China didn’t have a strong economy before globalization. They were considered as LEDCs. After the globalization took effect in China, some big companies entered those two countries. They found out that China has big amount of people and using them as labor is very cheap. Therefore, they entered China in order to lower their cost in labor. China’s economy grew tremendously afterwards. India had their economic grew as the same way as that of China. Those two countries both have comparative advantage on cheap labor. Their economic trend was almost the same during those years.
In the globalization, countries trade with each other to earn money. They no longer trade within the country. They expand their vision in to the entire world and earn tons money. With those money, some people in the LEDCs raise their living condition because they earn enough money from the globalization. However, in many countries, only a few people really earn tons of money, rest of the people still make less money. For example, in China, there are people living in a super big mansion and driving a sport car, but there are people living in a super small apartment and earning a wage less than 0.5 dollar. The income disparities became a common thing with those countries that encountered globalization.
Globalization affects my life enormously. Many thing I use are products of globalization. The computer I am typing was designed in California and made in China. The earphone I use to listen to music was from Japan. Without Globalization, it would be painful to not have those things in my life. I could have imagine myself living in a cave. Taiwan is a country that strongly affected by the globalization. In the 1960s and 70s, Taiwan has cheaper labor and many global companies sent their electronic devices to Taiwan’s factory. Taiwan was like the same with China now in that time. Taiwan would be in poverty without the effects of the globalization.
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