The increasing globalization of markets
Draft
Description:
Globalization is the growing interconnectiveness reflected in the expanded flows of information, technology, capital, goods, services, and people throughout the world. Therefore the globalization of markets is the growing interconnectiveness of markets, like financial markets, labour markets, trade markets etc.
The next (global) economy will be a knowledge economy. The knowledge will be its key resource, and knowledge workers will be the dominant group in its workforce. Its three main characteristics will be:
o Borderlessness, because knowledge travels even more effortlessly than money.
o Upward mobility, available to everyone through easily acquired formal education.
o The potential for failure as well as success. Anyone can acquire the “means of production”, ie, the knowledge required for the job, but not everyone can win.
The globalization is a trend which is not reversible, althought that the speed of this globalization is not decided yet.
Enablers:
- Increase in technology especially information technology
- Increasing participation of China and India in the global markets
- Decreasing power of communism
- Increasing power and number of global companies.
- Decreasing Psychic (or cultural) Distance
- Increasing Power of community ex)WTO, OECD, IMF
Paradigms:
Market globalization decreasing the control on unemployment, GDP fluctuations, etc. Laws and regulations should therefore be made on a global basis.
Possible decreasing power of governments and increasing power of companies, which set a totally different political and economic arena. The rules to adhere to in this situation has yet to be created.
If the globalization of the market leads to continents or countries which cannot compete anymore, trade barriers (= de-globalization) might be a counter reaction.
Experts:
TBD
Timing:
TBD
Web Resources:
[[1]] Direction of exports under increasing globalization of markets