They may pollute the environment, run risks with safety or impose poor working conditions and low wages on local workers. Globalization is viewed by many as a threat to the world's cultural diversity. It has had a few adverse effects on developed countries. Some adverse consequences of globalization include terrorism, job insecurity, currency fluctuation, and price instability.
The volume and volatility of capital flows increases the risks of banking and currency crises, especially in countries with weak financial institutions. competition among developing countries to attract foreign investment leads to a “race to the bottom” in which countries dangerously lower environmental standards
Globalization impacts the standard of living of different types of workers to different degrees within countries, in all countries. The negative effects of trade on earnings tend to be concentrated in specific areas and industries. Aggregating across regions and firms gives us a different picture.
The war ended the first significant era of increasing economic ties among nations and thereby shaped the economic history of the twentieth century. The war set off both a search for ways to re-create the prewar liberal world economy and attempts to create statist alternatives to it.
World War I took the United States out of a recession into a 44-month economic boom. 30 Before the war, America had been a debtor nation. After the war, it became a lender, especially to Latin America. U.S. exports to Europe increased as those countries geared up for war.
