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HOW DOES GLOBALIZATION EFFECT DEVELOPING COUNTRIES?
Transcript of HOW DOES GLOBALIZATION EFFECT DEVELOPING COUNTRIES?
borders have been broken down between countries
development of transport and communication technology
is playing an increasingly important role in the developing countries
has created a new opportunities for developing countries
technology transfer hold out promise, greater opportunities to access developed countries markets, growth and improved productivity and living standards
social and natural environment factors
instability in commercial and financial markets
increase inequity across and within nations
Unsafe water, and poor sanitation and hygiene
Poorly designed irrigation,water systems, poor waste disposal and water storage, deforestation -> vector-borne diseases(malaria, dengue and leishmaniasis)
low environmental regulations to bait companys ->Urban air pollution -> kills 800 000 people
Degradation of the built urban and rural environment, particularly for pedestrians and cyclists, has been cited as a key risk factor
Lead exposure kills more than 230 000 people per year and causes cognitive effects in one third of all children globally; more than 97% of those affected live in the developing world
Unintentional poisonings kill 355 000 people
poisonings are associated with use of toxic chemicals and pesticides -> low environmental regulations
ECONOMIC & TRADE
Positive effects of globalization for developing country business
Education and Health Systems
relationships between developed countries and developing nations stronger, it made each country depend on another country
developed countries depend heavily on developing countries for raw materials, food and oil, and as markets for industrial goods
goods and people are transported easier and faster as a result free trade between countries has increased, and it decreased the possibility of war between countries
the growth in the communication between the individuals and companies in the world helped to raise free trade between countries and this led to growth economy
opportunities to tap into markets around the world
more access to capital flows, technology, human capital, cheaper imports and larger export markets
allows businesses to become part of international production networks and supply chains
Global commerce is dominated by transnational corporations
capital flows increases the risks of banking and currency crises
Competition among developing countries -> "race to the bottom"
Cultural uniqueness is lost -> universal culture
Negative effects of globalization for developing country business
Development of health and education systems
education has increased in recent years
-> G. has a catalyst to the jobs that require higher skills
Demand -> allowed people to gain higher education
growth in economic -> living standards and life expectancy get better
discovery of diseases -> helped them to created medicines to fight these deadly diseases.
decrease of illiteracy
facilitates the spread of new diseases in developing nations
increased trade and travel
influences badly to the living standards and life expectancy
World Bank (2004) "The AIDS crisis has reduced life expectancy in some parts of Africa to less than 33 years and delay in addressing the problems caused by economic".
skilled workers migrate to developed countries
higher wages and greater lifestyle
leads to decrease skills labour in the developing countries.
How can globalization affect child labor?
HOW DOES GLOBALIZATION AFFECT DEVELOPING COUNTRIES?
look at the tag on your shirt
Globalization and child labor interact in two basic ways:
First, globalization may increase the employment and earnings opportunities available to poor households in developing countries. Changes in local labor markets from globalization may increase or decrease child labor.
Second, globalization increases the influence of rich countries in the domestic policies of the developing world.
Globalization can enhance employment and earnings in developing countries because of inflows of foreign investment or increases in the value of a developing country’s export products.
When a country opens to international markets, foreign investment often enters the country -> increase demand for local labor and higher wages.
Today's developing countries have comparative advantage in agriculture, and integration into international markets may increase the price of the export product to international levels.
Increased earning opportunities may increase the demand for child labor and thewages paid to children.
types of work performed by parents change
Children may be forced to take over some of the activities usually performed by adults within their household.
increased parental earnings may reduce the work that children perform.
globalization can help parents in poor countries stop child labor without foreign intervention.
increases the ability of rich countries to influence policy in the world’s poorer nations.
Rich countries can use the threat of trade sanctions to coerce policies that attempt to curtail child labor
a process of global economic, political and cultural integration has been starting
We all live in developed countrys. Have you ever asked yourself HOW GLOBALIZATION DOES AFFECT DEVELOPING COUNTRIES?
Economic and trade
Education and health
Effects of globalization for developing country business
Effects of globalization for developing country business
GOOD OR BAD ?