Table of Contents 2
Table of Contents 2
Definitions 3
Definitions 3
Definition AMS 3
Statistics Demonstrating Economic Globalization AMS 3
Topic Analysis One 5
Topic Analysis One 5
Topic Analysis Two 14
Topic Analysis Two 14
Pro Evidence 25
Pro Evidence 25
Success in the Reduction of Poverty 26
Extraordinary Success in Global Poverty Reduction AMS 26
Poverty Reduction in India, Columbia, Zambia, Mexico, and Ethiopia AMS 27
Poverty Reduction Millennium Goals Achieved AMS 27
Poverty Reduction Across all Regions AMS 28
Growth in Developing Countries Since Rise of Economic Globalization AMS 28
Even the poorest in society are better off, Fj 30
Reversing Globalization will not help, Fj 31
Globalization Reduces Inflation 32
Correlation between globalization increasing and inflation falling, Fj 32
Efficient Firms have Lower Prices, Fj 32
Increasing output decreases inflation, Fj 33
This also applies to emerging economies, Fj 33
Globalization changes the goals of central banks, Fj 34
Globalization has had a strong effect on reducing inflation, Fj 34
Domestic Prices Become Less Volatile, Fj 35
Globalization reduces inflation by reducing producer prices, Fj 35
Globalization reduces inflation by increasing labor productivity, Fj 35
Globalization has been especially important in reducing inflation in manufacturing, Fj 36
Further globalization will continue to decrease inflation, Fj 36
Globalization reduced inflation in the United Kingdom, Fj 36
Globalization reduced inflation in Europe, Fj 36
Globalization reduced inflation in the United States, Fj 37
Developing Countries Benefit from Global Economic Engagement 38
Poorer Countries Achieve Success through Global Economic Expansion AMS 38
Developing Countries that Participate in Global Market Succeed AMS 39
Global Trade Liberalization and the Developing Countries. PSM 40
The effect on Poverty with Agreement on Agricultural Global Trade. PSM 41
Poverty and Social Analysis of Trade Agreements. PSM 43
Case study: Mauritius and resource-scarce coastal Africa. DAT 44
Globalization Reduces Global Inequality Overall 45
Global Inequality Reduced AMS 45
Income inequality Growth is an Exaggeration AMS 45
No Overall Increase in Global Inequality AMS 46
Globalization increases equality of opportunity 48
The presence of multinational firms increases equality of opportunity. DAT 48
Trade liberalization gives small businesses a competitive advantage against large ones. DAT 50
Benefits of Economic Globalization for Developing Countries 51
Globalization Improves Access to Necessary Materials AMS 51
The correlation between economic growth and globalization. DAT 52
Trade Liberalization in China. PSM 53
Statistically linking trade with economic growth. DAT 54
Examples of How Nations Benefit from Economic Globalization 55
Nigeria is not a Victim of Economic Globalization AMS 55
Nigeria Would Benefit from Further Economic Globalization AMS 56
Economic Globalization and its Impact on Poverty: Case Study Pakistan. PSM 56
Trade Liberalization and Poverty Reduction: Evidence from Indian States. PSM 57
Trade Liberalization and Poverty in India. PSM 58
Trade Liberalization and Poverty Reduction in Sub-Saharan Africa. PSM 59
Trade Liberalization and Poverty Alleviation in Nigeria. PSM 60
Trade Liberalization in Ghana. PSM 61
Trade Liberalization in Indian States. PSM 62
Poverty Alleviation in Nigeria with Trade Liberalization. PSM 63
Trade Liberalizing Financing in Ghana. PSM 64
Poverty Reduction in Least Developed Countries. PSM 65
Benefits of Free Trade 66
Key Benefits of Free Trade in Globalization AMS 66
Free Trade Fosters Economic Freedom AMS 67
Sub-Saharan Africa Would Benefit from Greater Economic Freedom AMS 68
Developing Countries Benefit from Freer Trade AMS 69
Potential for Free Trade in Reducing Poverty AMS 69
Trade between developing countries insulates their growth from global downturns. DAT 70
Developing Countries Integrate into Global Supply Chains AMS 71
Impact of Trade Liberalization on Food Security and Poverty. PSM 72
Trading Up: Impact of Trade Liberalization on Poverty. PSM 73
Trade Liberalization in Developing Countries. PSM 73
Trade Liberalization and Poverty: The Link. PSM 74
International Trade and Poverty Alleviation. PSM 75
Multilateral Trade Liberalization and Trade Reduction. PSM 76
Trade liberalization and Poverty Reduction. PSM 77
Trade Liberalization and the Poor. PSM 78
Market Opportunities with Trade Liberalization. PSM 79
Largest Gains from Trade Liberalization. PSM 80
Free Labor Laws Benefit Developing Countries 81
How Migration Benefits Developing Countries AMS 81
Key to Capitalizing on Migration Benefits AMS 82
Technology Globalization Helps Developing Countries 83
New Technology Lowers Entry Barriers AMS 83
Small Business Growth is Crucial for Developing Countries AMS 84
Opportunities of Biotechnology AMS 84
Growth Potential in Agriculture AMS 85
New Technology Allows Agriculture in Dryer Areas AMS 86
Linking Globalization to Modern Farm Technology AMS 86
New technology benefits skilled workers and local firms. DAT 87
The Impacts of Global Investment on Economic Growth 88
Linking economic growth to poverty reduction. DAT 88
Foreign direct investment has been a primary driver of economic growth. DAT 89
International investment as a means of job creation. DAT 90
Globalization Reduces War 92
Economic interdependence makes war an unattractive option, Fj 92
Polachek and Seiglie study, Fj 93
Economic connections are stronger than shared political ideologies, Fj 93
Globalization Reduces Civil War 94
Promoting Development, Fj 94
Reducing Income Inequality, Fj 94
Reducing State Control Over The Economy, Fj 95
Increasing Communication And Information Flows, Fj 95
Reducing Export of Primary Products, Fj 95
Increasing the Size of Security Forces, Fj 96
Generating Economic Benefits, Fj 96
Con Evidence 97
Con Evidence 97
Developed Countries Shape Trade Policy to their Own Advantage 98
Trade Policies are Dominated by Developed Countries AMS 98
Trade Liberalization and Evidence of Negative Effects on Poor. PSM 98
International investment in developing countries favors large multinationals over locals. DAT 99
International trade liberalization prescriptions cut safety nets in developing countries. DAT 101
Multinational companies often take advantage of poorer countries, Fj 103
Economic Globalization Increases Inequality 104
Mind the Gap: Economic Globalization Widens the Global Inequality Gap AMS 104
Trade Deficits for Developing Countries Grow AMS 104
The Critics Agree AMS 105
Wealth Generated by Economic Globalization Does Not Trickle Down AMS 106
Economic growth in developing nations grows inequality, too. DAT 106
Some stats on inequality, Fj 107
The impact of globalization on inequality. DAT 108
Linking Inequality and Hindrances to Poverty Reduction 109
Developing countries cannot leverage economic growth from globalization effectively. DAT 109
Trading Off the Poor. PSM 110
Trade Liberalization and Adversely Affects on Poverty. PSM 111
Liberalizing international finance cuts off fiscal choice for the poor. DAT 111
Economic Globalization Reduces Security 113
Financial Uncertainty for Developing Countries AMS 113
China is the chief thief of U.S. intellectual property FJ 114
Chinese dumping hurts American businesses FJ 115
China is clearly guilty of dumping FJ 117
Economically Unhealthy Dependence AMS 118
Developing Countries Hurt Deepest by Global Economic Crises AMS 119
Most developing countries are commodity-dependent, which fluctuate in the global market. DAT 119
Problems with Financial Globalization for Developing Countries: Instability AMS 121
Case study: Sub-Saharan Africa is economically vulnerable to international markets. DAT 121
Import reliance threw Sub-Saharan Africa into economic freefall. DAT 122
Developing economies are the most susceptible to trade shocks. DAT 123
Economic Globalization Hinders Other Necessary Means of Globalization 124
Globalization of Labor Standards, Environmental Protection, Etc. Neglected AMS 124
Key Resources Damaged AMS 125
Misguided Intervention AMS 126
One Size Fits All Approach Fails AMS 127
Environmental Problems with Economic Globalization AMS 128
Investment on a national level to leverage the global economy hurts the poor. DAT 129
Trade Liberalization is Not a Panacea for Poverty. PSM 130
False Premises of Trade Liberalization. PSM 131
Globalization has hindered education in Africa. DAT 132
Examples of Developing Countries Hurt by Economic Globalization 133
Failure to Reduce Poverty in Nigeria AMS 133
Devastating Effects of Trade Liberalization in Zambia and Ghana AMS 134
Trade Liberalization and Lagging Regions in Asia. PSM 134
Globalization created instability in Thailand and Indonesia, Fj 135
Chinese Economic Involvement in Africa Hurts African Countries 136
Toxic Relationship AMS 136
Trade with China Hurts African Business AMS 137
Chinese Hinder African Countries from Reaching Economic Potential AMS 137
Dutch Disease 139
Dutch Disease can appreciate the real exchange rate, Fj 139
Commodity rich countries that trade extensively are often doomed, Fj 140
Link between globalization and Dutch Disease, Fj 141
Oil 142
Oil Exporting Countries are vulnerable to Dutch Disease, Fj 144
Oil Exporting Countries are already experiencing Dutch Disease, Fj 144
Globalization Measures Hurt Developing Countries 145
Structural Adjustment Programs Hurt Developing Countries AMS 145
Developing countries are increasingly capable of dealing with poverty locally. DAT 145
Reliance on global trade is a vulnerability for developing countries. DAT 146
Developing countries cannot regain import tariff revenue. DAT 147
The influx of international money and power saps African nations’ governing ability. DAT 149
Globalization has fueled rampant migration in developing countries: Brazil case study. DAT 151
Export Oriented Agriculture Shift Creates Poverty 152
Export Oriented Agriculture Shift Hurts Developing Countries, Creates Poverty AMS 152
International investment has abandoned agriculture and, in turn, the rural poor. DAT 154
Case study: Ethiopia’s agricultural trade liberalization harmed export-oriented farmers. DAT 155
Problems with Debt Relief 156
Charity or Debt Relief Fails to Reduce Poverty AMS 156
Aid Backfires AMS 156
Outsourcing and Inequality in Developing Nations 157
When foreign multinationals hire local labor, the poor do not see benefits. DAT 157
Globalization has unpaired high and low-skilled workers in developing countries. DAT 158
Low-skilled workers are excluded from the global economy. DAT 159
Developing countries outside Asia have missed the boat on benefitting from globalization. DAT 159
Globalization Increases the Likelihood of Civil War 161
Promoting Underdevelopment, Fj 161
Raising Income Inequality, Fj 161
Reducing State Control of The Economy, Fj 162
Increasing Communication and Information Flows, Fj 162
Promoting Export of Primary Products, Fj 163
Stimulating Alliances Between Rebels and Organized Crime, Fj 163
Generating Unequal Economic Benefits, Fj 163
Pro Counters 165
Pro Counters 165
African Businesses Not Dependent on Aid 166
African Businesses Not Dependent on the Eurozone AMS 166
The problem with how Income inequality Studies Measure Income 167
Income Inequality is Decreasing Overall AMS 167
Studies Fail to Account for Geographic Differences AMS 168
World Income Inequality Stabilized AMS 168
Importance of Seeing the Big Picture AMS 171
China Isn’t Responsible for Global Poverty Reduction 172
While China’s growth accounted for heavy global growth, other regions mirrored it. DAT 172
Looking forward, China will be a nonfactor in global poverty reduction. DAT 173
Foreign Direct Investment (FDI) Benefits Developing Countries 174
Increased FDI Benefits Developing Countries AMS 174
FDI can step in where local institutions fail. DAT 175
FDI doesn’t increase inequality over the long term. DAT 176
FDI is key to technology globalization (see corresponding Pro Evidence topic). DAT 177
Economic Globalization is Beneficial in the Long Term 178
Indirect Impacts of Financial Globalization AMS 178
Globalization not to blame for Africa’s current economic situation, Fj 179
Dutch Disease Is Not Impactful 180
Dutch Disease rarely happens, Fj 180
Globalization Not to Blame for Poverty 181
Too Many Other Factors to Blame Globalization AMS 181
Domestic institutions bear the blame for globalization’s failures, Fj 182
Not all nations are set up to benefit from globalization. DAT 184
While frequent, increasing poverty is still an exception to the rule. DAT 185
One explanation for Africa’s economic lag: financial outflow. DAT 186
The poverty impact of capital flight in Africa. DAT 186
In many African nations, stagnation is due to misallocated internal resources. DAT 187
Globalization needs to be coupled with sensible domestic policy. DAT 188
Globalization Does Not Promote Economic Inequality 189
There is no empirical causative link between globalization and inequality. DAT 189
A summary of findings on inequality. DAT 189
Trade Liberalization Doesn’t Decrease States’ Revenue 191
Case study: Sub-Saharan African nations make more tax revenue after trade liberalization. DAT 191
Globalization and Environmental Protection 192
Globalization has not led to any environmental opportunism. DAT 192
Con Counters 193
Con Counters 193
Figures Showing Poverty Reduction are Inaccurate 194
Reduction in Poverty can be Only Attributed to China’s Economic Growth AMS 194
Problems with Surveys of Income and Expenditure AMS 195
Problems with Poverty Line Calculation AMS 196
A major factor is how many people, annually, approach the poverty line. DAT 197
Global poverty reduction in the past has been deceptively easy. DAT 197
Case study: village-level studies show no progress on poverty. DAT 200
Economic data on globalization’s effects makes showing causal relationships impossible. DAT 201
Chinese and Indian poverty reductions may not have been fuelled by globalization. DAT 203
Agriculture is better at reducing poverty, Fj 204
Globalization does not reduce inflation 205
Commodity Prices have increased due to globalization, Fj 205
Globalization does not reduce inflation in the long term, Fj 205
Commodities will have increased inflation, Fj 205
Oil prices have increased due to globalization, Fj 206
Studies on globalization are not reliable, Fj 206
Disadvantages of Free Trade 208
The Problems with Free Trade AMS 208
How Free Trade Hurts Developing Countries AMS 209
The primary benefit of free trade is for companies requiring high-skill labor. DAT 210
Free trade treaties can force countries into human rights violations. DAT 211
Implementing free trade responsibly has been thus far voluntary and unsuccessful. DAT 213
Economic benefits of trade are not guaranteed and depend on what is being traded. DAT 214
Global Inequality Is a Deceptive Measurement 215
The world has become more unequal, not less, as globalization has sped up. DAT 215
In Brazil, trade liberalization decreased inequality by lowering skilled wages. DAT 216
Globalization Doesn’t Reduce Poverty 217
Poverty numbers are misleading, Fj 217
Rising Food Prices mean more hungry people, Fj 217
East Asian countries skew the statistics, Fj 217
The number of poor countries is increasing, Fj 218
Globalization has not helped Sub-Saharan countries, Fj 218
Globalization creates more climate change, Fj 218
Methodology flaws in pro-globalization studies. DAT 219
Case study in sub-Saharan Africa: Recent empirical data and justification of findings. DAT 221
The benefits of free trade don’t reach the generally poorest nations (sub-Saharan Africa). DAT 223
Globalization Slows Technological Progress 224
Schumpeter’s Theory AMS 224
Economic Globalization’s Impact on Progress AMS 224
Domestic Resources Can Eradicate Poverty 226
Case study: African nations have internal funding for substantial anti-poverty measures. DAT 226
China’s poverty reduction was not wholly dependent upon globalization, Fj 226
Response to Technological Globalization 228
Technological globalization drives up inequality in developing countries. DAT 228
Foreign Direct Investment Is Not A Guaranteed Success 229
There is still no empirical way to validate the use of FDI. DAT 229
Globalization doesn’t exist in a vacuum; local policies often negate gains. DAT 230
Cases 231
Cases 231
Pro Case 232
Introduction: 232
Contention One: Economic growth leads to poverty reduction. 232
Contention Two: Developing Countries Benefit from Freer Trade. 233
Contention Three: Examples of success in developing countries. 234
Con Case 236
Introduction: 236
Contention One: Globalization reduces equality of income 236
Contention Two: Globalization reduces equality of economic opportunity 237
Contention Three: Without income and opportunity, poverty worsens 237