impact of globalisation

Globalization causes economic impact. The standard of living has been improved because more trade and foreign investment brings about increased income. More money can be spent on education, healthcare, defence, housing and transportation by the government while more selections of food are available due to free trade. Hence, the increase in lifestyle choices and higher standard of living created by the government spending lead to a better quality of life. Besides, intense competition among countries to attract foreign investments and markets brings further economic growth. For example, China has attracted much overseas investments in recent years by providing chances for lowering the cost of production. This results in a rapid development of its cities and industrial infrastructure. There is also competition for talent as globalization offers people opportunities to work abroad.Highly-skilled people are in great demand for countries to boost their economies/ advanced economies with shrinking populations are trying to attract foreign talent while emerging economies such as India are attracting back their own people who had previously left for studies or work in developed countries. However, globalization also widens income gap between the rich and poor countries. Many developed countries are benefited with rapid development as they own most manufacturing activities. On the other hand, it contributes to the spread of poverty in other countries where trade restrictions are imposed. These countries are unable to produce quality goods in order to command higher prices and Transnational Corporations (TNCs) take advantage of the cheap labour. Therefore, the economic impact caused by globalization is important because it improves the standard of living and increases competition among nations. People in the whole society can benefit from it because of the increasing government spending on infrastructure, education, defence and various social segments. However, it contributes to the widening income gap between the rich and poor, which further increases tensions and social problems. The rich prosper from better economic opportunities while the poor lowly-skilled suffer retrenchments and loss of income.
Globalization causes social impact. Through globalization, people have become more aware of different culture around the world through travelling, surfing the Internet and watching foreign movies. However, the infusion of foreign culture makes local culture, languages and values seem less attractive in comparison. The widespread of pop culture contributes to the loss of local culture. Global brands such as Starbucks and McDonald’s dominate the consumer market in developing countries, creating a largely homogenous culture across the world. Therefore, social impact caused by globalization is important because it has changed the way people live. The awareness of foreign culture has been increased while local culture has been significantly lost through the process of globalization.
Globalization causes environmental impact. Economic development brought about by globalization results in environmental degradation because natural resources are used in large quantities by TNCs to make profit while those developing countries rich in natural resources are willing to use them at a high rate in order to gain economic
benefits. Besides,globalization brings deforestation at an alarming rate. For example, Brazil’s Amazon forests have suffered massive devastation largely for cattle ranching to meet the world demand for Brazilian beef. Indonesian forests are fast disappearing due to clearance for cash crop and development projects. Also, dams are built in China for electricity to meet the growing demands for energy. The Three Gorges Project contributes to environmental degradation. The mobility of goods through planes, ships and other forms of transport also causes global warming as greater quantities of greenhouse gases are released. These factors, on the other hand, bring about an increase in awareness of environmental management that sustainable development is the key to future growth. Ways to ensure sustainable supply include conservation and the use of alternative sources such as harnessing wind, solar and geothermal energy. Therefore, environmentalimpact caused by globalization is important because it results in a great degradation of the environment in terms of deforestation and the construction of dams. The natural habitat for flora and fauna is encroached or destroyed, causing environmental consequences like soil erosion, extinction of flora and fauna, landslides and air pollution. The environment of the world in the long run is greatly affected. Meanwhile, people are more aware of the importance of environmental management to preserve the environment for the future generation.
In conclusion,
Social impact
Environmental impact
Economic impact
Is the most importantfactor caused by globalisation.。