Question:
reason for the growth of globalisation?
Karamjit Kaur
2011-03-05 15:02:49 UTC
reason for the growth of globalisation?
Three answers:
rdappa
2011-03-05 23:46:41 UTC
Realization of the complete advantage of comparative advantage.
simplicitus
2011-03-07 10:50:48 UTC
Money, of course - expectation of higher profits



At the next level down:



1. Peace. Long periods of peace promote trade. The past 65 years have been the longest period without major war in many centuries



2. Lower transportation costs - cheap oil, containerization, GPS navigation, etc.

http://en.wikipedia.org/wiki/Containerization



3. Lower communication and management costs



4. Tariff reductions around the world - WTO etc.

http://krugman.blogs.nytimes.com/2009/11/07/us-tariff-history/



5. Technology: to increase the productivity of the unskilled; increase economies of scale; etc.



6. U.S. subsidies for off-shoring

http://www.exponentialimprovement.com/cms/offshoresubsidies.shtml

(Yes, I know you are from Australia, but what the U.S. does affects everyone. For a classic example, the U.S. opening trade with China back in 1971)
2011-03-05 15:03:32 UTC
sex


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