Question

Question 1

Discuss globalization as a flat world. And, are there barriers to be addressed? Give examples, and cases.   

Answer 1

Globalisation enhances the developing countries to come forward to the global economy. Globalisation increases the living standard and social conditions of several groups of people. It creates tremendous changes in multi-national corporations and worsening the condition of working class. Many people loss their work in unorganised sector. Implementation of new technologies worsens the situation of working class. Machine comes forward instead of working labours. The globalisation made the rich richer and poor poorer. Globalisation focused to eliminate trade barriers among the countries. But after its implementation there are several trade barriers occurred in the economy. For example, 161 countries introduce VAT (value added tax) on imports. This discourages the level of imports. US does not have VAT. Most important problem occurred due to the globalisation is job loss. There is high rate of unemployment in developing countries. For example, there is trade deficit occurred in Japan. The pay cut demand from employers worsens the situation of employers and also the middle class workers. Large companies exploit the tax heavens. There is huge inequality occurred between developed and developing countries. From US reports 20 percent of population consume 86 percent of world resource. There are huge exploitation over workers occurred. There is an increase in human trafficking. There is also imbalance occurred between balance of trade.