Globalization and Its Benefits for the United States | Free Essay Example

Globalization and Its Benefits for the United States

Words: 861
Topic: Business & Economics

Held and McGrew define globalization as the integration of aspects such as the economy, religion, culture, social systems, and politics worldwide (1999). It is how the world’s interconnections are broadened and get to operate as one in all the aspects of social life. Globalization has led to wider access to capital and resources as a result of increased options in the modern-day world. This has created new opportunities and problems for countries. Global changes due to globalization include new technology, reduced regulation of financial flows, increased levels of terrorism, the development of non-governmental organizations and multi-corporations that have become important players in world politics, and intensification of cultural exchange.

Globalization has several positive effects, such as the innovation of advanced technology in the communication and transport sectors. Communication has developed with the creation of mediums such as mobile phones, computers, and the Internet. These media link the world and give people a wider platform to interact with one another at a faster rate compared to the past when forms of communication were slow. In the past, phone calls were expensive and telegrams were slow, but twenty years later phone calls and video conferences are virtually free.

This interaction makes it efficient to share ideas, while tools for innovation have been distributed, as argued by Friedman in the YouTube video. Television stations like CNN, which has the most comprehensive news around the globe, are accessible to all countries as a result of globalization. Speeches and videos that educate and inspire people can be streamlined live via mediums like YouTube, reaching large masses that could not be reached initially.

Besides, there is increased travel as a result of new technology, such as bigger ships, trains, and airplanes with faster speeds that have made people more mobile; hence making people more aware of their surroundings. People can travel to other countries and explore countries as tourists. Some people even settle down in the destination nations.

The world economy has grown due to trade. Renault Zoe, for example, is a car manufactured in France, but parts of the car like the battery come from Korea; all this is possible due to globalization. The United States, for example, can now get raw materials from developing countries at a cheaper cost and process them into finished products with added value and resell to these countries at a higher price.

The raw materials include cash crops like coffee, cocoa, tea, cotton, and sugar, among others, which can now be obtained cheaply due to agreements made with other countries. Oil discovered in developing countries requires technology to drill it. Developed countries such as the US provide technology, and both countries benefit in terms of economic growth. Consequently, there is a great diversity of opportunities that yield greater returns as a result of globalization.

Reduced cost of transportation, According to Frankel, from $95.00 to $29.00 as a result of ocean freight and port charges between 1920 and 1990 is one the effects of drivers of economic globalization in the United States (242). Refrigeration and jet air shipping have enabled goods that could not be traded internationally, like fresh-cut flowers of all kinds, fruits and vegetables, seafood, and other perishable goods, to be sent across continents.

However, globalization has shortcomings too, such as the rise of criminal networks globally and terrorists. The interactions have made it easier to navigate across countries; hence terrorists can enter the country. Terrorist groups such as the Al Qaeda and Al Shahab have come up, carrying terror attacks like the September 11th, 2001 bombing. History and geography still instill conflict, but globalization makes it worse. Even though governments may work together, some citizens may still harbor grudges, like in the case of Israel.

Moreover, globalization deprives a country of its jobs and resources due to outsourcing. Jobs belonging to one country are taken away and given to another country, leaving the natives without jobs and depriving them of their opportunities. There is a common belief, for instance, that life in the United States is better and easier due to the country’s development and economical status. Resultantly, people from all the regions of the world go to the US for well-paying jobs, thereby creating fewer job opportunities for American citizens (Frankel 242).

Despite its shortcomings, globalization is a good thing for the United States because the advantages are more than the disadvantages. The removal of most restrictions on trade flows has increased economic growth, which has led to better living standards among the citizens. The consumers can buy products at a cheaper price due to competition in the market and availability of the same. As much as there is the notion that jobs are taken from the host country, economic growth creates more jobs that would not have existed initially.

Moreover, the interaction helps in the exchange of ideas in line with development more than the negatives, such as terrorism. Technological advancement concerning military weapons as a result of globalization has helped fight terrorism. Globalization emphasizes the fact that even developed countries cannot sustain themselves; they need the rest of the world to function, and that is what makes globalization a good thing for the United States.