Globalization feeds developing economies
Matthew Kennard’s recent article, “Global
exploitation must be curbed” (2/18) has more flaws in it than
can be addressed in an entire publication, let alone this letter,
but let me do my best.
Globalization is not a vague concept akin to postmodernism like
he suggests (ignorance of definitions is an easy way to blur the
truth) ““ it means nothing more than the lessening of trade
barriers among countries around the globe. Kennard seems to think
globalization is the corporate world’s way of dominating the
globe, crushing indigenous peoples, and providing liberals with
tears to shed. In fact, globalization is simply the law of
comparative advantage applied to a global market.
Developing countries would have little other than land and
manual labor if it weren’t for the capital and technology
provided by developed countries. So when the two work together (via
globalization), prosperity is achieved for both. The corporations
provide wages and factory jobs (without these there would be no
wages, save what drug peddling and child prostitution could
provide), and in return, they get labor and new markets.
If developing countries are open to such investment by
corporations, more corporations will invest, working conditions
improve and wages will rise, infrastructure will develop and a
once-poverty-stricken nation will embark down the path of
developing a world-class economy.
Without investment by corporations, third-world countries would
either be stuck in the mud or would have to develop on their own
the infrastructure that corporations are eager to provide. Through
globalization, each side can provide what it produces easiest and
reap the greatest benefits available by trading with the other
party.
Chad Hansen Third-year, mathematics