People around the world are more connected to each other than ever before. Information and money flow quicker than ever. Products produced in one part of a country are available to the rest of the world. It is much easier for people to travel, communicate and do business internationally. This whole phenomenon has been called globalization. Spurred on in the past by merchants, explorers, colonialists and internationalists, globalization has in more recent times been increasing rapidly due to improvements in communications, information and transport technology. It has also been encouraged by trade liberalization and financial market deregulation.

Globalization offers a higher standard of living for people in rich countries and is the only …show more content…

More importantly, the recent significant economic growth has raised incomes and reduced the number of people living in poverty. For example, rapid economic growth in Japan after World War II helped raise per capita income from $4,672 in 1960 (one third of the level in the United States) to $21,158 in 1990 (higher than many Western European countries and close to that of the United States).
( Bureau of Labor Statistics, Foreign Labor Statistics. On the web at www.stats.bls.gov/flshome.html)
Basically, globalization enabled the Japanese to go from rags to riches in a generation!
Similarly, average manufacturing wages in developing countries have increased from 10 percent of the U.S. level in 1960 to nearly 30 percent of the U.S. level in 1992, showing that average workers in developing countries are benefitting directly from economic growth and development. ( Gary Burtless, Globaphobia: Confronting Fears About Open Trade, Brookings Institution, Progressive Policy Institute, and Twentieth Century Fund, 1998. )
The World Bank Research Report States the following facts: "About three billion people live in ‘newly globalizing' developing countries. During the 1990's this group grew at five percent per capita compared to two percent for the rich countries. The number of extremely poor (living on less than $1 per day) in the new globalizers declined by one hundred and twenty million between 1993