Impacts of globalisation and development

Question 1

Positive economic impacts of globalisation?

Answer 1

• inward investment by TNC’s helps countries by providing jobs and skills for local people
• brings wealth and foreign currency to local economies, which can be spent on education, healthcare and infrastructure

Question 2

Positive environmental impacts of globalisation?

Answer 2

• helps make people more aware of global issues such as deforestation and global warming
• increases awareness of events in far away parts of the world

Question 3

Negative economic impacts of globalisation?

Answer 3

• globalisation operates mostly in in the interests of rich countries, with the role of LIC’s in the world market being to supply HIC’s with cheap labour and raw materials
• no guarantees that wealth from inward investment will benefit local communities
• transnational companies may drive local companies out of business
• if it becomes cheaper to operate in another country, the TNC might relocate, which would result in great loss of jobs

Question 4

Negative environmental impacts of globalisation?

Answer 4

• absence of strict laws means TNC’s can pollute the environment or not have proper safety regulations or wages

Question 5

Negative cultural impacts of globalisation?

Answer 5

• viewed by many as a threat to cultural diversity, as it might drown out local economies, traditions and languages

Question 6

How has India’s international role changed?

Answer 6

• fifth largest economy in the world
• one of the BRIC countries
• member of the G-20, the group of 20 major and developing economies
• plays a role in climate change negotiations
• has a seat on the UN security council