He states that its impact is so huge that the world will seem as only one country. .
In "The Golden Straitjacket-, Friedman defines globalization as wearing a Golden Straitjacket. If we want it to be clearer, we can say that the political-economical garment of being in globalization era. It means the rules and restrictions that you follow to be a part of globalization in terms of economics and politics. In his article, Friedman says that every country must either adopt or seen to be moving towards the golden rules like making the private sector the prime engine of its economic growth, maintaining a low rate of inflation and price stability, decreasing tariffs on imported goods, quitting monopolies and quotas, opening its banking and telecommunications system to private ownership and the customer may choose whatever they want, etc. He says that when you follow these golden rules, your Golden Straitjacket will fit you correctly. .
First of all, globalization is happening because of some reasons like free market capitalism in today's global economy, to want to have high standards, to have a competition with other countries and knowing that you can not live behind high walls, states Friedman in his essay. He states that no other system can distribute income as efficiently as free-market can do. To be a part of free-market, your economy must be open to foreign investors, to have your economy open to foreign investors, you must demolish the walls that you hide behind, when you do so you are in the global economy and open to all investors. Knowing that, Governments that deviate too far from the golden rules of globalization, will face the loss of their foreign investors, interest rates will rise and stock markets will fall, says Friedman. As a result of these, they want to be in globalization and do what they need to be in it. This is why they are making improvements in Golden Straitjacket to enlarge it and they know that only way to enlarge it is to keep it tight, says Friedman.
