K
Globalisation can lead to opportunities for some developing countries to start new industries. It can also lead to changes in the ways people can support themselves and their families.
Globalisation can bring about economic changes in developing countries.17 Applying material from Item K, analyse two ways in which globalisation may bring about economic changes in developing countries.
AQA
A Level
2024
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Globalisation and Economic Change in Developing Countries
This essay will examine the ways in which globalisation can bring about economic changes in developing countries, using evidence from Item K. It will focus on two key aspects: the creation of new industries and changes in employment and livelihoods.
Introduction
Briefly define globalisation and its key features. * Explain the importance of understanding globalisation's impact on developing countries. * Briefly introduce the two main arguments (new industries and changes in employment) that will be discussed.
Body Paragraph 1 - New Industries and Economic Growth
a) Positive Impacts
* Refer to Item K: highlight the opportunities for developing countries to start new industries due to globalised markets and investment. * Discuss how this can lead to economic growth, job creation, and improved living standards (use examples from relevant sources - e.g., Leonard's work on the rise of manufacturing in developing countries). * Briefly discuss the potential for developing countries to build their own industries (e.g., referring to Boserup's theory of population and technological change).
b) Negative Impacts
* Discuss the potential downsides of globalised industries: exploitation of workers, environmental damage, and dependence on foreign investment (refer to Item K and relevant sources like Mies' work on the exploitation of women in globalised industries). * Explain how rapid industrialisation can exacerbate existing inequalities within developing countries, potentially leaving some communities behind.
Body Paragraph 2 - Changes in Employment and Livelihoods
a) Emerging Opportunities
* Refer to Item K: discuss how globalisation can create new employment opportunities in sectors like tourism and services. * Use examples from relevant sources to illustrate the potential benefits of globalised employment for individuals and communities (e.g., Cohen and Kennedy's work on the impact of tourism in developing countries). * Discuss the potential for globalisation to improve access to education and training, leading to more skilled workforces (refer to the Gender Development Report for data on education and women's employment).
b) Challenges and Displacement
* Discuss the potential for globalisation to lead to job losses in traditional industries due to competition from cheaper imports (refer to Item K and relevant sources like Foster-Carter's work on the impact of globalisation on agricultural livelihoods). * Highlight the potential risks of precarious employment, low wages, and poor working conditions in globalised industries (refer to Ehrenreich and Hochschild's work on global labour markets and the challenges of finding stable work). * Explain how globalisation can exacerbate existing inequalities based on gender, ethnicity, and social class.
Conclusion
* Summarize the two main arguments about globalisation's impact on developing countries (new industries and changes in employment). * Explain that the effects of globalisation are complex and vary depending on the specific context. * Briefly discuss whether the overall impact of globalisation on developing countries is positive or negative, acknowledging that there are both opportunities and challenges. * Suggest potential solutions for mitigating the negative impacts of globalisation while leveraging its potential benefits.
Globalisation and Economic Change in Developing Countries
Globalisation, the increasing interconnectedness of nations through trade, technology, and cultural exchange, has profound implications for the economic landscapes of developing countries. Item K highlights two key ways in which this occurs: the emergence of new industries and the transformation of traditional livelihoods. This essay will analyse these two aspects, drawing upon sociological perspectives to provide a nuanced understanding of globalisation's impact.
The Rise of New Industries
Globalisation facilitates the flow of capital, technology, and knowledge across borders, creating opportunities for developing countries to establish new industries. Multinational corporations (MNCs) often invest in these regions to take advantage of lower labour costs, favourable tax regimes, and access to new markets. This can lead to the growth of export-oriented industries, such as manufacturing, textiles, and electronics. For example, China's rapid economic development has been largely fuelled by its integration into global supply chains, attracting significant foreign direct investment and creating millions of manufacturing jobs.
However, this industrial growth is not without its challenges. As Boserup argues, economic development can lead to increased inequality within developing countries. While some benefit from new job opportunities and higher incomes, others may be left behind, leading to social stratification. Furthermore, the reliance on MNCs can make developing countries vulnerable to global economic shocks and fluctuations in demand. As witnessed during the 2008 financial crisis, global recessions can have devastating impacts on export-dependent economies, leading to job losses and economic hardship.
Transformation of Traditional Livelihoods
Globalisation also impacts traditional forms of employment and subsistence in developing countries. The influx of cheap manufactured goods from developed nations can displace local producers and artisans. Leonard highlights how global trade agreements often favour large corporations, making it difficult for small-scale producers in developing countries to compete. For example, the influx of cheap textiles from Southeast Asia has had a significant impact on traditional weaving industries in parts of Africa and South America.
Furthermore, Ehrenreich and Hochschild's work on global care chains illustrates how globalisation can lead to the feminization of migration. Women from developing countries often migrate to wealthier nations to take on caregiving and domestic work, sending remittances back home to support their families. While these remittances can provide a vital source of income, they also highlight the unequal power dynamics inherent in the globalised economy.
Conclusion
Globalisation presents both opportunities and challenges for economic development in developing countries. While it can foster the growth of new industries and create employment opportunities, it can also exacerbate inequalities, displace traditional livelihoods, and create dependencies on foreign investment. A nuanced understanding of these complexities, informed by sociological perspectives, is crucial for policymakers and development practitioners seeking to harness the benefits of globalisation while mitigating its potential negative consequences. As Item K suggests, globalisation's impact on developing countries is multifaceted and requires careful analysis to ensure equitable and sustainable economic development.