Effects of globalization on economic developmentGlobalization is ideal for economic growth through cooperation between countries with superior economic strength and those whose economies are still developing.
It can be viewed as a way through which developing countries can do better economically. Telecommunication and widespread use of the internet have contributed immensely to globalization. Barriers are broken to ensure there is proper movement of technology, capital and goods. Some of the positive effects are positive competition, increased markets, improved distribution of wealth, technological advancement. However, it also has disadvantages such as inequality, dominance by some countries and interdependence. There are both positive and negative impacts of globalization on economic growth Globalization has led to availability of a larger market due to easy movement of goods and services between different regions through importation and exportation of goods. It has also enhanced distribution of wealth through payment of taxes and creation of jobs.
Innovation and advancement in technology have increased the quantity and the quality of goods produced. Positive competition has increased the quality of goods and services march up to the expectations of their clients.One of the negative impact of globalization is there is a possibility that a country with a superior economy can take advantage of the poor countries to enrich themselves. Also interdependence where a country relies on another heavily, if support is withdrawn one side would suffer. Inequality where the different countries are at different levels economically maybe not ensure equal benefits.
Globalization has its advantages as well as its disadvantages. It has however been well received by various countries and policy makers since the positives outweigh the negatives. The presence of a global market makes globalization easy to achieve.