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  • Essay / The Paradox of Globalization - 1186

    The discussion would revolve around this ongoing debate on globalization which is, without doubt, the dominant capitalist trend in the world today. But there is a very controversial debate about how globalization should continue. This is a competition between free trade and fair trade. Free trade and fair trade are the subject of a constant fierce battle waged on both sides by economists and politicians. Both convey an ideological approach to what global business activity should be. But it is also tinged with nationalism and politics because the issue directly agitates the potential economic power of its participants, whether a developed country or a third world country. It is therefore not surprising that this debate is full of vicious arguments on both sides. In this article, we would argue for fair trade as the best form of globalization, based on the premise that the globalization of free trade has only made global markets reckless and abusive. Proponents of free trade argue that trade between countries should be free of barriers and preferences. policies, especially those that favor specific countries or industries. They believe that a business will fail or succeed depending on how well it can adapt to a free and open market, without having to rely on special government protections that protect industries or workers. So fair trade advocates want to eliminate subsidies and tariffs and oppose regulations that force companies to pay extra just to do business in foreign markets. Proponents of fair trade, for their part, make working conditions a priority in establishing commercial relationships. For example, a fair trade advocate will want to demand an increase in workers' wage rates to improve their livelihoods. This... middle of paper...... which could support the push towards the new capitalism. The author builds on the arguments of globalization advocates that the richest countries tend to be the most open to the rest of the world when considering their business practices and investments. Indeed, according to Rodrik, these countries have large governments with broad reach and effective regulation. They also have the most extensive social safety nets. In conclusion, fairer trade should be the goal if globalization is to continue in the future. Fairer trade protects trade itself and does not allow organizations to abuse it. This may sound like protectionism. But a measured form of protectionism means there is a balance between government regulations and market openness. Equity is the only possible solution to the trilemma of globalization: democracy, independence and openness.