Globalisation : Effects on the increase in unemployment and can a county and people be exploited,?.
The idea that every country on earth should be open and available to do business with the rest of the world is an article of faith, for free marketers and multinational corporations. It means, no more barriers to trade: It allows poor countries to exploit their comparative advantage. Be it cheaper labour, a warm climate or to sell their agricultural and labour intensive goods at competitive rates in foreign markets. Or so they say. But is it poor countries who benefit? Or is it multinational corporations who make use of their cheap labour? Therefore causing so many unnecessary problems.
There are so many issue's which can be looked at concerning the topic of globalisation, thus I will be looking at 2issue's which interest and are of concern me. The first being How New Zealand and its economy is being exploited by the rest of the world but in a way it can be beneficial and secondly how globalisation causes unemployment and restrictions in New Zealand but once again the other side of the coin also tells a story.
Globalisation has some positive effects: in particular, there is far greater interaction between peoples of different countries and cultures. It also expands knowledge and information of different areas such as trade, the economy and so many more aspects. Its aim is to also strength the country; take it and its people to new horizons and to give each country a competitive advantage. It will also supposedly benefit the New Zealand economy. But this is not always the case. For example the increase in corporate income has flowed outside the country: approximately a quarter of New Zealand's rather meagre real growth per capita since 1984 increased income to overseas investors. In other words, while the economy grew 16% per New Zealand resident from 1984 to 1998, only 12% of that growth benefited New Zealanders.