Pros and Cons of Globalization

Pros And Cons Of Globalization Globalization is a new term that has found a significant place in the lives of the people. By globalization, we mean shedding down the walls of distrust and the barriers of suspicion in between countries, to make a bridge where ideas and beliefs can cross the borders. Though globalization today primarily covers the economical side, the impact is not limited to the economy only. It actually affects every aspect of life, like cultural, social, psychological and of course, political. While globalization is seen as a sign of a hopeful future by some, there are others who believe that it can cause tremendous disaster for the world economy. Read on to find the pros and cons of globalization.

Pros Of Globalization

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With globalization, there is a global market for companies to trade their products and a wider range of options for people, to choose from among the products of different nations.

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Developing countries benefit a lot from globalization, as there is a sound flow of

money and thus, a decrease in the currency difference.
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To meet the increasing demands that follow globalization, there is an increase in the production sector. This gives loads of options to the manufacturers as well.

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Competition keeps prices relatively low, and as a result, inflation is less likely to occur. The focus is diverted and segregated among all the nations. No country remains the single power head; instead there are compartmentalized power sectors. The decisions at higher levels are meant for the people at large.

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Communication among the countries is on the rise, which allows for better understanding and broader vision.

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As communication increases amongst two countries, there is interchange of cultures as well. We get to know more about the other's cultural preferences.

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As we feed to each other's financial needs, the ecological imbalance is also meted out. Governments of countries show concern about each other.

Cons Of Globalization

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Globalization is causing Europeans to lose their jobs as work is being outsourced to the Asian countries. The cost of labor in the Asian countries is low as compared to other countries.

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The high rate of profit for the companies, in Asia, has resulted in a pressure on the employed Europeans, who are always under the threat of the business being outsourced.

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Companies are as opening their counterparts in other countries. This results in transferring the quality of their product to other countries, thereby increasing the chances of depreciation in terms of quality.

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There are experts who believe that globalization is the cause for the invasion of communicable diseases and social degeneration in countries.

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The threat that the corporates would rule the world is on high, as there is a lot of money invested by them.

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It is often argued that poor countries are exploited by the richer countries where the work force is taken advantage of and low wages are implemented.