Beneath globalization's seemingly positive effects of international trade and integrated markets lie worrying issues. Centralized authoritative bodies, suppression of local economies, and the exploitation of foreign labor are just some of the problems accompanying a more globalized world.
As economies grow more interconnected, further regulation of trade andbusiness becomes necessary. More powerful nations, however, are often quick to seizeupon this by establishing central trade commissions and all-encompassing laws, leadingto smaller countries having less autonomy to make their own decisions regarding howmoney, labor, and products flow through their economies.
In addition to drawing power away from developing countries, globalization alsostifles their local economies. The rising desirability of certain products grantscorporations that create them greater financial leverage to purchase land and materialsin poorer countries. By doing so, corporations appropriate valuable local resources forforeign markets that could be better used for local consumption.
Even more concerning is the treatment of foreign labor. Manufacturing is oftenoutsourced to poorer countries to slash costs, which, some argue, provides jobs forlow-income communities. In reality, this fosters an unhealthy reliance on largecompanies, which are then free to exploit local labor—including children—with lowwages and poor conditions.
From the perspective of developing countries, it is clear the problems arisingfrom one-sided regulatory pressure, monopolization of smaller economies, and theabuse of poor, vulnerable workers are aspects of globalization that, if ignored, will only continue to worsen.