Globalization means the escalating global connectivity, integration and interdependence in the economic, communal, scientific, cultural, political and natural circumstances. It basically means the foundation where people around the world globalize themselves in the fields of their choices such as information technology, science, medicines and business fields with the cultural influence for the people who are gathering at a place they get more variety and more sources to get a place in the globe. It is the source people experience the business and standardized there business in the globe.
Social & Cultural globalization is the spread of cultural traits so that they are not only used and practiced in their mother country. For example Chinese food expanded form china to the rest of the world and is now much more popular. Having a well known county is one of the positive. However the misuse of the other culture personality by some nations is not good.
The Globalization has been capturing the international economics which basically covers the prices, products, wages, rate of interest, profits with the law and order of the country. From the history due to the globalization the countries that were rich supported the poor ones from which now the countries progress has been developed but not just that being into globalization it led to some international opposition which made effect on the environmental degradation. Starting with the history after the dominance of the European in the mid 20th Century the world came into the picture of Global Civilization as countries started to developed themselves. The first three major developments in the globe was when they started communicating through transportation and communicated by the railways, shipping and telegraphs which was the most easy and only source that time after that the rapid growth in the world development hit the industrial countries which started linking to the Western Europe and the third development started when the European firms started to invest in the world non-industrial areas. Latter with the developments in the technology field and the facility for the telephone and fax was there for easy and fast communication (Malcolm Waters, 2001).
Economic globalization is taking place in many parts of the world at the moment, Dubai is one example due to economic globalization, and a higher standard of living arrived that included better education and health care. On the other hand, cultural imperialism, this is the diminishing of local cultural traits which took place. (Rolf Hackman, 2005).
Globalization also affects the policies of the country as financial sphere make it more difficult for government to manage economic activity for example making government choice to setup tax rates and tax system for the other countries and for he importers and exporters of the country. In every country growth and social progress then globalization plays an important role as it contributes the most. (Rolf Hackman, 2005).
In the past few years in the financial markets, short tem capital flows threaten macroeconomics stability, countries had find it increasingly risk to follow policies that do not promote financial stability, not just countries find it risk but it also matters for the public and private sector which will be more difficult to implement wage increases and price markups that would make the country concerned become uncompetitive but there is an another kind of risk which is when investors who invest for short periods which is a risk for the country prospect and capital inflow even when the conditions are normal for the country just as a investor invested a huge capital which made the capital flow of the country high but in a sudden if the investor needs that back then the country can face flow in the capital. The main complexes were the short term investors from which the country capital was not going high so that the government and the international finance community started to invest on the countries capital, which helped in the country progress and gave the high profit to the investors and also reduces the risk in the future. At international level the important lines against the defense crisis were violate the investor did not evaluate risks effectively. Regulators and supervisors in the major financial fields did not monitor development closely. And not any good information was available about the investor in the international market or any financial institution and the result of it made the short term finance out of the country so the risk reduces and no crisis takeover. Advances in communication and transport technology and services are the part of it.
This picture shows the example of the globalization subjected to China, Africa and the world. The globalization just not is the exchange of things but it also makes the country relation better with the other country. It makes the country revenue high and creates capitals for further exchanges and other matter. (http://www.imf.org/external/np/exr/ib/2000/041200.htm#IX)
Globalization and Euro
Basically, there are many factors, which play an important role in the distribution of globalization. Currency is one the main branches of that distribution. Today the most featured currency is Euro. Euro is the currency of the European states not all but only those who are the members of the European Union. Apart from all these countries, which are the members of the European Union, many small states, which are also not the part of the European Union, are slowly and gradually adopting the currency having much thesis against that in their opinions.
Annalistically a recent report on the 50th founding celebrations of the EU suggest that however, today Europe faces great challenges to boost up their economy and wind up inflation and unemployment from their states as compared to America. Studies also suggest one thing which goes in favor with the European states that Europe is trying to come up with the expectations but the rising level of unemployment in the USA and its states is very depressing and both the countries need to work very hard to meet the levels of public needs.
“More importantly, the EU’s success should not be measured only by particular pieces of legislation and regulation, or even in the prosperity that economic integration has brought. After all, the driving motivation of the EU’s founders was long-lasting peace. Economic integration, it was hoped, would lead to greater understanding, underpinned by the myriad interactions that inevitably flow from commerce. Increased interdependence would make conflict unthinkable.” (Global Envision – The European Union’s Global Mission)
Globalization is the process in which businesses and other organizations spread and grow on global bases. Economic globalization is the increasing convergence of markets, economies, and ways of life across the world.
Economic globalization is taking place in many parts of the world at the moment which is helping countries to buildup and develops them and takes a position around the world; Dubai is one example due to economic globalization, and a higher standard of living raised that included better education and health care its living standard was not that high in past years but as it started to develop and now is one of the best country of the world in every aspect. On the other hand, cultural imperialism, this is the diminishing of local cultural traits which took place.
To sum up the globalization, like everything else it has both a good and a bad side. The characteristic of each type of globalization is what adds up to determine whether globalization is an advantage or a disadvantage to the world. For an example, few of he advantages and disadvantages are increased free trade between nations, reduction of cultural barriers increases the global village effect, increases in environmental protection in developed nation, or the disadvantages are increases flow of skilled and non-skilled jobs from developed to developed nations as corporation seek out the cheapest labor, great chance of reaction for globalization being violent in an attempt to preserve cultural heritage, and or decreases in environmental integrity as polluting corporations take advantage of weak regulatory rules in developing countries.
Malcolm Waters. Globalization, Routledge, 2001
Rolf Hackmann. Globalization: Myth, Miracle, Mirage, University Press of America, 2005
International Money Fun, 2002
http://www.imf.org/external/np/exr/ib/2000/041200.htm Accessed June 8, 2007
Globalization of the Economy
http://www.globalpolicy.org/globaliz/econ/index.htm Accessed June 8, 2007
Global Envision – The European Union’s Global Mission http://www.globalenvision.org/library/8/1610/ Accessed June 11, 2007
Globalization – Wikipedia, the free encyclopedia
http://en.wikipedia.org/wiki/Globalization Accessed June 11, 2007