Globalization: A Menace to Developing and Underdeveloped Countries

Abstract

Globalization has been in existence from the past many years but it has gained a lot of significance in the late 1980s. It has led to opening up of the world economies. This has made the world a global village which has given a lot of boost to the international trade and cross border investments. Globalization relates to removal of trade barriers so that there is free flow of goods, services, labor, technology, capital etc. It has helped in the dispersal of knowledge and information. Despite of its many promotional and developmental activities, it has turned out to be a menace for many developing and underdeveloped countries of the world. It is a double edged sword. Many countries are witnessing the detrimental effects of globalization. Globalization has led to the deterioration of cultural values and has also instigated various issues like child labor, money laundering, environmental problems, price fluctuations, job insecurity, unemployment etc. Globalization has been criticized on the grounds that it operates in the interest of rich and dominant countries.