Answer to Question #212428 in Economics for Nana K

Question

Analyze the various ways in which the conceptualization of globalisation has led to it characteristics.

Answer 1

Globalization is defined as the set of processes (economic, social, cultural, technological, institutional) that contribute to the relationship between societies and individuals around the world. It is a progressive process by which exchanges and flows between different parts of the world are intensified.

According to the Committee for Development Policy (a subsidiary body of the United Nations), from an economic point of view, globalization can be defined as:

“(…) the increasing interdependence of world economies as a result of the growing scale of cross-border trade of commodities and services, the flow of international capital and the wide and rapid spread of technologies. It reflects the continuing expansion and mutual integration of market frontiers (…) and the rapid growing significance of information in all types of productive activities and marketization are the two major driving forces for economic globalization.”