3. Globalisation Flashcards
Globalisation
Process of increasing interaction and integration between people, companies, and governments around the world
Causes of globalisation
Technology: Technological advances, such as the rise of information and communication technologies
Trade: The increase in foreign trade and world markets has contributed to globalization
Transportation: The increased speed of transportation, such as the development of container ships and planes
Globalization in India
India was an exporter of primary goods and aw materials and a consumer of finished goods during British Rule
After independence, India decided to make things themselves rather than relying on others
Some advances were made in certain areas, critical sectors such as health, housing and primary education did not receive the attention they deserved. India had a fairly sluggish rate of economic growth
Erosion of state capacity
Political Consequence of globalisation
The ability of a government to perform its functions
Due to market-driven priorities, competition, norms, etc.
Positive effects of globalisation
Economic growth
Access to new cultures
Lower prices
Spread of technology and innovation
Lower prices due to globalisation
Globalization has increased global competition, which has driven prices down and created a larger variety of choices for consumers
Economic growth due to globalisation
Globalization has led to increased trade and investment, which has boosted economic growth and development
Negative effects of globalisation
Income inequality
Loss of culture
Environmental Degradation
Income inequality in globalisation
Globalization can lead to uneven wealth distribution, where the world’s richest countries continue to dominate world trade
Increase the wage gap between high-skilled and low-skilled workers
Outsourcing for cheap labour
Elephant Graph
Free trade
