Globalization Essay, Research Paper

The spread of globalization is a fast growing trend that allows money, products, and labor to flow freely across national borders. It provides a link between nations, intertwining a greater variety of cultures into a person s life. Although the increase of globalization could be perceived as a beneficial social change, there are long-term consequences that may affect our whole society. These long-term global changes widen the income gap between rich and poor, diminish equality between occupations and promote a monoculture society. The globalization of production, marketing, and distribution is going to have a negative effect on the United States economy in the near future.

If economic globalization keeps increasing over the next dozen years, unemployment will become unreasonably high and the eminent paying jobs will be reserved for the educated. industrial nations like America provide financing, expertise, and creativity in arranging high value products and services problem is that such occupations now account for only about 20% of the labor force (Harper, pg.47) If routine labor can be done cheaper in other nations, companies will change locations and take their jobs with them. world has become the object of powerful countries and corporations concerned to improve their competitive advantage by capturing the world s resources. (McMichael, pg.xxviii) As companies take their business over seas, Americans will have to spend their money on imports, resulting in less income for people employed in the U.S. Similarly the number of jobs in the U.S. will decrease as companies relocate to find cheaper labor. If imports are greater than exports the U.S. National Savings will fall, leading to a U.S. trade deficit. Global trade and global movement of capital affect domestic and international debt, which eventually affects interest rates domestically as capital bounces between markets.

Beyond the spread of globalization, we must think about the rising global inequalities that follow. Once our household has emerged into the global market, we have to realize that many decisions affecting our lives are made without our knowledge or consent. The global market subjects the power of decision to powerful organizations such as the government, large firms and other market agencies. (Harper) Since all products, labor, services and markets are becoming intertwined between countries, how will we determine a fair price for the good consumed and who s currency do we base it on? There is not a constant fixed price that would be fair for everyone in the whole world due to different values of currency. how the Ladakhi people, whose economy is not governed by money In one day a tourist would spend the same amount that a Ladakhi family might in a year. (McMichael, pg.xxix) The global movement that allows capital to move openly between countries not only impacts domestic economies, but also directly puts pressure on domestic currency, affecting the value of a specific currency compared to another. If we lose our economic freedom, what s next?

At one point in time a person s occupation was an indicator for where they stood in society, and the lifestyle they lived. ( Harper, pg.34) Currently the term occupation has a much broader use and generally pinpoints a job choice. For example, during the years 1997-98, a teacher in Connecticut made $51,727 a year, while a teacher in South Dakota only made $27,839 a year. (www.aft.org/research/survey/table-1.html) Their occupation is the same, yet their income is dramatically different. If salaries are higher for a specific occupation in one state, they will eventually see a population increase, therefore decreasing the need for that specific occupation and driving wages down. With the expansion of globalization throughout the work force, and the U.S. dual economy, the gap between rich and poor is getting bigger. In the next dozen years people will not be able to rely on finding a job, (that can support their lifestyle) without having a higher education degree. Those who find a good job will be considered a minority in society. Although globalization is bringing different ethnicities into different occupations, re-searchers have still found that generally older people and white males are concentrated in the primary sector of the job markets. (Harper, pg.36)

Globalization is a fast spreading trend that has recently emerged into society with the enhanced technology and communication, the increase of productivity and the expansion of international markets. Economic globalization does provide immediate advantages but in the long run, the U.S. economy will be negatively affected.