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Unlock This CourseGlobalisation and poverty are deeply interconnected in today's world. As countries become more connected through trade, technology and cultural exchange, the effects on poverty levels can be both positive and negative. This complex relationship shapes the lives of billions of people worldwide.
Key Definitions:
Globalisation involves the increasing interconnectedness of countries through:
Poverty remains a significant global challenge:
Globalisation has created both opportunities and challenges in the fight against poverty. Understanding these effects helps us develop better strategies to address global inequality.
Increased trade and investment can boost economic growth in developing countries, creating jobs and raising incomes for some populations.
Access to global knowledge, technology and educational resources can help people develop skills and improve their livelihoods.
Small producers can potentially reach global markets, earning higher prices for their goods than in local markets.
Benefits of globalisation often go to those already with advantages, widening the gap between rich and poor both within and between countries.
When production moves to countries with cheaper labour, workers in higher-wage countries may lose jobs and face poverty.
Increased production can lead to pollution and resource depletion, affecting the livelihoods of people who depend on natural resources.
China provides a dramatic example of how globalisation can reduce poverty. After opening its economy to global trade in the late 1970s:
However, inequality within China has also increased significantly, with urban coastal regions benefiting more than inland rural areas.
Supporters argue that globalisation creates economic opportunities that help reduce poverty:
Critics argue that globalisation often harms vulnerable populations:
Global supply chains connect producers, manufacturers and consumers across countries. These connections have significant implications for poverty.
Modern products often involve materials and labour from many countries:
Each step creates jobs but also presents challenges for workers.
Workers in global supply chains often face difficult conditions:
Improving these conditions is crucial for reducing poverty.
Bangladesh's garment industry shows both benefits and problems of globalisation:
Technology plays a crucial role in globalisation and can both help and hinder poverty reduction efforts.
Mobile phones have transformed life for many poor people by providing access to banking, market information and healthcare advice, even in remote areas.
Robots and AI can eliminate low-skilled jobs that have traditionally helped people escape poverty, creating new challenges for development.
Unequal access to technology means some people and countries benefit from digital opportunities while others are left behind.
Tackling poverty in the context of globalisation requires action at multiple levels:
Effective policies include investing in education and healthcare, providing social protection and ensuring fair taxation of global businesses.
Countries can work together through trade agreements, aid programmes and global initiatives like the UN Sustainable Development Goals.
Consumers can support ethical businesses, donate to effective charities and advocate for policies that promote global justice.
The United Nations' SDGs represent a global effort to address poverty in all its forms:
The relationship between globalisation and poverty is neither simple nor one-directional. Globalisation has helped millions escape poverty while creating new challenges and inequalities. The key question is not whether globalisation is good or bad for the poor, but how we can shape globalisation to create more inclusive and sustainable development.
As you continue your studies in sociology, consider how global economic systems affect different groups in society and what changes might be needed to create a more just world where everyone's basic needs are met.