Who Does It
Really Help?
Proponents of globalization rave
that new economic developments have brought progress and prosperity to
developing countries all around the world. Along with their business,
transnational corporations bring in new technology and more jobs. It is
argued that national economies are becoming more productive, that more
competition leads
to
more innovation, and that economic development leads to democratic
governments.
| Statistics from http://www.nlcnet.org/resources/wages.htm |
But is this really the case? While everyone may be benefiting from globalization, it is at very different levels; developed countries benefit much more than developing countries from current economic policies. The North imposes protective tariffs while forcing the South to lower tariffs and developing countries have trouble retaining the skilled laborers that they have. Furthermore, there is a wide disparity between average wages in developed and developing countries. Transnational corporations have been able to exploit this situation by moving their factories to developing countries.
Links for Further Exploration
World Bank Global Development Data and Statistics
Poverty and the Global Economy
Transnational Corporation Activity
Created by Jessica L. Ho
Last Updated 7 December 2006