A Comprehensive Analysis of Globalization: Factors, Effects, and Economic Agents' Dynamics Across Developing and Developed Economies

12 Pages Posted: 17 Jan 2024

Aritro Chatterjee

Dubai College

Date Written: December 30, 2023

This paper explores various aspects of globalization, from the key factors attributed to its rapid increase in recent years—technological determinants, socioeconomic preferences, and governmental policy—to its effects on key economic agents and stakeholders in developing and developed countries. It also considers the correlation between global economic integration and multinational corporations as well as the associated benefits and detriments of foreign direct investment and multinational corporations for an economy.

Keywords: Globalization, Multinational Corporations, Foreign Direct Investment, Developing Countries, Developed Countries

JEL Classification: F60, F23, E00, E60, F15

Suggested Citation: Suggested Citation

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Globalisation: An Introduction

  • First Online: 04 February 2023

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  • Edoardo Monaco 2  

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The chapter explores the current age of globalisation as only the most recent in a series of inherently similar phases in history marked by intense, technology-driven interconnectedness of economic, political and social affairs unfolding worldwide. Key arguments of both advocates and critics on, above all, the politico-economic factors that led to the ultimate establishment of the dominant neo-liberal order and its institutions are presented, paying particular attention to the rise of the Global South and the impact of the “structural adjustments” that followed the Import Substitution Industrialisation (ISI) strategies adopted in many developing countries upon independence from colonial rule. 

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From the name of the village in New Hampshire, United States of America, where delegates from 44 allied nations gathered to discuss the reconstruction of the global politico-economic post-World War II.

This is not to ignore, of course, that momentous phenomena such as the Covid-19 pandemic and the Ukraine conflict, both ongoing at the time of writing, will not impact significantly on that politico-economic order in ways we can currently only speculate on.

Often referred to as the “Washington Consensus”—from the name of the institutions that composed it, namely the IMF, the World Bank and the United States Department of Treasury all based in Washington DC—which would call for developing countries to “stabilize [the macroeconomic environment], privatize and liberalize”.

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Monaco, E. (2023). Globalisation: An Introduction. In: Global Trends Compendium. Springer, Singapore. https://doi.org/10.1007/978-981-19-9163-9_1

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