The Downside of Globalization

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Salma Al-Sayyad

900 04 1112

ECLT 102-30

Essay #2

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The Downside of Globalization

As the fuzzy state of world economy continuous, the debate over globalization becomes more extreme. With enthusiastic supporters counting its virtues on one side and equally enthusiastic critics on the other. Edwin Locke stands in the supporter's side. In his article “Anti-Globalization: The Left’s Violent Assault on Global Prosperity”  Locke praises globalization and presents it as the best choice. He seems willfully blind to the damages globalization can lead to. He refuses all the arguments pointed out by the anti-globalization protestors and calls them nihilists. However, Even if some of the protestor's arguments are somehow removed from the reality, they offered some points that need full attention. Locke's arguments shows only one side of the truth which is not enough to draw a general conclusion about globalization. He conceals the downsides of globalization by using logical fallacies trying to make globalization seem better than what it really is.

Locke starts by pointing to globalization as a model that brings prosperity to all those involved. He says " every country becomes more prosperous the more it invests in producing and exporting what it does best (in terms of quality, cost, uniqueness, etc.), and importing goods and services that other countries can produce more efficiently"(Locke). At first glance, the logic underlying this claim seems intuitively convincing. But, it leaves out some important facts, The free trade model involves outsourcing; big firms, seeking to decrease production costs, which is the same goal Locke praises, migrate its jobs overseas to those countries where they can find low cost labor. The jobs created in one country go to another leaving those inside the rich country jobless. It is true that getting to buy cheaper T-shirts is a good thing. But only if one still has his job which provides him enough money to buy the shirt. Up till now, Most of the job migration happens in the manufacturer sector and low level jobs where people earn just enough livings and have no other skills to replace their lost jobs. Globalization might bring prosperity but the question is prosperity for whom? It offers opportunities but it also has a big ugly side.  

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Data affirm this ugly side "The Mckinsey Global Institute estimates that the volume of offshore outsourcing will increase by 30 to 40 percent a year for the next five years. Forrester Research estimates that 3.3 million white collar jobs will move overseas by 2015". (Drezner). IBM's announcement  that it plans to outsource 3,000 jobs overseas this year (Drezner) seems to be just the start to shifting jobs offshore not only in the manufacturer sector but also in hi-tech competitive ones. The model this is leading too is astonishing. People in rich countries will be competing for only a few ...

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