Political Science

The economic order of the world has been radically transformed by the coming of the age of globalization. This globalization is the transforming of local and national economies into global or international ones through different measures that include opening up of international borders to allow for the free, unrestricted movement of goods and people, free movement of technology, and even the exchange of culture (Held 92). The most notable features in globalization are therefore trade, technology, labor (people), and culture. Every nation is striving to ensure that it is not left behind in getting the benefits that come with globalization. All over the world, every countrys government has been affected in one way or another by the impacts of globalization, and it has become a generally acceptable fact that while many benefits have been associated with it, globalization has not been without negative consequences (Rodrik 31).

Over time, the desire for nations to have limitations in their trade relations with other countries lifted has existed, leading to the creation and formation of various trading blocs around the world which were aimed at ensuring these barriers to trade, such as customs duty and import and export duties were done away with (Wade  Wolf 5). Other measures were consequently instituted to ensure that there was more freedom not only in movement of goods across international borders but also that the flow of other factors of production like labor and capital could be eased. This paper critically discusses the various facets of globalization, with a view to bringing to the fore the different impacts it has had on people and economies all around the world.

The Beneficiaries of Globalization
In order to understand how globalization affects people and economies around the world, it is critical to first of all have an understanding of the different forms that it takes. Globalization usually entails the integration of smaller economies  usually local andor national - into global ones (Rodrik 26). The entire process affects areas of direct investments, trade, migration, and the flow of capital and people across these territorial borders (Waters 110). This point to a case where different aspects of the economy are affected, and depending on the specific ones, some will benefit people while others will cause losses. While it is a very difficult task to pinpoint who the beneficiaries of globalization are it remains an undeniable fact that, globalization brings about both benefits  making some to gain  as well as losses (Bhagwati 106).

The first beneficiaries of globalization are the firms which are easily able to get access to resources needed in their production process. The main gain that firms are able to get is in the cheap labor costs abroad (Rodrik 22). The firms, most of which have been forced to pay huge bills and wages and salaries in addition to meeting other requirements in their home countries such as minimum wage and sometimes import and export quotas, become great beneficiaries of the free flow of capital and labor, which are both very critical to their production. By outsourcing their production to overseas nations, usually in the developing world, firms - especially those in the West - have been able to benefit greatly (Wade  Wolf 1).

The other beneficiaries are the people in developing nations who, otherwise faced with crises of unemployment, get the chance to work in the foreign-owned firms located in their vicinity. They get a chance to earn and live a decent life (Wolf 17). Developing countries also tend to benefit from the free flow of technology, enabling them to get access to some of the newest and most relevant technology which would otherwise be impossible to get. This technology has helped spur economic growth (Wolf 17). Finally, nations with a big population or economy such as China and the US, or those which belong to powerful trading blocs like the EU, reap many benefits from globalization because while having and maintaining their bargaining power, they are able to get better trading bargains and sell their products much more easily and at better prices than the poorer nations andor those that operate independently and have smaller economies (Wade  Wolf 1).

The Losers
Globalization never favors local, emerging industries especially in the developing nations which become faced with the stiffest of competition from other, usually better established firms from other countries (Wade  Wolf 11). These come in the pretext of investing locally and hiring locals but the overall effect to local firms is that they are sooner or later competed out of business. Such firms usually utilize the cheap labor and the absence of restrictions to investments to reap great benefits at the expense of the local firms. The other losers due to globalization are the nations whose people, especially those who are better skilled and well trained, leave their country and take up jobs elsewhere (Rodrik 19). There results the huge problem of brain drain as the home country is left with people who lack the necessary skills to spur economic development. Consequently, the local economies suffer greatly.

The other losers are governments which are unable to deal with the influx of people seeking jobs and the threat to local jobs (Wolf 25). That aside, governments lose a lot of revenue in taxes and duties not levied, and it suffers from the economic strain that results. Cultural erosion is also a problem associated with globalization because with the coming of new people also comes a new culture. Developing nations again lose greatly from globalization because it creates a clash between social interests at home and the forces that come with an open and free system. The main area where this happens is in the determination of the point at which protection of local interests from adverse competition ought to be placed (Stiglitz 32). This issue has dominated debate of the WTO for a long time now but in spite of efforts to lift barriers and enhance free trade, developed nations have remained adamant and ensured restrictions still existed, while they want to dump their products in developing nations where such restrictions are not present (Spero 2).

Conclusion
Globalization is the endless process that involves the integration of local and national economies into international ones through various avenues like trade, foreign investment, technology, capital flow, and labor movement. It has advantages and disadvantages, meaning that it comes with losses as well as benefits. The benefits usually come to those countries that are more established and with larger and stable economies, while losses go to the less developed and poorer nations which are still grappling with issues of economic development and their industries are still in the infantry stage. The most affected areas are cultural and brain drain, the economy, and trade. The beneficiaries have been able to get cheap labor from developing nations, where it comes without many restrictions. Technology has also benefited many nations around the world and given them a chance to develop.