Economics Honors
Semester Paper/Presentation Project

Paper Due: January 8, 2008

Globalization-Threat or Opportunity?

[1]The term "globalization" has acquired considerable emotive force. Some view it as a process that is beneficial—a key to future world economic development—and also inevitable and irreversible. Others regard it with hostility, even fear, believing that it increases inequality within and between nations, threatens employment and living standards and thwarts social progress.

Economic "globalization" is a historical process, the result of human innovation and technological progress. It refers to the increasing integration of economies around the world, particularly through trade and financial flows. The term sometimes also refers to the movement of people (labor) and knowledge (technology) across international borders. There are also broader cultural, political and environmental dimensions of globalization.

At its most basic, there is nothing mysterious about globalization. The term has come into common usage since the 1980s, reflecting technological advances that have made it easier and quicker to complete international transactions—both trade and financial flows. It refers to an extension beyond national borders of the same market forces that have operated for centuries at all levels of human economic activity—village markets, urban industries, or financial centers.

Markets promote efficiency through competition and the division of labor—the specialization that allows people and economies to focus on what they do best. Global markets offer greater opportunity for people to tap into more and larger markets around the world. It means that they can have access to more capital flows, technology, cheaper imports, and larger export markets. But markets do not necessarily ensure that the benefits of increased efficiency are shared by all. Countries must be prepared to embrace the policies needed, and in the case of the poorest countries may need the support of the international community as they do so.

TASK:

Develop a well crafted argument either for or against globalization. Present your argument including a review of economic principles germane to your position in a well-crafted research paper of no more than 5 pages in length (excluding exhibits).


Sites you may want to review:

  1. International Monetary Fund: http://www.imf.org/external/np/exr/ib/2000/041200.htm
  2. International Forum on Globalization:
    http://www.ifg.org/
  3. World Bank
    http://www1.worldbank.org/economicpolicy/globalization/
  4. Globalization Website; Emory University
    http://www.sociology.emory.edu/globalization/
  5. Global Policy Forum
    http://www.globalpolicy.org/globaliz/index.htm
  6. Globalization Guide
    http://www.globalisationguide.org/
  7. Globalization 101 (students guide) Center for Strategic and International Studies (CSIS)
    http://www.globalization101.org/
  8. Globalization (peer review journal…many viewpoints)
    http://globalization.icaap.org/
  9. Global Issues
    http://www.globalissues.org/
  10. UN; Managing the Globalization Process
    http://www.un.org/Pubs/chronicle/2000/issue4/0400p19.htm


[1] Globalization: Threat or Opportunity? By IMF Staff , April 12, 2000 (Corrected January 2002), accessed November 26, 2007 from http://www.imf.org/external/np/exr/ib/2000/041200to.htm