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GLOBALIZATION
The
process of global economic integrations are,
1.
rapid growth in international trade,out pacing overall economic growth;
2.
even more rapid growth in foreign direct investment and rise
of multinational corporations;
3.
the emergence of vast sums of “hot money “, seeking short-term
profit unregulated global financial markets ;this mobility of huge volumes of
short-term capital can
bedestablizing to national and international economies.
4.
This capital mobility also constrains government from pursuing fiscal or
monetary policies aimed at full employment and higher wages for their citizens.
Historical
process followed these stages;
1.Picking and hunting;as
soon as we know,man kind’s social life indicate that he was picking and
hunting ocial animal this period was the largest in the history of mankind.
2.Invention of agriculture
;after the years, by the populations increase cause the inventing of
aagriculture.
3.Agrarian
subsistance economy;agriculture was sorely for the family
4.Surplus economy and
trade ;the producing more than necessary cause the exchanging surplus goods.
5.Industrialation and
Spread of trade;with the industrial revolution trade had spread faster.
6.Explosion of
global competition;international competion is likely to further intensify in
this new century.
Trade is
the exchange of goods or any other exchangeables between portres.
The level of tecnology limits the desire of
human before christmas human wants to fly but couldn’t ,now
it is can, in the ages human would like tarevel of speed of light but it
is not possible with the present
level of tecnology.
The explosion of global competion and the
spread of trade,which are alternatively termed as “global integration” are
basically due to the level of tecnology human being attained today.
Globalization has become a citizen of world
since the early 1970s.The and of the Cold war .this process increased global
economic competion .in the competion ,there are,the US, Europe and Japan
according to Aho and Stoles from an american perspective ,they explain that ;
“At the beginnig , American was predominant
economic power,but now share the spotlight with Tokyo,Born,Frankurt and London
.Europen and Japanes economic and political concerns now place real limits on US
action ”
in addition to the changing
balance of power.theglobal economic competion has also been marked by lack of
uniform and “fair” rules among the competion.Because of this GATT or MAI
must be viewed in the context of “levelling the field ” between competitors.
Ýn order to put the phenomenon of globalization in to proper
perspective.
Globalization also erpodes
the exclusive authority and power of nation states,which thus for have
been the major actors in the international arena.
The twentieth century witnessed a surge in the number and trade
volume of the economic entities,which operate in many nation-state.
Globalization cause the inreasing of wealth
gap between countriesand the classes with
in counties.This gap was not
favurable for disadvantes countires and classes .
As for the gap of weaklth between in the globalization times,the new
internationalist magazine pays attention to inequality facts concisely and
convincisely.
And finaly for work;the countries of the
sounth now account for 80 per cent of the world’s working class its industrial
workforce.
In the
north more people now work in service industries then factoriers,though in the
world as a whole more people still
work in agriculture than in any other single category.
Globalization
also coinsides with a changing pattern of organizational stuctures an work
places.The change began since world war II .
We again see that the change in the
organizational structure is an outcome of many factors with the advancing in the
information tecnology being the first foremost.
As the could be inferred from the arguments
above,changes in organazional structures and workpace and work designs lead the
downsizing of the organizational
workforce ,less full time employment ,loss of employment oppurtinities for
unskilled or low-skilled labor and more fierce competition among the skilled
subconstractors to the which shamrock organization’s businesses are outsourced
in piece –meal fashion.
CHANGING
MIGRATION PATTERNS AND LABOR
MOBILITY
Globalization
effects the flow of people from regions to regions,from countries to
countries in look for of works and better lives.
Pellerin
argues that” migration flows have been transformed in two waysby
globalization. first ,The flows are much more greater than before.second,ýt has
led to modifications in the
character of migration flows.
Also,Castles
et al made similar observation when studyingimmigration to australia.
“Australian model” is very much good example for migration pattern.
We must mention about exploitation
here.Curbing exploitation of people by other people does not require a curbing of global trade activities.
One frequent suggestion is that the underdeveloped countries and the
working class all over the world tend to be losers whereas developed countries.
ISSUE
OF MULTINATIONAL CORPORATIONS (MNCs)
MNCs,as
the most seeanable parts of globalization,are the manner of contoversy.critics
define them as bad ,whereas proponents suggest them as creature in the humory as
a whole .More of them true, the true is ,they are went to take a profit,that’s
all.
MNCs are networks of firms
linked together by ties of ownership and control and operating in multiple
countries.
-MNCs
are created through Foreign Direct Investment (FDA).
-there
are now about 40 thousand multinational firms, owning and operating 250 thousand
foreign affilaties .
-the
top 200 MNCs , over %28
of global economic activity.
-
The combined sales of the
top 200 are bigger than the combined economies of all but the richest 9
countries
-
One third of world trade now takes the form o intra firm transfers and
transactions between branches of a single MNC.
-
By 1989,international productionwas twice as large as international
trade.
-
In 1989 ,international production by US-based firms was four times as
great as these firms exports from USA.
MNCs have important
organizational advantages which domestic firms can’t match became very
important part of the global economy in the last few decades because of these
properties written below;
-Economies
of scale allow MNCs to produce technologically products at the lowest possible
cost.
-MNCs
can maximize the firm’s access tý
less expensive and/or more productive capital, resources, and labor located in a
variety of countries.
-MNCs
have access to transnational marketing networks , which enable them to
distribute their products in avariety of countries.
-Most
importantly ,MNCs can integrate these advantages in order to toý;
_develop the latest technologies ;
_use them to innovate new products or production processes;
_and coordinate production and marketing on a multinational scale.
Issue busýness ethics in the international
arena must be viewed in the context of regulting the international business
practies.It is on necessary part of the “levelling field”for competition.The
recent trend in business understanding of what is right or or wrong in the
business practices.ethics is defined as doing the right thing right the first
time ,
Fundemantel values that cross culture are;
-
Respect for core human values ,which determine the absolute moral
threshold business activities,
-
Respect for local traditions,
-
The belief that context matters when decidinh what is right and what is
wrong.
Rothstein and Scott explains their points as follows.
“
Although NAFTA’s adherents claimed the aggrement would crate new jobs,growing
imports from mexico and canada have cost the U.S more jobs than exports have
generated.while increased exorts to Mexicocreated 158.171 jobs,this growth was
more than offst by the 385,834 jobs displaced by an increase in imports from
Mexico.”
Even workers who found new jobs in the growing US economy faced a
reduction in wages,with average %16.
Feenstra and Honson observe that since 1970s,the wage of less skilled US
worker have fallen dramatically,both in real terms and relative to the wages of
more skilled US workers.
If
the US consumer market had not been flooded with Japanesee consumer electronics,
on ordinary american would still be paying for a 20”television set the amount
of money” that he pays now a home theater,that is a combination of a tv set,a
cvr and a stereo.
Globalizations
seems to be the cause of economic man’s desire for making most for himself and
his business .National trend can not be prevent.It doesn’t matter we won’t globalization
or advocate .It exists and is coming on .
The
world is now going trough the second”globalization” that is from a world
based on the collectivity and of nation sales and national economies to on
integrated global economy with uniform rules and regulations.
This
process doesn not offer equal bene fit to all.It is outcome ofmultitude of
factors leading to the charges concerned.
The
developing countries must adjust
themselves to the growing international trends and prepare for on even more
competitive world with all their resources, with human resources in the main .
Robinson
advices three things;
-
It should reduce the legal restrictions democratic goverments associated
with the investor , intellectuel propert ,and technical standart provisions,
-
Neutralize the social dumping presures associated whit high levels of
capital mobility that will exist in any global market economy
-
Created new mechanism for redistrubuting a substandial portion of the
economic gains from globalization to those indivisiuals and nation most in need.
The benefits of globalizations are ,
1. Globalization give a opportunity to make money to undeveloped and developing country by help of investor developed country. The developed country’firm go to invest in the poor area and area slowly start to develop.
2.By globalization ,sharing information easyly can do. Ýf someone give a new method , everybody can learn it quickly.
3. Everything,science,knowledge,education,justice,peace, can be globalisezed,it is good .
The harmful side of globalization
are,
1. If investor firm’point is benefits of itself, firm does not help poor area, only it makes money.
2. By globalization, the border of countries became erect, and nationalist country ideas disapearred.
3. Ýf someone is rich, he enpower; if someone is poor, he continue to be poor.
4. Globalization can not be seen every area, this not good for undeveloped country.
My idea about globalization; I am against to globalization , If it is partly used. But globalization is used completely in every area justice ,peace ,education beside of terrorism,unemployment,science. Under the condition of this ready world , I do not want to be globalised.