GLOBALISATION

INTEGRATION OF WORLD ECONOMIES integration of . Globalization is a process of world economies . It allows free flow of trade and capital. It helps movement of persons across borders. It brings together all the people of the world to exchange their products with g reater efficiency at lesser cost than they would have got in their own country.

PHILOSOPHY Due to certain environmental conditions, technological skills, inheritance, etc Each country will be able to produce certain items cheaper than other countries. Such goods and services can be marketed by that country to the entire world. As a result of which the world community can benefit to a great extent As they get these products much cheaper than when produced in their own country.

MUTUAL BENEFIT Repeating the process, every country therefore exports products to other countri es which it makes cheaply. This results in every country benefiting by getting t hings cheaper from other countries. This is the greatest advantage. The Internet and computer communication helps this process grow faster and makes the world s hrinks to the level of a global village.

WORLD TRADE In the year 1990 global trade was 3.4 trillion dollars. In the year 2000 global trade rose to 6.2 trillion dollars. World trade is growing faster and faster and every country is competing with every other More than 1. 5 trillion dollars is exchanged in the world's currency markets everyday. With this process nearly 40 pe rcent global output of goods and services are traded.

MERITS The advantage of this trade is every country gets several goods and services che aper from other countries. As a result of which instead of paying more for the s ame goods and services in their own country now they pay less for the same goods and get them from other countries. This results in a higher standard of living.

DEMERITS Certain industries within a country may not be able to produce those goods and s ervices cheaper than other countries. As a result it cannot compete with the for eign market and eventually will have a sudden death. Many people within the coun try may lose jobs and be reduced to destitution. Alternative jobs may not be the re. As a result their services are lost once and for all

IN TIMES OF CRISIS When once a particular industry dies, and in times of crisis when a foreign coun try increases the cost of the goods the importing country can do nothing. And it has to pay much higher for the same goods.

IN TIMES OF WAR In times of war if the concerned countries do not supply the same goods the impo rting country may not be able to remake them because the industry is already wip ed out.

NEVER COPE UP The developing countries may never be able to cope up with the competition with developed countries and hence will never be able to make certain goods cheaper. As a result that industry will be wiped out and the country will be reduced to a stage where it can only supply raw materials and thus will always remain poor.

APPROACH Every country while welcoming the goods from the world market at a cheaper rate must make sure its own industry will not die. Continuously strive to improve its quality So that at a given period it will be able to compete with the world mar ket. Must make sure that its own people are not displaced from the competing ind ustries it is not reduced to the status of a raw material-supplying country

TOWARDS INTEGRATION OF ONE WORLD The world has come a long way since producing goods on a mass scale. It is to ma ke the world shrink further We have to strive hard to realize the goal of achiev ing this global village. Thereby we live in small area reachable by the click of the mouse and live together. We share our ideas, thoughts, emotions and still e ach live as per his likes

WORLD A PLACE FOR HAPPY LIVING By this method we eliminate poverty, hunger, terrorism, crime, insecurity and ma ke the world a place for happy living. Gone are the days where you have to trave ls months and years to reach the other end. We reach even the remotest place in seconds, we see them and talk to them all at the click of the mouse.

MANY OTHER ADVANTAGES Globalization may have many other advantages. Anuradha M Chenoy believes (The Ti mes of India , January 16,2004) 50 years from now, globalization will have succee ded in breaking down the caste barriers and burying the 3000-yearold history of inequality.

BEGINNING OF A GREAT CIVILIZATION This will be the beginning of a great civilization on this planet earth . And it is this civilization that will be there for thousands of years without any hurd les. Peace and prosperity will be there everywhere. Happiness will be seen on al l faces throughout the entire world.