Advantages and Disadvantages of Globalization (Essay Sample)

Economics
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Introduction
Examining the statement “the effect of openness is growth at best, very tenuous and at the worst doubtful" highlights the reality of the advantages of globalization in the 21st century. Globalization opens up economies to many possibilities in terms of collaboration. Social and economic analysts debate the connection between financial performance and trade policy. Some controversies still exist to date, with liberal economists citing a free trade partnership with other countries hastens the economy's growth. However, they also argue that protectionism helps the local economy thrive, enabling the rhetoric to spread and fight against globalization. Liberal economists Jeffry Sachs and Timothy Warner agree that trade liberalization opens up the economy to globalization. This also helps the economy compete effectively in the international market forcing the government to take appropriate action on the issues they want to resolve. There should be a realistic view of the economic leanings of the economy, which are positive results due to the integration of the process.
Importance of globalization
The two opposing theories on the performance of economies always highlight either the protectionist approach to trade or liberalization. The latter has benefited many economies since open trade allows economies to thrive under the global economy. When an economy is opened up, the innovation ability of the economy rises since investors and other innovators are invited into the economy. In addition, the policies on the investments are meant to benefit the economy by opening up new opportunities and avenues to invest (Sachs & Warner 1995). The reality of the present globalization is the need to cooperate with neighbors