Social impacts
Globalisation critique: ‘Globalisation brings more positives than negatives worldw
Economic impacts Considering the impacts on a range of countries, to what extent do you agree with t
Environmental impacts
Globalisation impact Explanation (why has this Positives Negatives
happened?)
Some countries have FDI by TNCs, mainly HICs to Globalisation is reducing inequalities BETWEEN Inequalities WITHIN countries show an in
developed rapidly and have NEEs but more recently NEEs to countries through the transfer of capital. disparity globally (Gini index) except in La
emerged as major LICs. Flow of capital. Increased employment at higher wages (OECD This is mainly a rural urban disparity as t
economic powers, Outsourcing of production by has found TNCs pay 40% higher wages than local rural dwellers have not improved.
competing with developed TNCs leading to a change in the firms) has created the multiplier effect in local Deindustrialisation in HICs leading to un
regions of the world global pattern of productions. economies as increased disposable income deprivation and dereliction in inner citie
creates demand for services. Emerging markets money needs to be spent on regeneratio
appear for consumer goods. Higher GDP leads to redevelopment.
infrastructure development and better SOL for Consumerism leads to greater environme
people. Improved education and health leads to degradation.
further development of the country.
TNCs have grown in a The flow of information Job creation leads to the multiplier effect. TNCs can become more powerful than so
number of different resulting from increased Greater access to the larger and wealthier governments and this can be seen as und
industrial and service communications, the flow of markets of the EU (500 million people) and US Creation of ‘core’ and ‘periphery’ both glo
sectors. These are mainly capital and services due to the (300 million people) for TNCs from NEEs results within a country (urban core e.g. Mumba
based in HICs but TNCs development of the global in greater profit returning to NEEs through periphery).
from emerging economies financial market, the flow of economic leakage (links with above).
have also become global products due to transport
powers. innovation.
TNCs outsource to LICs or Cheap labour in LICs and NEEs. Cheaper consumer goods. Greater choice of Repatriation of profits to mainly HICs slo
NEEs Lower environmental products for consumers as production has economy in NEEs and maintains disparit
standards. Lack of trade widened. bottom for wages and environmental st
unions. TNCs gain economies of scale. Competition leads to exploitation of workers, damage to th
to greater innovation so that companies can environment due to weak or non-existe
Globalisation critique: ‘Globalisation brings more positives than negatives worldw
Economic impacts Considering the impacts on a range of countries, to what extent do you agree with t
Environmental impacts
Globalisation impact Explanation (why has this Positives Negatives
happened?)
Some countries have FDI by TNCs, mainly HICs to Globalisation is reducing inequalities BETWEEN Inequalities WITHIN countries show an in
developed rapidly and have NEEs but more recently NEEs to countries through the transfer of capital. disparity globally (Gini index) except in La
emerged as major LICs. Flow of capital. Increased employment at higher wages (OECD This is mainly a rural urban disparity as t
economic powers, Outsourcing of production by has found TNCs pay 40% higher wages than local rural dwellers have not improved.
competing with developed TNCs leading to a change in the firms) has created the multiplier effect in local Deindustrialisation in HICs leading to un
regions of the world global pattern of productions. economies as increased disposable income deprivation and dereliction in inner citie
creates demand for services. Emerging markets money needs to be spent on regeneratio
appear for consumer goods. Higher GDP leads to redevelopment.
infrastructure development and better SOL for Consumerism leads to greater environme
people. Improved education and health leads to degradation.
further development of the country.
TNCs have grown in a The flow of information Job creation leads to the multiplier effect. TNCs can become more powerful than so
number of different resulting from increased Greater access to the larger and wealthier governments and this can be seen as und
industrial and service communications, the flow of markets of the EU (500 million people) and US Creation of ‘core’ and ‘periphery’ both glo
sectors. These are mainly capital and services due to the (300 million people) for TNCs from NEEs results within a country (urban core e.g. Mumba
based in HICs but TNCs development of the global in greater profit returning to NEEs through periphery).
from emerging economies financial market, the flow of economic leakage (links with above).
have also become global products due to transport
powers. innovation.
TNCs outsource to LICs or Cheap labour in LICs and NEEs. Cheaper consumer goods. Greater choice of Repatriation of profits to mainly HICs slo
NEEs Lower environmental products for consumers as production has economy in NEEs and maintains disparit
standards. Lack of trade widened. bottom for wages and environmental st
unions. TNCs gain economies of scale. Competition leads to exploitation of workers, damage to th
to greater innovation so that companies can environment due to weak or non-existe
