What Is 'Globalization'?

Globalization is the spread of products, investment, and technology across national borders and cultures. In economic terms, it describes the loosening of barriers to international trade. ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌ ‌

Term of the Day | Words to Know Globalization Globalization is the spread of products, technology, information, and jobs across national borders and cultures. In economic terms, it describes an interdependence of nations around the globe fostered through free trade. On one hand, globalization has created new jobs and economic growth through the cross-border flow of goods, capital, and labor. On the other hand, this growth and job creation is not distributed evenly across industries or countries. Specific industries in certain countries, such as textile manufacturing in the U.S. or corn farming in Mexico, have suffered severe disruption or outright collapse as a result of increased international competition. Globalization motives are idealistic, as well as opportunistic, but the development of a global free market has benefited large corporations based in the Western world. Its impact remains mixed for workers, cultures, and small businesses around the globe, in both developed and emerging nations. Read More » Related to "Globalization" When Did Globalization Start? The term globalization is complex – raising issues that stem back to the dawn of man – and continue to this day. Read More » A Brief History of International Trade Agreements Since the end of mercantilism, the number of multilateral trade agreements has grown. A trend towards regional trade agreements emerged after the end of World War II. Read More » SPONSORED BY INVESCO How to Build a Bond Ladder Bond laddering is a simple strategy commonly deployed by fixed income investors. Here's how to determine if it's right for you. Learn More » NAFTA's Winners and Losers Here's a look at the winners and losers of NAFTA and what the agreement does or does not accomplish. Read More » Sign Up for 'Chart Advisor' Investopedia's expert analysts present market performance for the day and discuss with in-depth charting and technical analysis, a must read for traders. Subscribe» Related Definitions United Nations The United Nations (UN) is an international organization that aims to increase political and economic cooperation among its member countries. Read More » World Trade Organization The World Trade Organization is an international institution that oversees the rules governing global trade. Read More » North American Free Trade Agreement The North American Free Trade Agreement (NAFTA) was implemented in 1994 to encourage trade between the countries of United States, Mexico, and Canada. Read More » Competitive Advantage Competitive advantage refers to factors that allow a company to produce goods or services better or more cheaply than its rivals. Read More » CONNECT WITH INVESTOPEDIA Email sent to: mondemand.forex@blogger.com To update your newsletter preferences or unsubscribe, click here. 114 West 41st St, floor 8 New York NY 10036 © 2020, Investopedia, LLC, All Rights Reserved | Privacy Policy