Has Globalization succeeded in removing the gap between rich and poor economics? Explain your answer.

Answer:
There are many different definitions of Globalization, but most acknowledge the greater movement of people, goods, capital and ideas due to increased economic integration which in turn is propelled by increased trade and investment. It is like moving towards living in a borderless world. Globalization is certainly the buzzword of the new millennium. The nature and impact of globalization has been the subject of profound debate and concern in economic circles since the mid-1990s. To understand the significant impact of the phenomenon known as globalization, we must first understand the term and the importance of the meaning of globalization. Globalization refers to and is used to describe the flowing of the movement of people, ideas, bodies of knowledge and information, services, trade, and money across national and international borders of the world. It is this factor that has led to the interaction and integration among people across the globe culturally, socially, politically, and economically. Globalization connects numerous amounts of countries, companies, and people with one another, which on one hand helps create stability. Globalization has also thrown open varied challenges such as inequality across and within different nations, volatility in financial market spurt open and there were worsening in the environmental situation. So in my point of view, Globalization didnt succeed in removing gap between rich and poor economy. In a world where 400 highest income earners from the United States earn as much money annually as the total population of 20 African countries, something seems to be intensely wrong. Global inequalities exist at astounding levels. As per the data from the International Monetary Fund ten percent of the richest global population is 117 times higher than the poorest ten percent. This is a massive increase from the percentage in 1980, when the earnings of the 10 percent of richest population was

around 79 times greater than 10 percent of the poorest population. Another problem is that for many poorer nations, the situation will continue to worsen. Their citizens are often less likely to be educated, or have the skills to assist in improving the economy of their country. For those who do have the education and skills, they are often granted visas to move to developed, wealthier nations for the chance of a better standard of living. While this improves their quality of life, their country is being left without the skilled workers that are needed to improve its economy. Wealthier nations are also disadvantaging the poorer ones by reducing the aid that they are providing. This results in a decline in conditions which normally entice foreign investments. A number of nations rely on this money to do things such as repay debts to foreign nations and without it, they are forced to struggle.

It has been also observed, that rich are getting richer day by day by gaining huge profit and financial influence through the process of Globalization. People living under poverty line are also helping

themselves by improving their financial status with the help of Globalization. But the rich are gaining money so fast that the poor people cant keep pace with it. And so the gap gets wide and wide. Globalization is no doubt for the betterment of people. But it is the people who will be able to utilize the benefits of Globalization by lessening the wide gap between rich and poor economy.