Does Globalisation Make Sense?
Economia Internazionale / International Economics, Vol. 31, No.1, pp. 47-80, February 2008
34 Pages Posted: 22 Jul 2008 Last revised: 28 Sep 2010
Date Written: February 1, 2008
Globalisation is one of the great economic and political stories of our times. There is a lot of confusion and disagreement in discussions since the process of globalisation means different things to different people. If globalisation is the outcome of the behaviour of transnational corporations, then this process is made possible by new technologies that permit fragmentation of production and reduction in the cost of transport and communications. The power of firms is increased to the detriment of the power of the state. Even so, governments supported by the general public and non-governmental organisations are able to cap the globalisation process. Globalisation brings many amenities to society. There were once hopes that globalisation would benefit everyone. As time passes, globalisation's downside becomes more and more apparent. If the goal of globalisation is to introduce and force the same standards everywhere and for everyone (including in the way in which people think), then it does not differ from neo-communism in the final objective.
Keywords: globalisation, fragmentation, TNCs, FDI, technology, integration
JEL Classification: F23
Suggested Citation: Suggested Citation