Is globalization good for those in developing countries? What is the link between globalization and poverty? What about globalization and democracy? Today in IS210 we watched a documentary in which the narrator argued that more globalization is good for the poor in developing countries. He argued that countries that have (and are) globalizing, such as Taiwan and Vietnam, have become richer, more democratic, and poverty levels have plummeted. On the other hand, countries that haven’t democratized, regardless of whether this is the result of domestic or external policy, have done poorly. They’re less democratic and poorer than they otherwise could be.
Here’s a link to the documentary, and some questions that you may want to think about:
- Has globalization been beneficial or detrimental to Taiwan’s economic development? Explain.
- What role, according to the narrator, do multi-national corporations (MNCs) play in globalization? Should LDCs embrace the arrival of MNCs into their economies? How can the example of Vietnam inform our answers to these questions? Is there a link between MNCs and worker productivity?
- According to the narrator, what was the role of sweatshops in the development of Taiwan’s economy? Were they necessary?
- What is the link between globalization and democracy? What is the process that causes this empirical link?
- What is the reason for Africa’s slow growth, according to the narrator? Which of Collier and Gunning’s [from Chapter 9 of Essential Readings) four categories would apply? How does the situation of Kenya inform our answers to this question?
- What is the eect of developing countries trade policies on economic outcomes in Kenya and in other parts of the developing world?