Chapter 8.9 Flashcards
1
Q
What are the benefits of globalisation on economics?
A
- Driving force for economic growth
- Free trade with other countries creates new markets
- Selling more products increases company profits, and this means companies can afford to hire more workers.
2
Q
What are the downsides of globalisation on economics?
A
- Unfair working conditions
- MNC’s may shift their production factories to poorer countries where they can hire labour more cheaply
- The profits of MNC’s provide little to no positive effects on the local communities.
