The Pros and Cons of Globalization
Pluses:
• Productivity grows more quickly when countries produce goods and services in which they have a comparative advantage. Living standards can go up faster.
• Global competition and cheap imports keep a lid on prices, so inflation is less likely to derail economic growth.
• An open economy spurs innovation with fresh ideas from abroad.
• Export jobs often pay more than other jobs.
• Unfettered capital flows give the U.S. access to foreign investment and keep interest rates low.
Minuses:
• Millions of Americans have lost jobs due to imports or production shifts abroad. Most find new jobs–that pay less.
• Millions of others fear losing their jobs, especially at those companies operating under competitive pressure.
• Workers face pay-cut demands from employers, which often threaten to export jobs.
• Service and white-collar jobs are increasingly vulnerable to operations moving offshore.
• U.S. employees can lose their comparative advantage when companies build advanced factories in low-wage countries, making them as productive as those at home
Vocabularylist
1. integration – объединение, интеграция; укрупнение
v. tointegrate – объединять; укрупнять
2. interaction – взаимодействие, сотрудничество
v. tointeract
3. cross-bordertrade – трансграничная международная торговля
4. productive potential – производственный потенциал
5. topromote – способствовать, продвигать
n. promotion
6. defining feature – определяющаячерта
7. driver – движущаясила
syn. driving force
8. advances – достижения
9. controversial – спорный, противоречивый
10. proponent – защитник, сторонник
ant. opponent
11. to benefit – приноситьпользу
to benefit from – извлекатьпользу
12. at the expense of somebody, something – засчеткого-либо
13. resistance (to) – сопротивление (чему-либо)
v. to resist smth
14. transfer – переход, перевод
15. intellectual property – интеллектуальная собственность
16. interdependence – взаимозависимость
17. vulnerability (to) – уязвимость, подверженность
adj. vulnerable
Notes
1. prevailing – преобладающий
2. a decade – десятилетие
3. a qualitatively new phase – качественноноваяфаза
4. dramaticreductions – зд. значительное уменьшение, снижение
5. atapopularlevel – на уровне населения
6. adailyroutine – зд. обычноеявление
7. unfettered – неограниченный
Ex 1. Find the Russian equivalents:
a process driven by international trade; human physical well-being; the current wave of globalization; the outbreak of the 1st world war; to adopt a free-market economic system; barriers to commerce; taking advantage of new opportunities; an international industries and financial business structure; the driver of globalization; deeply controversial; to benefit corporations at the expense of local enterprises; to take shape both at a popular and at a government level; interdepence of different countries’ economies; multinational integrated structures; vulnerability to local and regional instability.
Ex 2. Fill in the gaps with the words and expressions from the text.
1. Globalization is a process driven by …… and …… and aided by ……
2. Policy and technological developments of …… have increased ……, investment and migration.
3. Governments have negotiated …… in …… and have established international agreements …… trade.
4. A …… of globalization is an international industrial and financial …… international industrial and financial ……
5. Globalization is deeply ……, however.
6. The creation of an …… international free market …… multinational corporations …… local enterprises, local cultures and common people.
7. Interdependence of different countries’ economies and …… of national economies into …… have become a ……
8. One of the biggest drawbacks is that the growing …… also increases the …… of global economy to local and regional ……
Ex 3. Find in the text the English equivalents for the following:
взаимодействие между людьми, компаниями и правительствами; иметь влияние на экономическое развитие и процветание; современный процесс глобализации; вступить в качественно новую фазу экономических отношений; способствовать торговле товарами и услугами; пользуясь новыми возможностями; приносить пользу корпорациям за счет местных мероприятий; взаимозависимость экономик разных стран; препятствовать свободному движению капитала; уязвимость мировой экономики.
Ex 4. Match each term with the appropriate explanation.
interaction, globalization, cross-border, controversial, vulnerability, interdependence, integration
1. The combining under one management of two or more manufacturing concerns.
2. A process of forming a uniform business space, involving economic internationalization of goods, capital, labor force, information exchange of cultures, management skills, etc.
3. International, taking place among two or more countries or nations.
4. Being affected by negative circumstances.
5. Communication between or among parties.
6. Causing a lot of arguments or debates; disputable.
7. A situation when connections between people (or countries) are so close that processes taking place.