Globalization Serves the World's Poor.
Doug Bandow responds to protestors in Quebec who were against the Summit of Americas free-trade agreement. He claims that, although it may be painful, the only way Third-World citizens are going to achieve a better quality of life is through globalization. .
The process of moving into the Industrial and Information age was difficult for Western civilization. It is going to be more difficult for Third-World countries, for they are trying to do it in a shorter time span. When I say that globalization can be painful, I mean that many industries and trades must be left behind in order for the national economy to progress. It is absolutely necessary that these countries do develop, as they are being further cut off from free-market trading from the First-World countries, who are continuing rapid development. .
History has shown that globalization has been good for the developing countries. During the 80's, as globalization accelerated, the poor nations grew annually at 3.6 percent, more than twice the rate of the rich countries. The Cato Institute did a study, and found that a nation's economic liberty strongly correlates with economic growth. This means that the poor nations need to be open to free trade, through many market reforms. Only through globalization can they do this. We need to pull them into the international marketplace. .
We need to build moral restraints and social institutions to make sure the developing countries are not left behind and excluded. .