Economic globalization refers to the increasing interdependence of world economies as a result of the growing scale of cross-border trade of commodities and services, flow of international capital and wide and rapid spread of technologies.
Think about economic globalization like a giant worldwide web. Just like how every website is connected through links, every country's economy is interconnected with others. If one part of the web shakes (like an economic crisis in one country), it can be felt throughout the entire web.
Trade Liberalization: This refers to the removal or reduction of restrictions or barriers on the free exchange of goods between nations. It includes things like tariffs and quotas.
Foreign Direct Investment (FDI): This is an investment made by a firm or individual in one country into business interests located in another country.
Multinational Corporations (MNCs): These are large companies that operate in several countries. They play a significant role in globalization.
What is economic globalization and what are its characteristics?
What was a common effect of economic globalization during the late twentieth century?
How does understanding commercial growth along the Silk Roads from 1200–1450 assist in explaining economic globalization trends witnessed since late twentieth century?
How do international relations during colonial imperialism parallel with contemporary economic globalization?
Which of the following factors contributed most substantially to economic globalization in the late 20th century?
What characteristic most distinguishes the economic globalization in the 20th century from that of the previous centuries?
Which group has been a primary force driving economic globalization since the late 20th century?
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