{"id":1994,"date":"2021-05-03T12:32:12","date_gmt":"2021-05-03T12:32:12","guid":{"rendered":"https:\/\/enorcerna.com\/wiki\/what-is\/economic-globalization\/"},"modified":"2021-05-03T12:32:12","modified_gmt":"2021-05-03T12:32:12","slug":"economic-globalization","status":"publish","type":"post","link":"https:\/\/enorcerna.com\/wiki\/what-is\/economic-globalization\/","title":{"rendered":"Economic globalization"},"content":{"rendered":"
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What is economic globalization?<\/h2>\n

Economic globalization consists of economic and trade integration between countries at the national, regional and international level, <\/strong>with the purpose of efficiently take advantage of the goods and services of each country.<\/strong><\/p>\n

This union of national and regional economies is carried out through the transaction of goods, services, technology and information.<\/strong> between the respective countries.<\/p>\n

Said globalization is driven by the growth of the media, <\/strong>whose technologies have been promoted in recent times, for example, with the progress of the internet.<\/p>\n

Characteristics of economic globalization<\/h2>\n

Between the main features<\/strong> of economic globalization we can mention that:<\/p>\n

    \n
  • This driven mainly by various free trade agreements<\/strong> or economic blocks, such as Mercosur or NAFTA.<\/li>\n
  • Promote job creation<\/strong> and encourages the economy of the countries involved.<\/li>\n
  • It is carried out under the import and export of goods and services.<\/li>\n
  • Use telecommunications and technology<\/strong> to perform transaction processes.<\/li>\n
  • It is present in most of the countries of the world<\/strong>.<\/li>\n<\/ul>\n

    Advantages and disadvantages of economic globalization<\/h2>\n

    Advantage<\/h3>\n

    The main advantages that economic globalization brings are the following:<\/p>\n

      \n
    • The costs of industrial production <\/strong>decrease<\/b> and therefore generate that the prices of commercial products are cheaper.<\/li>\n
    • Increase the amount of employment<\/strong> in those countries that join with others to import and export, especially if these are underdeveloped countries.<\/li>\n
    • Competition occurs<\/strong> between companies, which generates a increase in the quantity of products to be marketed and progress in their quality.<\/strong><\/li>\n
    • Improvements in technology allow a better production faster<\/strong> and that they constantly discover new ways to optimize technology within processes.<\/strong><\/li>\n
    • The consumer or buyer has at their disposal a greater variety of products to choose from<\/strong>, including necessities and goods.<\/li>\n<\/ul>\n

      Disadvantages<\/strong><\/h3>\n

      Like any economic action, globalization has several disadvantages, such as:<\/p>\n

        \n
      • Economic inequality<\/strong> both between different countries and between the various companies that compete in a region.<\/li>\n
      • Environmental degradation<\/strong>.<\/li>\n
      • Tendency to higher unemployment<\/strong> in developed countries, as their companies migrate to other places where they can find cheaper raw materials or labor.<\/li>\n
      • Less development in the national market<\/strong>, which reduces the opportunities of national companies and can cause inconveniences in the country's economy.<\/li>\n<\/ul>\n

        Examples of economic globalization<\/strong><\/h2>\n

        Examples in which this model of economic globalization is applied are proposed below.<\/p>\n

          \n
        • The use of social networks for digital marketing,<\/strong> which allows the commercialization of goods and services in different regions around the world.<\/li>\n
        • The stock market, as its prices influence companies throughout the world.<\/li>\n
        • The free trade agreements<\/strong> between different countries.<\/li>\n
        • The rapid expansion of transnational companies with different subsidiaries in various parts of the world.<\/li>\n
        • Exploitation of the natural resources of a country to be sold as raw material.<\/li>\n
        • International money transaction services<\/strong>, such as PayPal.<\/li>\n
        • New types of currencies that are traded in globalized markets, such as the BitCoin.<\/strong><\/li>\n<\/ul>\n<\/div>\n\n\n
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          What is economic globalization? Economic globalization consists of economic and trade integration…<\/p>\n","protected":false},"author":1,"featured_media":1995,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[],"class_list":["post-1994","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-what-is"],"_links":{"self":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/posts\/1994","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/comments?post=1994"}],"version-history":[{"count":0,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/posts\/1994\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/media\/1995"}],"wp:attachment":[{"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/media?parent=1994"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/categories?post=1994"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/enorcerna.com\/wiki\/wp-json\/wp\/v2\/tags?post=1994"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}