Does Indian Stand In Terms Of Global Integration Economics Essay

Does Indian Stand In Terms Of Global Integration Economics Essay The worldwide movement towards economic, financial, trade and communications integration. Globalization  implies the opening of local and nationalistic  perspectives  to a broader outlook of an interconnected and interdependent world with  free  transfer  of capital, goods, and  services  across national frontiers. However, it does not include unhindered movement of  labor  and, as suggested by some  economists, may hurt smaller or fragile  economies  if applied indiscriminately. Name for the process of increasing the connectivity and interdependence of the  worlds  markets  and  businesses. This process has speeded up dramatically in the last two decades as technological  advances  make it easier for  people  to travel, communicate, and do  business internationally. Two  major  recent driving forces are advances in telecommunications  infrastructure  and the  rise  of the internet. In general, as  economies  become more connected to other economies, they have increased opportunity but also increased  competition. Thus, as globalization becomes a more and more common feature of  world  economics, powerful pro-globalization and anti-globalization  lobbies  have arisen. The pro-globalization  lobby  argues that globalization  brings  about much increased opportunities for almost everyone, and increased competition is a good thing since it makes  agents  of production more  efficient. The two most prominent pro-globalization  organizations  are the  World Trade Organization  and the World  Economic  Forum. The World  Trade  Organization  is a pan-governmental  entity  (which currently has 144 members) that was  set up  to formulate a set of rules to govern  global  trade  and  capital flows  through the process of member consensus, and to supervise their member countries to  ensure  that the rules are being followed. The World Economic Forum, a  private  foundation, does not have decision-making  power  but enjoys a great  deal  of importance since it has been effective as a powerful  networking  forum for many of the worlds business,  government  and not-profit  leaders. The anti-globalization group argues that certain groups of people who are deprived in  terms  of  resources  are not currently capable of functioning within the increased  competitive  pressure that will be brought about by allowing their economies to be more connected to the rest of the world. Important anti-globalization organizations include environmental groups like Friends of the Earth and Greenpeace;  international  aid organizations like Oxfam;  third world  government  organizations like the G-77; business organizations and trade  unions  whose  competitiveness  is threatened by globalization like the U.S. textiles and  European  farm lobby, as well as the Australian and U.S. trade  union  movements. Impact of Globalization on Developing Countries and India Globalization is the new buzzword that has come to dominate the world since the nineties of the last century with the end of the cold war and the break-up of the former Soviet Union and the global trend towards the rolling ball. The frontiers of the state with increased reliance on the market economy and renewed faith in the private capital and resources, a process of structural adjustment spurred by the studies and influences of the World Bank and other International organizations have started in many of the developing countries. Also Globalization has brought in new opportunities to developing countries. Greater access to developed country markets and technology transfer hold out promise improved productivity and higher living standard. But globalization has also thrown up new challenges like growing inequality across and within nations, volatility in financial market and environmental deteriorations. Another negative aspect of globalization is that a great majority of developing c ountries remain removed from the process. Till the nineties the process of globalization of the Indian economy was constrained by the barriers to trade and investment liberalization of trade, investment and financial flows initiated in the nineties has progressively lowered the barriers to competition and hastened the pace of globalization. Impact on India: India opened up the economy in the early nineties following a major crisis that led by a foreign exchange crunch that dragged the economy close to defaulting on loans. The response was a slew of Domestic and external sector policy measures partly prompted by the immediate needs and partly by the demand of the multilateral organisations. The new policy regime radically pushed forward in favour of amore open and market oriented economy. Major measures initiated as a part of the liberalisation and globalisation strategy in the early nineties included scrapping of the industrial licensing regime, reduction in the number of areas reserved for the public sector, amendment of the monopolies and the restrictive trade practices act, start of the privatisation programme, reduction in tariff rates and change over to market determined exchange rates. Over the years there has been a steady liberalisation of the current account transactions, more and more sectors opened up for foreign direct investments and portfolio investments facilitating entry of foreign investors in telecom, roads, ports, airports, insurance and other major sectors. The Indian tariff rates reduced sharply over the decade from a weighted average of 72.5% in 1991-92 to 24.6 in 1996-97.Though tariff rates went up slowly in the late nineties it touched 35.1% in 2001-02. India is committed to reduced tariff rates. Peak tariff rates are to be reduced to be reduced to the minimum with a peak rate of 20%, in another 2 years most non-tariff barriers have been dismantled by March 2002, including almost all quantitative restrictions. India is Global: The liberalisation of the domestic economy and the increasing integration of India with the global economy have helped step up GDP growth rates, which picked up from 5.6% in 1990-91 to a peak level of 77.8% in 1996-97. Growth rates have slowed down since the country has still bee able to achieve 5-6% growth rate in three of the last six years. Though growth rates has slumped to the lowest level 4.3% in 2002-03 mainly because of the worst droughts in two decades the growth rates are expected to go up close to 70% in 2003-04. A Global comparison shows that India is now the fastest growing just after China. This is major improvement given that India is growth rate in the 1970s was very low at 3% and GDP growth in countries like Brazil, Indonesia, Korea, and Mexico was more than twice that of India. Though Indias average annual growth rate almost doubled in the eighties to 5.9% it was still lower than the growth rate in China, Korea and Indonesia. The pick up in GDP growth has helped improve Indias global position. Consequently Indias position in the global economy has improved from the 8th  position in 1991 to 4th  place in 2001. When GDP is calculated on purchasing power parity basis. Globalisation and Poverty: Globalisation in the form of increased integration though trade and investment is an important reason why much progress has been made in reducing  poverty  and global inequality over recent decades. But it is not the only reason for this often unrecognised progress, good national polices, sound institutions and domestic political stability also matter. Despite this progress, poverty remains one of the most serious international challenges we face up to 1.2 billion of the developing world 4.8 billion people still live in extreme poverty. But the proportion of the world population living in poverty has been steadily declining and since 1980 the absolute number of poor people has stopped rising and appears to have fallen in recent years despite strong population growth in poor countries. If the proportion living in poverty had not fallen since 1987 alone a further 215million people would be living in extreme poverty today. India has to concentrate on five important areas or things to follow to achieve this goal. The areas like technological entrepreneurship, new business openings for small and medium enterprises, importance of quality management, new prospects in rural areas and privatisation of financial institutions. The manufacturing of technology and management of technology are two different significant areas in the country. There will be new prospects in rural India. The growth of Indian economy very much depends upon rural participation in the global race. After implementing the new economic policy the role of villages got its own significance because of its unique outlook and branding methods. For example food processing and packaging are the one of the area where new entrepreneurs can enter into a big way. It may be organised in a collective way with the help of co-operatives to meet the global demand. Understanding the current status of globalisation is necessary for setting course for future. For all nations to reap the full benefits of globalisation it is essential to create a level playing field. President Bushs recent proposal to eliminate all tariffs on all manufactured goods by 2015 will do it. In fact it may exacerbate the prevalent inequalities. According to this proposal, tariffs of 5% or less on all manufactured goods will be eliminated by 2005 and higher than 5% will be lowered to 8%. Starting 2010 the 8% tariffs will be lowered each year until they are eliminated by 2015. GDP Growth rate: The Indian economy is passing through a difficult phase caused by several unfavourable domestic and external developments; Domestic output and Demand conditions were adversely affected by poor performance in agriculture in the past two years. The global economy experienced an overall deceleration and recorded an output growth of 2.4% during the past year growth in real GDP in 2001-02 was 5.4% as per the Economic Survey in 2000-01. The performance in the first quarter of the financial year is5.8% and second quarter is 6.1%. Export and Import: Indias Export and Import in the year 2001-02 was to the extent of 32,572 and 38,362 million respectively. Many Indian companies have started becoming respectable players in the International scene. Agriculture exports account for about 13 to 18% of total annual of annual export of the country. In 2000-01 Agricultural products valued at more than US $ 6million were exported from the country 23% of which was contributed by the marine products alone. Marine products in recent years have emerged as the single largest contributor to the total agricultural export from the country accounting for over one fifth of the total agricultural exports. Cereals (mostly basmati rice and non-basmati rice), oil seeds, tea and coffee are the other prominent products each of which accounts fro nearly 5 to 10% of the countries total agricultural exports. Where does Indian stand in terms of Global Integration? India clearly lags in globalisation. Number of countries has a clear lead among them China, large part of east and far east Asia and Eastern Europe. Lets look at a few indicators how much we lag. Over the past decade FDI flows into India have averaged around 0.5% of GDP against 5% for China 5.5% for Brazil. Whereas FDI inflows into China now exceeds US $ 50 billion annually. It is only US $ 4billion in the case of India Consider global trade Indias share of world merchandise exports increased from .05% to .07% over the pat 20 years. Over the same period Chinas share has tripled to almost 4%. Indias share of global trade is similar to that of the Philippines an economy 6 times smaller according to IMF estimates. India under trades by 70-80% given its size, proximity to markets and labour cost advantages. It is interesting to note the remark made last year by Mr. Bimal Jalan, Governor of RBI. Despite all the talk, we are now where ever close being globalised in terms of any commonly used indicator of globalisation. In fact we are one of the least globalised among the major countries however we look at it. As Amartya Sen and many other have pointed out that India, as a geographical, politico-cultural entity has been interacting with the outside world throughout history and still continues to do so. It has to adapt, assimilate and contribute. This goes without saying even as we move into what is called a globalised world which is distinguished from previous eras from by faster travel and communication, greater trade linkages, denting of political and economic sovereignty and greater acceptance of democracy as a way of life. Consequences: The implications of globalisation for a national economy are many. Globalisation has intensified interdependence and competition between economies in the world market. This is reflected in Interdependence in regard to trading in goods and services and in movement of capital. As a result domestic economic developments are not determined entirely by domestic policies and market conditions. Rather, they are influenced by both domestic and international policies and economic conditions. It is thus clear that a globalising economy, while formulating and evaluating its domestic policy cannot afford to ignore the possible actions and reactions of policies and developments in the rest of the world. This constrained the policy option available to the government which implies loss of policy autonomy to some extent, in decision-making at the national level. Advantages of Globalization It is the advantages of Globalization which act to bring about economic welfare on international levels, thereby benefiting the worldwide population. Mentioned below, are the advantages of Globalization which facilitate the development of world economies immensely: Free movement of capitals offers access to the foreign investments to many countries like the United States of America. The worldwide commercial market becomes so flexible due to the advent of Globalization, that transactions of the international companies are not restricted to geographical borders of the countries. Globalization enhances the flow of capital, permitting the investors to invest on the untapped resources of the developing countries. Globalization of the mass media has reduced the global space substantially, keeping the people informed about all latest international happenings through different television channels. Improvement in global communication networks leads to easy flow of important information not only to individuals but at company levels as well. The democratic thoughts are rapidly spread among countries across the world, owing to Globalization. Globalization stresses on increasing mutual dependence among all the nation-states across the world. Globalization lessens the possibilities of warfare among developed countries to considerable extents. The developed countries display a tendency for working towards protecting their surrounding environments to large extents. Globalization enhances free international trades among countries across the world. The total output levels of a country increase when productions become competition-oriented. This means that to compete with the existing world market, the products must be of best qualities and they also improve the lifestyle of the overall population. Cheap imports and extensive competition on international level keep a check on the prices leading to lower inflation rates, which occasionally interrupt the economic growth and development of a nation. Economic Globalization ushers in the concept of Open Economy, where there is an extensive promotion of technological growth and inventions. This requires new topics and concepts to be imported from abroad. Employments in the export-oriented industries generally pay its employees approximately 15% more than the import-oriented jobs in a country. One of the positive effects of Globalization is the smooth and speedy transportation of people and commodities to different corners of the world. Globalization reduces cultural blockages and differences among nations, by encouraging fellow-feeling and mutual compassion. Disadvantages of Globalization The following general factors may be considered as drawbacks of Globalization: There is significant increase in the flow of skilled and unskilled employment opportunities simultaneously from developed and developing countries across the world. This is due to the fact that the global companies are in search of cheap labors to extract maximum benefit at minimum expenses. The popular reactions of Globalization may be violent in the sense that people are more interested in maintaining the traditions and customs associated with world culture. In such a situation the control of a handful of companies over the global media may restrict expression of culture. A main drawback of Globalization is that it enhances possibilities of unintentional transportation of diseases between countries. Globalization gives birth to money-oriented lifestyles and selfish attitudes, which consider consumption to be a mean to attain overall economic affluence. Globalization increases the possibility of civil war between the developed nations and opens battle between the developing nations for getting hold of the available resources. Globalization tends to reduce environmental honesty, because the corrupt companies make use of the weak authoritarian rules of the developing nations. Escalation in the possibility of economic disturbances in one particular country, affects the economic balance of other nations as well. The commercial power of nation-states increases far more than ordinary individuals and the civil society institutions. With the rapid spread of Globalization, there are chances for international organizations like World Trade Organization (WTO) to violate both national and international sovereignty. Globalization intensifies commercial competition among developed and developing nations in an attempt to improve their respective economic conditions. The existing gap between the rich and poor nations is widened more, with the advent of Globalization. Globalization has made the small commercial sectors to struggle hard for existence and establish their trades. Globalization has increased exploitation of the working class or the labor class of the society. The revenue generated in the host nations is hardly spend in that particular country for uplifting the economic conditions of its population; rather this revenue is spend in other countries across the globe. This weakens national unity and independence, permitting the developed countries to dispatch domestic jobs abroad, in search of cheap labor.   Conclusion: In conclusion, globalization has brought a lot of advantages and disadvantages to us. We know there is nothing perfect in this world; things just have limited strong features and weak features. But the most important point is that people all over the world should try to balance the advantages and the disadvantages of globalization because we are the ones who stay here to make the world a better place. Viper the Anti-plagiarism Report

Is Is a Flat World? Essay

Freidman summarizes the three globalizations that have occurred in the world. The first one in 1492-1800, making the world to a medium size. Second one in 1800 to 2000 making the world to a size small and third one starting in 2000 making the world flat after all these years of developing technology causing to become an integrate and flat world. Freidman’s 10 events and forces starting in Nov. 9, 1989 with Berlin Wall’s falling down mention how the world get flattened so fast. He mentions in these 10 events the Netscape moment offering the dot-com and connecting people in a way never before. This enable Indian engineers which years back when the world wasn’t globalized didn’t had the opportunity to compete in a position with an American to be enlisted for outsourcing. With these events the world suddenly began outsourcing, offshoring, open-sourcing, insourcing, supply-chaining and informing people and connecting them, showing the world a whole new idea: that we are living in a globalize world. The final event he called it â€Å"the steroids† which is the wireless access that enables you to connect with every person you want from anywhere with any device. Which is contrary to what Ghemawat says, â€Å"People are getting more connected but they aren’t connecting† (pg. 58 Ghemawat, 2005). The fact is that people are spending time chatting with family and friends that meeting someone to start a flat world. It is true that not everyone has the access to technology, but is a fact that each day more people get connected and collaborating to this than ever before in history’s life, this is the first step for a globalize world. Americans had become lazier in innovating probably because they never thought that globalization would be knocking in their front doors. â€Å"This is not a test† Freidman says, is already happening and the soonest you prepare for this the soonest you will be part of this flattened world. â€Å"Why the World Isn’t Flat† by Pankaj Ghemawat is just the opposite as everything Freidman tells, making an exaggeration to all this presumption of the world being flat. In the article he states facts proving we are far away from a fully globalized world. He evidences this by stating, â€Å"90% of all phone calls, web traffic and investment is global. † Freidman’s 10 forces seem persuasive but Ghemawat’s The 10 Percent Presumption proved him wrong. In these presumptions it shows that immigration, phone calls, direct investment, and others don’t even exceed the 10% in levels of internationalization across industries. Patents and portfolio investment barely exceeds the 10% and trade hardly beats the 20%. Even with trades being the highest you cannot have a globalize world with that percentage shown. For Ghemawat all of this flat world that Freidman says contains an exaggeration maybe in order to sell books and that we in fact are more cautious and prefer to be in a protectionism world. Although major revolutions as the Internet has improved the way we globally integrate, the barrier where globalization’s principles: language, geography and distance doesn’t matter is still not functioning at all. Russia’s local service Yandex beating up Google because they don’t have the ability to understand the complexities of the Russian language proves that we are not living in a globalize world. He also states that there is a fear of becoming a globalize world as tendency is supporting more protectionism and â€Å"that globalization may be incompatible† While Freidman’s posture is mentioning that a flat world involves everyone around, as a video-conference with the entire supply chain of the company and different employees all at once. You need to leave protectionism and a fear of being globalized and knowing you’re in a flat world when your office has eight different clocks. Ghemawat mentions that people like Friedman are describing globalization, as a world that doesn’t exists. The truth is for Freidman that people don’t know but we are actually living a globalization that is shown by stating a fact that China graduates twice students with bachelor’s degree than US. â€Å"America is falling behind† he says, but the truth is that everyone is falling behind if they don’t realize that the world is becoming more flat and less round. â€Å"The World is Spiky† by Richard Florida mentions that the world is more harrowing and less flat as Freidman says. He refers spiky with a map as the different peaks around the world and how they aren’t constant but significantly diverse that you cannot call it a flat world as Freidman. There had been a growth in countries with the major cities but they are leaving their other cities behind this process of globalization. Florida says this spiky globalization in big countries like China are concentrated their production, innovation in their rural regions leaving the urban outside of this making them have conflicts. Instead of a flatter world is becoming a spiky world with peaks dispersed all around it but in an inconsistent way. Instead of raising spikes, there needs to be valleys to have equality in their peaks for a flat world to come and he’s arguing why Freidman left this gap between the poor and rich behind. Also the article by Matt Taibbi â€Å"Flathead† for the New York Press, says he is not surprised about what Freidman says because he always continues to fail his metaphors in this case the world being flat. Arguing in favor of the exaggerations Ghemawat said about Freidman and the harrowing the world is as Florida. I believe that Freidman exaggerated of the world being flat but also I believe this is just what we need in order to have a motivation and not getting stuck in the laziness and comfort. Maybe this fear of globalization people have, is because they know that they’re living in a globalize world where they can be left behind if they don’t realize the fact that today the world is becoming more flat and less round or spiky.

How to Choose a Career - Free Essay Example

Sample details Pages: 2 Words: 711 Downloads: 3 Date added: 2019/02/05 Category Career Essay Level High school Tags: Career Path Essay Did you like this example? It’s never too early to make a plan ahead, even for a first-year college student like me. As an international student who is studying abroad here in the United States, right now Im really worried about what to do after finishing my Bachelors Degree at a 4 year-university, whether I’m going to apply for job here or continuing to pursue a Master’s degree, or go back to my home country. Thinking about the challenges and opportunity that lying on my career path is just really stressing me out. Don’t waste time! Our writers will create an original "How to Choose a Career" essay for you Create order However, these past fours year studying at a country that has one of the best education systems and participating in a variety of extracurricular activities have led to me to realize what I value the most and what I would see myself doing in the future. Simple as that, in the summer of 2015, when my friends and I decided to hold a barbecue party in our backyard, none of us even knew where to get the meat for the best price with our little amount of student income. At that moment I was the one who volunteered to plan and execute our first and own barbecue party. This event sparked my interest in event planning major, and now it is what I see myself doing in the future. Not only that, through many group projects I have been working on, I realized my ability as keeping things in its place and due on time, which an important trait of an event planner. I’m out-going, flexible, adaptable so either working as a group or an individual, I have confidence in my ability to work everything out. Adaptive is always a must in this field, so traveling doesn’t bother me at all, especially when I love traveling. Also, working in a fast-paced environment is something I prefer since it forces me to get organized and concentrate better, wh ich is something event planning really appeals to me. Doing research led me found out that there are different type of event planner, there are event planner for the former, corporate events and for special events like fundraisers, wedding, etc. I think the career path I’m going to choose needs some flexibility in it since I want to have a family, because of that, working as a part-time event planner or freelancer will be one of my option in the future too. Looking ahead at after the graduation in Montgomery College, I am planning on transferring to Virginia Tech where is said providing such a great program of event planning in the DMV area. Additionally, since Washington DC is the spot where lots of important conferences and big events usually happens, I would like to concentrate on finding an event planning job there. As for right now, I only have a rough idea of where would I like to be and study in a few years, since being an international student limits my options quite a lot. Still, it’s really important to always remain open-minded, and keep seeking new opportunities. The most important thing for me right now is focusing on school work and making good impressions with the professors so I can get a good reference from them. Also as I’m planning on flying back to my home country this summer in order to renew my visa, I have contacted to the Apricot Hotel- one of the most luxury hotel in the Hanoi, interviewing for an internship position as an event planner assistant. If everything going well, then when I come back in the fall, I would have a quite solid experience in my resume. Also, thanks to my professor’s recommendation, I have had in my mind a few companies and organizations I would like to apply for an internship like the Wolf Trap, La Veida, etc. Wolf Trap’s special event planner is the job I am going forward for, as the company has a diversity of engagement, opportunities for advancement and a talented roster of professionals works here. The company even offers many advantages for workers like free performances tickets, discounts, etc. I am planning on applying for the internship position there and making a network that allows me to become an official Special Event Planner there.