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Globalization, also globalisation, refers to a process of increasing integration between units around the world, including nation-states, households/individuals corporations and other organizations. It is an umbrella term, covering economic, trade, social, technological, cultural and political aspects, and is the opposite of protectionism. Theodore Levitt is usually credited with globalization's first use in an economic context.

Globalization has various aspects which affect the world in several different ways:






industrial globalization (alias trans nationalization) - emergence of worldwide production markets and broader access to a range of goods for consumers and companies
financial globalization - emergence of worldwide financial markets and better access to external financing for corporate, national and subnational borrowers
political globalization - spread of political sphere of interests to the regions and countries outside the neighborhood of political (state and non-state) actors and the potential formation of a global citizens movement
informational globalization - increase in information flows between geographically remote locations
cultural globalization - growth of cross-cultural contacts
globalism - connection between cultures, nations, and people, it embodies cultural diffusion, the desire to consume and enjoy foreign products and ideas, adopt new technology and practices, and participate in a "world culture". It is a universal, internationalist impulse that the world is connected.
globalist - someone who agrees with the process of globalization.
Positive and negative effects

The term "globalization" is used to refer to these collective changes as a process, or else as the cause of turbulent change.


Economically, socially and ecologically positive: As an engine of commerce; one which brings an increased standard of living, literacy and health to Third World countries (most particularly women and children, through improvements in child mortality, access to clean water and education) and further wealth to First World countries.

Economically, socially, politically, and ecologically negative: As an engine of "corporate imperialism;" one which has no connection to local standards of human rights in developing societies. Negative effects include cultural assimilation via so-called cultural imperialism, the export of artificial wants, and the destruction or inhibition of what is currently determined to be the "authentic" local and global community, ecology and cultures.
It is often argued that even terrorism has undergone globalization, with attacks in foreign countries that have no direct relation with the attackers' own country.[3][4]

Since World War II, barriers to international trade have been considerably lowered through international agreements - General Agreement on Tariffs and Trade (GATT). Particular initiatives carried out as a result of GATT and the World Trade Organisation (WTO), for which GATT is the foundation, have included:


Promotion of free trade

Reduction or elimination of tariffs; construction of free trade zones with small or no tariffs
Reduced transportation costs, especially from development of containerization for ocean shipping.
Reduction or elimination of capital controls
Reduction, elimination, or harmonization of subsidies for local businesses
Intellectual property restrictions

Harmonization of intellectual property laws across the majority of nations, with more restrictions.
Supranational recognition of intellectual property restrictions (e.g. patents granted by China would be recognized in the United States)