According toShangquan (2000),

Globalization has seen the market become revolutionized. For instance, the value of trade increased to 62.1% in 2007 from 42.1% in 1980 in regard to the GDP (Stiglitz, 2003).Also, investment rate has increased because of ever-increasing globalization. Technology has elevated globalization in such a way that it’s easier to communicate across the world by the use of phones. Similarly, globalization has seen many nations get a lot of foreign workers who come to share unique skills with the nationals, thus increasing productivity. Due to globalization, the foreign market has been able to have healthy competition, something that promotes customer access to quality goods and services. The implications of globalization aren’t just limited to trade, but have gone much far into other sectors, which have seen the economy grow. In the world of health, for example, technology has led to innovations in much better treatment strategies that have seen individuals recover quickly(Stiglitz, 2003). With such in place, technology has helped countries save some cash to uplift their economic status.

The most negative impact of globalization is that it has increased the gap between the poor and the rich(Shangquan 2000). That has led to the marginalization of some parts of the society. Developed countries have benefited much from globalization because of their better positions to trade. That is because there has been an increase in international trade between them and the developing nations and amongst themselves. The multinational companies have gone into the developing countries for investment purposes.In the long run, they have gained more than the poor nations. With such, the rich countries have had an opportunity to dictate and control international trade by influencing the flow of goods and services, technology, and monetary factors among others.

In summary, globalization has brought both positive and negative implications to our economy.

References

Shangquan, G. (2000). Economic globalization: trends, risks, and risk prevention. Economic & Social Affairs, CDP Background Paper, (1).

Stiglitz, J. (2003).Globalization and Its Discontents.New York: W.W. Norton & Company.