Economic Globalization

Research Paper- Final Draft Economic world-wideization can be defined as the process of increasing sparing integrating between two countries, leading to the emergence of a global market ass or a single world market. ( Rakesh 514) It reflects the keep expansion and mixing of market frontiers, and is an irreversible trend for the economic development of the world. Companies use globalisation to place factories for their crossings or factories to make up materials needed to complete the finished product, in underdeveloped or poverty stricken countries in order to make a cheaper final exam product. Though the negative effects of economic globalization are easily seen from the lower and middle classes of America, the positive effects of this process greatly outweigh the negative. Economic globalization greatly improves the living quality of underdeveloped countries by having parent companies place factories on their land. These countries have a comparative advantage, or the capacity to produce goods at a lower price than another(prenominal) country, and so there is more money to be played out on hiring more workers and paying higher wages. This, in turn, greatly improves the living standard of this country and gives great boosts to its economy.

Global rival and cheap imports keep a lid on prices, so inflation is less likely to disrupt economic growth. (Bernstein 1) By placing these factories in the poverty stricken countries, the cost of making the final product goes down, making the production cost cheaper on the manufacturers and the sell price low for consumers. Another factor allowing cheaper final product costs is that people and goods are transported with more easiness and speed. With factories existence in places all over the world, it allows manufacturers to have more outlets in which to import and export products from, so that production equipment and final products are closer to the customer. Cheaper and quicker shipping allows for lower final costs of products for... If you want to get a full essay, order it on our website: Ordercustompaper.com

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