was increasing again GDP grew and nations prospered (Levitt, 2012). 

Globalization is a special phenomenon in human civilization that moves on the global community and is part of the global human processes. The presence of information and communication technologies to accelerate the process of globalization accelerated. Globalization touches all the important aspects of life. Globalization creates new challenges and problems that must be answered, solved in an effort to harness globalization for the benefit of life. Globalization itself is a term that came about twenty years ago, and started so popular as a new ideology about five or ten years. As the term, globalization is so readily accepted or known to the public around the world. The discourse of globalization as a process characterized by the rapid development of science and technology so that it can fundamentally change the world. Globalization is often discussed by many people, ranging from economic experts, to ad sellers. The word globalization pengetian will contain a loss of one situation in which the various movements of goods and services between countries around the world can move freely and openly in the trade. And with the opening of one state against another, which makes not only the goods and services, but also technology, consumption patterns, education, cultural values ​​and others. The concept of globalization will by Robertson (1992), refers to the narrowing of the world as incentives and increase our awareness of the world, namely the increasing global connections and our understanding of the connection. Here the narrowing of the world can be understood in the context of the institutions of modernity and the intensification of reflexive consciousness of the world can be perceived better in culture. Globalization has many interpretations from various viewpoints. Some people interpret the world of globalization as a process of reduction or as appropriate to make the world a small village. Others say that globalization is the unification efforts of the international community lifestyle, orientation, and culture. Another notion of globalization as stated by Barker (2004) is that globalization is a global connection of economic, social, and political culture that increasingly point to different directions all over the world and came into our consciousness. Global production for local and global product localization Globalization is the process by which events, decisions and activities in parts of the world that one can carry important consequences for individuals and communities in other parts of the world. (AG Mc.Grew, 1992). The process of globalization was initially marked advances in information and communication technology. The field is a driving force of globalization. Of the progress of this field then affects other sectors of life, such as political, economic, social, cultural and others. A simple example with internet technology, satellite dish and TV, people in this hemisphere will be able to access any news from other parts of the world quickly. This will be an interaction between communities of the world at large, which will ultimately influence each other, especially in the areas of culture, such as the culture of mutual aid, visiting sick neighbors and others. Globalization also affects the youth in daily life, such as cultural dress, hairstyles and so on

Globalization: The process is fair?

Globalization is a word that probably most talked about during the last five years with the understanding of the diverse meanings. However, what is understood by the term globalization ultimately bring awareness to people, that all the inhabitants of this planet are interrelated and can not be separated away from each other despite the distance range that is physically stretched. The world is seen as a unity in which all human beings on this earth is connected to one another in a web of interests that very long. talks about globalization is a very broad topic that covers the fundamental aspects of human life from the cultural, political, economic and social development. The globalization of the economy may now be a frame of reference and also examples of the currently most clearly illustrates how a global policy can have an impact on many people at the local level, while the discourse of globalization in other respects may not be so easily observed clearly.

Examples that could be possible is the international trade, international monetary fund policy to permit operation of multi-national companies who showed that eye-effect chain will eventually end up on the local economic actors, both positive and negative. The design of economic globalization itself, for example, was initially considered a positive intention of raising the financial performance of countries that are considered economically underdeveloped cooperation with trade and industrial policy. However, the negative impact it is inevitable when global policy adjustments that can not be done at the local level. Win-win situation to be achieved turn into a lose-win situation inevitable for local economic actors. Phenomenal cases like that would not go over, the sale of oil palm plantations by the government recently, or other cases that barely covered extensively as the loss of millions of forest and plasma nuftah in West Papua, shows this clearly. Of course there are many others.

So, do not be surprised if later some feel that the issue of globalization blowing toward the negative, namely that globalization benefits only those who had already economically powerful and have the infrastructure to sustain its economic dominance, while the underdeveloped countries only feel the positive effects of globalization are artificial, but actually remained abandoned. Most of the others remain optimistic about the ultimate goal of globalization and believes that good men are equal on this earth will be realized sometime in the future with efforts to build unity as fellow-inhabitants of the world football.

It seems that, whatever the essence of the debate, which is in front of the eye is the passage of the globalization process in almost all areas without stopping.

Globalization enhances the economic interdependence among countries and organizations across countries. According to Thomas Friedman, author of the popular book, The World Is Flat, we are in the third stage of globalization, with the first involving internationalization of countries, the second involving companies moving into international markets, and the current and interpendence among countries, companies, and even individuals across country borders has reduced the influence that a national goverment can have on its economy.

In recent years, increasing globalization has dramatically changed the competitive landscape for everyone. For example, when coupled with new technology, especially in information systems, small firm now have, small firms now have access to markets and recources in other countries. This has allowed them to compete effectively with larger and often more esthabilised firms. 

Globalization Essay

“To be sure, the human condition will always produce rogues and despots but it is far better to seek allies and fend off evil than it is to retreat to a position of preservation by isolation.” The source we are to examine in this essay is bold enough to proclaim that globalization is negative. They say it leads to global warming, racism and corporate greed, and many more. What this person is ignorant of is that the number of social injustices on a global scale would increase dramatically without the influence of globalization. The following case studies and arguments will prove as to why globalization has overwhelming positive effects on developed and un-developed countries. However I am not so ignorant to completely ignore the points he has made though they will quickly be proven invalid.

The definition of economic globalization is the process of using interconnected economies in order to promote international competition, co-operation, as well as a functioning global economy. Many would argue that globalization began when the Silk Road was founded, a trade route connecting countries by need of profit. Globalization, when viewed in a historical perspective has helped countries to evade war and bring wealth to their people. Thomas Friedman described globalization in three stages, globalization 1.0, 2.0, 3.0. Friedman describes the first stage as being led by military powers who would dictate global direction; this stage existed during 1492-1800. The second stage lasted from the 1800’s to the year 2000, and now multi-national companies had become the focal point and driving force concerning globalization.  The third stage of globalization, which is the era we now live in, is according to Friedman driven by individuals.  It has allowed great discoveries in all different fields of sciences and mathematics. It has saved millions of lives due to the spread of medicines and knowledge. You now may be asking yourself, how could someone possibly deny the positive effects of this global phenomenon? The answer is as intricate as it is sensitive, though aware of the points they are making, the source is missing a key point in the process of globalization.

The main argument placed against globalization is that it degrades the environment. To an extent that is true, however the only way a permanent solution can be found to deal with worldwide pollution is of course globalization. With the entire world’s most prolific and intelligent environmental scientists working together (due to globalization) and not solely focusing on their own countries goals. We can conceive a global environmentally friendly plan in order to rid the world of the pollution epidemic, which was caused by people, and though globalization is a factor it is not the predominant one, though it will be in the solution. A great example of this would be environmental non-governmental organizations, working on a global scale in order to prevent the ruin of the environment. An example of one of these NGO’s is the Intergovernmental Panel on Climate Change (IPCC), this organizations work is primarily based on reviewing current sciences and technologies to provide the world with a clear understanding of climate change and work on its prevention.

A positive effect of globalization the source has overlooked is improvement in economy both in developed and un-developed countries. Outsourcing is a great example of this. When a company for example in North America outsources it’s work for lower wages, not only does it create jobs in developing countries, but it also increases this company’s profit margins, allowing them to create more jobs at home. Many would argue that the wages and working conditions provided for workers in developing countries are unfair, but consider this, the wages though low still pump currency into that countries economy, which increases stability, stability in their economy increases general wealth, general wealth leads to workers demanding higher salaries, the company pulls out of that country. That’s unfortunate all these poor souls have lost their jobs because of corporate greed, think again, because of the improvement in their countries’ economies there are many more jobs available, and this time for fair wages, and provide acceptable working conditions. This is driven by corporate greed, but the result cannot be argued to be negative. A case study for this would be in a plant of an electronic company in Ireland, for when they outsourced they were able to greatly increase their number of employees at home as well as the country they were outsourcing to; as a result this company were able to create more jobs at home as well as abroad.

A case study showing the improvement of economy in developing in countries is the story of Hortense Kouadio. Hortense manages a coffee kiosk; she opens for business each day at 6am where she serves coffee to locals and commuters. How she came to own this kiosk is a prime example of the positive effects of globalization. Hortense was given the kiosk by a coffee company in North America; they provide her with soluble coffee and milk, for they can accomplish this because they have a factory in this country, which can easily provide Hortense with everything necessary to run her coffee stand.  She keeps the profit of every item sold with the exception of two, she has never had to pay for the kiosk and prices are low, she and the company are making money, everybody’s happy. This is related to globalization because it involves a North American company funding and providing a small business in a developing country in order to turn a profit for all parties involved.

Globalization obviously results in economic growth, though the profits generated by globalization are in jeopardy, for a danger provided with international trade is currency fluctuations. The price of products can completely vary due to the value of currency in other countries. This would have been a global threat to economies; however global corporations invented the idea of international internal risk management, which is developed to deal with these exact problems that could be caused by globalization. Again it is shown that any problems created by globalization are in turn solved by it. To get specific the IRRM’s job is to monitor fluctuation of currency’s and international trading and try and find solutions to deal with arising problems in the global economy.

Another positive effect of globalization the source failed to mention is the international spread of education and knowledge. Globalization has been the main factor in establishing human rights in places they had never existed before, for example Egypt. Egypt was run by a corrupt government for a long period of time, then the internet is invented, people start to be aware of what is happening in other parts of the world. In this case Egyptian citizens became aware of what they don’t have and the freedoms they don’t possess, so around 2009-2010 the rioting began; a political rally was formed online on a social networking website (which is a prime example of globalization) that assembled hundreds and then thousands of Egyptians in one location to fight the government. After the fall of the oppressive Egyptian government word of this began to spread, and oppressed people all over the world began to rise up against their governments and all because of an idea of equality and just ruling shared internationally by means of globalization.

 In the future globalization has the potential of being universally exploited for positive effects, and as you can see the positive effects of globalization far outweigh the negative, though the source has provided some international problems with globalization, they will all be solved by globalization as it progresses. Globalization will unite the world into a single massive culture with multiple sub-cultures to preserve different religions and races. Why would be isolate ourselves during our greatest age of communication. “Globalization can be incredibly empowering and incredibly coercive. It can democratize opportunity and democratize panic. It makes the whales bigger and the minnows stronger. It leaves you behind faster and faster, and it catches up to you faster and faster. While it is homogenizing cultures it is also enabling people to share their unique individuality farther and wider.”  If handled properly I ensure you that the world will only experience the positive benefits of globalization, and this is inevitable.