How Globalised Is Economic Life?

Is economic globalization a myth or a reality? Have national economies effectively been absorbed into a single global system? On one hand, hyperglobalist present the image of borderless global economy in which the information and products are free flowing. On the other hand, globalisation skeptics point out that economic globalisation is portrayed to mend free market or neoliberal policies. As my blog name suggests my national identity and capitalist perspective, I am an avid supporter of globalisation. 

Institutions

A lot has changed after the introduction of Bretten Woods System. Global organisations like World Bank, IMF, European Union, Shanghai Cooperation Oraganisation and ASEAN has emerged. The decision taken by these global institutions affect its members as well as observer countries. Almost all countries in this world are members of the World Trade Organisation. The emergence of this organisations is the lesson learned from World War I and II. Free flow of information has led to revolutionary change in policy making. War, Terrorism and poverty has become a global issue. The world of finance is inter-dependent to global financial markets. Decisions taken by Wall Street make or break Asian markets. Emerging economies are the most benefitted by the globalised financial system but the poorer nations are left out. Third World economies like Zimbabwe are struggling with bizarre exchange rates. As technology gets superior, we might soon see the golden age in global institutions.

Travel

People of today are global citizens. People and goods are on the constant move. Two things have made this possible; an airplane and the shipping containers. With the success of Beoing 747 in the early 1920s, mass rapid transport had become a reality. Now Singapore is just a 7 hour ride away. It used to take a whole day by ship. With the introduction of massive planes, flight tickets got cheaper and today any middle class income person could afford international travel. Even at this moment, around 3 million people are traveling in the skies. Car has brought a cheerful impact to middle class families. Nearly 10 million families travel every day by their cars. Tourism and Hospitality has become one of the best industry in this global age. Another pioneer of travel is the Shipping container. Goods are made in emerging economies like China and India and are shipped all over the world. China ships electronic items and Plastics while Middle East ships oil. The inter-dependency issue of the globe has been resolved. The world has come closer.

Transnational Human Resource

What makes a nation rich or poor? Natural Resources, Population and Political will power. The rich countries like US, EU, Japan and Middle East are less populated than the poor Asian and African countries. Lack of opportunities in home countries make transnational migration possible. 'The Haves' have in plenty so that they could share with the 'have-nots'. With the introduction of ICT, the nation with the most skilled labour would excel in the superpower race. Today, China has the most skilled labour force when it comes to manufacturing. But when it comes to services, India is an IT Superpower.

Transnational Corporations

Transnational Corporation (TNC) is the company which operate all over the world. McDonalds, Pizza Hut, WalMart, Nike are some examples of TNC. The Internet is the largest TNC ever made. A website as a service can be accessed all over the world without any restrictions. Google, Facebook, Youtube, Twitter are among the most successful TNCs. TNCs play a pivotal role in exporting culture. Skeptics of internet accuse these TNCs of imposing westernisation. Organisations like ISIS, Al Qaeda, BBC, US Defense can be called TNCs as they have international operations. The hype of global living has paid off. Burger King and Haldirams are easily accepted by global consumers. TNCs are no less than a country. TNCs do not follow any specific laws and have local as well as international political influences. FDI are the major part of the economy and the country which highest foreign investments is likely to succeed in this global economic life.

- Chaitanya Kulkarni ( twitter.com/chai2kul ) 

This blog post is inspired by the blogging marathon hosted on IndiBlogger for the launch of the #Fantastico Zica from Tata Motors. You can apply for a test drive of the hatchback Zica today.