The Effects of Globalization Worldwide

Author: Celia Jimenez, Plano High School
📍Plano, TX

The late 20th century witnessed a surge in globalization, driven by several factors. The end of the Cold War removed many political barriers which created an environment that would allow increased communication and cooperation between different countries. Additionally, technological advancements, especially in communication and transportation, connected markets and made long-distance communication infinitely easier. The rise of neoliberal economic policies further accelerated this interconnectedness, leading to an era of increased global trade and integration. Although globalization has has led to income inequality, due to its positive impacts on working conditions and standards of living, it has led to new successes worldwide.

Globalization has exacerbated income inequality. The wealth gap has widened in many nations, with the benefits of globalization accruing disproportionately to the elite. Multinational corporations, in their pursuit of profit, exploit lower labor costs in developing countries, leading to a concentration of wealth in the hands of a few, while leaving the people who provide the labor to make the goods with very minimal gains. The richest 1 percent controlled the greatest percentage of the wealth at the beginning of the 21st century, compared to any other time in history, at that gap has only continued to grow (Strayer & Nelson, 642). “In 2016 an OXFAM study concluded that the eight richest people in the world possessed roughly the same amount of wealth as the poorest 3.5 billion.” (Strayer & Nelson, 645) This effect was also worsened by the switch to automation. This can be seen in Closed Factories and Displaced Industrial Workers, a photograph by Denis Charlet, which shows a factory on fire. this picture depicts a protest by French Workers, who after losing their jobs due to automation, protested by setting fire to the factory. Neoliberal economic policies and the overall mindset of business leaders due to globalization, which put profits so far above everything else, led to these outcomes, which would take money away from the working class and concentrate it in the hands of the elites. By

promoting an increased wealth gap, globalization has exacerbated existing problems of economic inequality.

One of the most significant positive impacts of globalization is the improvement in conditions for industrial workers. As global competition increased, workers in many industries gained greater leverage to voice their dissatisfaction and demand better treatment. This led to the establishment of improved labor standards, including the widespread adoption of the two-day weekend, safer working conditions, unionization, and regulations against child labor (Strayer & Nelson, 648). Also, women gained increased rights as a result of them being able to work in the post-war period and due the the amount of labor the globalized period required from people (Strayer & Nelson, 632). This can be seen in A French Motorcycle, a lithograph by Alexandre Steinlen, which depicts a woman riding a motorcycle. This lithograph depicts a modern woman and the overall message emphasizes progress and modernity, as new technology is also depicted in the lithograph. This paints a picture of the modern woman of that time as someone with increased rights who could transport herself independently and on her own using the motorcycle. Globalization, by increasing interconnectedness and awareness, facilitated the spread of these progressive labor practices across borders, benefiting workers worldwide.

Moreover, globalization has led to a substantial increase in the standard of living for a large portion of the world’s population. The emergence of a prosperous middle class in many Northern countries is a testament to this progress. Increased access to affordable goods, advancements in healthcare, and expanded educational opportunities have all contributed to a higher quality of life. For example, “by 1970 nearly all urban households in Japan owned the “big three” — a television, washing machine, and refrigerator.” (Strayer & Nelson, 649) The breakthroughs surrounding energy access fueled this greatly. The graph, Sources of World Energy Consumption shows that energy consumption as a whole has gone up significantly since 1950 and continues to increase at an exponential rate. This shows that energy is being used to power various technologies, like the previously mentioned televisions, cars, washing machines, etc. These technologies were made cheaper as a result of globalization, improving the standard of living for people everywhere. Additionally, the proliferation of global trade has given consumers access to a wider variety of products at lower prices. The cost of clothing, electronics, and food has decreased significantly due to global supply chains, allowing people to spend more on other essentials and leisure activities (Strayer & Nelson, 635). Additionally, the dissemination of technology has improved productivity and efficiency in numerous industries. The internet, a product of globalization, has revolutionized communication, education, and commerce, empowering individuals and creating new economic opportunities. Overall, globalization, by fostering collaboration, improved the standard of living for many.

In conclusion, while globalization presents challenges, particularly concerning income inequality, its overall impact has been positive. The improvements in working conditions, the rise in living standards for a significant portion of the global population, and the acceleration of

technological innovation demonstrate that globalization has been a powerful engine of progress. By fostering interconnectedness and interdependence, globalization has created opportunities for economic growth, social development, and technological advancement that would have been impossible in a more fragmented world. The key lies in addressing the negative consequences of globalization through effective policies and international cooperation, ensuring that its benefits are shared more equitably and sustainably.

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