GLOBALISATION,is it true the rich will get richer n the poor will get poorer?

Answer 1

The old adage is a bit of a truism, but not due to any particular consiracy or policy. The rich tend to have relatively few children, and often leave the bulk of an estate to a single hier, thus concentrating wealth over generations - they are constantly getting richer, until some foolish hier loses it all, anyway. The poor, OTOH, tend to have many children, so the poor population expands, while thier claim on resources doesn't - making them 'poorer.'

With Globalization, however, you're not talking about rich and poor families, but rich and poor nations. If you have free trade between a rich nation and a poor nation, absent any governmental corruption, job creation and investment will flow to the poor nation, elevating the lot of it's people, while jobs will be 'lost' in the rich nation. Exchange rates between the two nations will slowly aproach purchasing power parity, and the poor nation will have become richer, while the rich nation will be poorer only by comparison. The wealthiest individuals in the rich nation, however, will benefit, while the poorer individuals in the rich nation likely will not - the reverse may well be true in the poor nation, where the poor will have many new oportunities, while the comparatively rich will have to compete with foriegn investment.

Answer 2

I define globalisation as the free movement of money, technology, labour, resources, etc.

I do not believe the poor will get poorer. Free movement of labour means that skilled labour can move to areas where their skills are more handsomely rewarded, i.e a scientist moving from Vietnam to USA.

Free movement of money means that a richer nation, such as Japan can invest in a poorer nation such as Bangladesh and create jobs there.

It may seem unfair to certain nations when jobs are relocated across the globe due to cheaper expenses, e.g. relocating a car manufacturing firm from USA to China. But we have to see if it benefits the human race as a whole.

This topic is too broad to be discussed here but I would like to think that globalisation would provided a more even playing field for all nations in the long run as we make the best advantage of the earth's resources.

Answer 3

This has always been true! My Mom and Dad always paraphrase.... when the Republicans are in office, the rich get richer and the poor get poorer.

Answer 4

Globalization benefits the poorest in the world. At the moment the richest parts of the world have high tariffs to give domestic industries an unfair advantage in the marketplace. If the West allowed poorer countries to compete with our industries, especially agriculture, they might actually be able to pull themselves out of dire poverty. As it is, we give those countries aid and their corrupt governments waste it. As it is, we forgive third-world debt, which doesn't help the people dying every day of starvation and disease. They need long-term solutions, like jobs. I fully support globalization because, as an American, I don't think I deserve an unfair advantage in the market.

Answer 5

According to what I am reading and hearing, the answer is yes. The bargain is driven by the larger richer nations and businesses for pure profit motive and nothing else. Everything else can go down the tubes for all they care.

Answer 6

Globalization? That theory appears to be working so far. It has really been moving forward in the past six years - those pockets are duly lined and mine are thinner than ever - wait!! - yep that's a big hole in my little pocket and right behind me there is a big machine sucking that money up!!

Answer 7

It is true, when people talk a big game and do nothing about it.
Instead of making the rich richer, why not quit paying them to do so.

Answer 8

No.

Economically a rising tide raises all ships. If we increase trade with a poor country, more of the people are working and buying; and thus everyone prospers.

Answer 9

No or else places like India, China, Brazil and others would not be expanding at extraordinary rates.

Answer 10

Excellence brings forth riches. Mediocrity begats poverty!