Evangelista, Dianne Kimberly E.

BSTM 1Y

1. Globalization refers to the international interaction among people, companies, and

governments of different countries through the exchanging of ideas, products, and
cultural practices. Globalization is enhanced by the trading partnerships between different
countries, as well as the use of the internet and mobile phones.

2. History of Globalization

While globalization is often referred to as a contemporary or modern phenomenon, globalization

can be studied from a historical perspective, by using the historical record spanning many
centuries or millennia. A historical analysis of globalization, its origins, growth and implications,
can provide a more comprehensive look, and better understanding of the concept and discussion
surrounding globalization.

Given the increasing amount of literature on globalization and its numerous interpretations,
many scholars agree that presently it is even more important to understand the historical context
of globalization. Much of the literature provided discusses how the global economy of the 21st
century is built upon the foundation and expansion of world commerce and trade established
many centuries ago.

This section presents literature that examines the historical aspects of globalization by looking at
its origins, the history of international economics and trade, and the history of international
finance, exchange and global markets. It is the intention of this section to provide a compilation
of material that presents a historical and comprehensive analysis of the discussion of
globalization.

3. The three components.

Economic globalization is measured by the actual flows of trade, foreign direct investment and
portfolio investment, as well as the restrictions applying to these flows.

Social globalization is expressed as the spread of ideas, information, images and people.

Political globalization is characterized by the degree of political cooperation. It is measured by

the number of embassies, membership of international organizations, participation in UN
Security Council missions, and number of international treaties signed.
4. Globalization is good because it provides the world with more efficient markets,
increases competition leading to better goods, generates wealth in all parts of the world
and builds and stabilizes security. Also, Globalization allows countries to benefit from
economic synergy and collaborate in handling political, social and economic challenges.