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Economic Globalization

Fatima Gonzales
13 APRIL 2021
Economic Globalization: Unity or Division?
Economic globalization is the increasing integration of economies around the world,
particularly through the movement of goods, services, and capital across the border” (IMF staff,
May 2008). Economic globalization has had the positive effect of notably widening worldwide
commerce, as well as social trading, which, on the other hand, could kill the livelihoods of
millions of people. Nonetheless, this essay agrees that economic globalization does unite us due
to much evidence which supports that it is beneficial to people around the world.
According to research, it refers to the growing interdependence of global economies as a
result of the increased scope of cross-border trade in goods and services, the influx of foreign
resources, and the massive and accelerated spread of technology. It represents the ongoing
growth and mutual convergence of business frontiers and is an irreversible theme for global
economic growth at the turn of the millennium (Shangquan, n.d.). The two main driving forces
for economic globalization are the rapidly increasing importance of knowledge in all forms of
productive activities and marketization. In other words, the rapid globalization of the world's
economies in recent years has been largely based on the rapid development of science and
technology, has resulted from an environment in which the market economic system has been
rapidly spreading throughout the world, and has developed based on an increasing cross-border
division of labor that has permeated down to the level of production chains within enterprises of
different countries.
There are many visible benefits we attained from economic globalization that can be
proved that it unites. First, it’s connected with the culture which is we can access new cultures.
We already discussed how do we attain this through movies, foods, or songs which now the
spread of technology and innovation takes place through this. We also experience a lower cost of
products because nowadays, people are more inclined with online shopping that is more
convenient, accessible, affordable, and time-saver. Lowered costs help people in both developing
and already-developed countries live better on less money.
Also, the Philippines is considered a developing country, it is more likely beneficial for us. For
the fact, that through being part of the globalization we can help our country reached as one of
the developed countries like China and US.
In research for Deluna et al. (2014), in their recommendation, they stated there that as a
developing economy, the Philippine government and monetary authority must prioritize and
enforce effective policies with caution to deal with foreign business activities. Policies that take
into account the output of macroeconomic factors that can influence capital flows, such as
interest rates and exchange rates which is by the effect of economic globalization.
With this nations are being connected. One of the most visible reasons why economic
globalization unites not divided is because of the Pandemic. Countries are being suffered through
the loss of supplies, medical supplies like masks, vaccines, covid test, alcohol, and many more.
Following its support in the early stages of the coronavirus epidemic, the Philippines requested
assistance from several countries and territories, including the United States, Singapore, Taiwan,
China, and Japan, among others.
Taiwan as being one of the country's covid free for months already donated more than 10
million masks to other nations. Singapore donating more than 40, 000 coronavirus testing kits
and one polymerase chain reaction (PCR) machine. With the donations have been received, the
prices of the medical supplies went down. Compare to the original prices before the covid, masks
are being sold cheaper but as soon as the pandemic started masks are being sold like gold. Some
are pricey that which is not believable but because of demand and necessity people just buy those
things even, it's a bit pricey.
With economic globalization, not only do the developed countries benefit from us but we
also. We are one of the developing countries striving to be one of those countries like the US and
China. Because of economic globalization, that is not impossible to achieve. When it is about
increasing integration of economies around the world.
Deluna, D., Roperto Jr, J., & Antiquisa, C. (2014, August). Economic Growth, Financial and
Trade Globalization in the Philippines: A Vector Autoregressive Analysis. Munich
Economic globalization and the benefits of economic. (n.d.). 123 Help Me. Retrieved April 13,
Shangquan, G. (n.d.). Economic Globalization: Trends, Risks and Risk Prevention. United