Globalization is a ubiquitous term used which doesn’t have a clear definition. It can be defined and classified in many ways like the term globalization could mean being interconnected with the world and it could also be a phenomenon of the modern world. Over the last few decades the term “globalization” has crawled and crept its way into the world of politicians, students, journalists and economists. It is a very controversial term and disputes occur when the true meaning of the word globalization is being figures out. However, in this essay I will be referring to globalization, its set of processes and how these processes have a negative and positive effect in our contemporary world.

Normally globalization is associated and used only with words such as capitalism, liberalization, internationalism, internationalization and modernization. Perhaps a nice way to start discussing the effects of globalization would be to mention about the occurrence of the word globalization in various social, economical and political events and how it helps to allow all of these events to be interconnected and hence have impacts on the society and people.

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First and foremost it is necessary to bring up some points and reasons that speak in favour of globalization and its positive impacts on the world today. Globalization is a vital aspect of the world development. There is an increase in the number of international transactions. Daily necessities like food and clothing turn out to be cheaper than they were, like 10 to 15 years (Anon 2007). This throws light on the other important terms like expansion and liberalization. Similarly, air traveling nowadays is not only meant for the rich prosperous and high class people but they have facilities to even accommodate the lower class people from all over the world. Today the numbers of passengers flying from one country to another have increased tremendously.

Various forms of communication have revolutionized and people around the world are better connected to each other than before. The World Wide Web and Internet have helped people within the peripheral of the social groups that one would normally have access to, as a result, people can make immediate contact with each other irregardless of their location on earth and irrespective of the borders that lie between them.

Another benefit of globalization is the growth of global culture. The world is becoming more homogenous day by day. Color differences, class differences etc are diminishing gradually. Such transformations can lead to fewer disagreements between nations.

Despite the fact that globalization can have tremendous benefits and provide opportunities but globalization is not only beneficial but it is also considered as a trap for the nations. Economists blame globalization as it leads to industries closing down and loss of jobs due to the global competition. Hence this in turn affects wages and salary of the unskilled workers who are suddenly forced to compete with the inexpensive labor in this developing world today.

The major problem of globalization that is taking place nowadays is terrorist attack. The import and export of weapons, illegal items, traveling networks, and communication systems are the various sources used by the terrorists to attack people, nations and the global economy. The September 11 attack, when the trade centre was attacked by a plane that emerged into the building, is a perfect example and can help create a lucid scenario of the incident and it’s after effects.

Globalization of trade has weakened independence of national governments. It can even bring down economies overnight

The outbreak of SARS is an adequate example to reveal the extent that the negative impacts of globalization can lead to. In the previous times it used to take ages to pass on a message of a flu or virus across the world, but the SARS virus news was spread in a span of 24 hours (Anon.2007). Later on the financial crisis that took place shows how globalization can spill out of control. An electronic financial system transmitted this news so rapidly that it had a disastrous effect more than one could imagine. Hence crisis spread rapidly causing a huge collapse in the economy and instability in the economic sector.

Moreover globalization also deals with various problems that talk about the lack of finance and capital. Various other policies have been brought up by institutions such as IMF, World Bank and WTO. Mostly these policies are always in favour for the richer countries who can dominate them. This way if these policies are brought up in other countries it hinders the ability of the countries to choose their policies that may suit their own development needs.

All these reasons rejuvenate the fact that globalization is neither good neither bad. However, if it is used sensibly and properly it can bring about a lot of benefits but if it is used hastily it can cause lots of serious damages, yet broadens choices, delivers more capital, it lowers costs and opens more markets, giving an individual more power to have a good control and grip over his or her destiny.