Asian Journal of Development Matters
Year : 2010, Volume : 4, Issue : 2
First page : ( 24) Last page : ( 28)
Print ISSN : 0973-9637.

The effect of globalization on developing countries

Roohi Mahboobeh*

Islamic Azad University, Iran.

* Address for correspondence: E-mail: Mroohi2002@gmail.com.

Abstract

Globalization is the new buzzword that has come to dominate the world since the nineties of the last century with the end of the cold war and the break-up of the former Soviet Union and the global trend towards the rolling. Also Globalization has brought in new opportunities to developing countries. the process of globalization not only includes opening up of world trade, development of advanced means of communication, internationalization of financial markets, population migrations and more generally increased mobility of persons, goods, capital, data and ideas but also infections, diseases and pollution. The countries up the economy in the early nineties following a major crisis by a foreign exchange crunch that dragged the economy close to defaulting on loans. Globalization in the form of increased integration though trade and investment is an important reason why much progress has been made in reducing poverty and global inequality over recent decades. The growth of countries economy very much depends upon rural participation in the global race. The countries economy is passing through a difficult phase by several unfavorable domestic and external developments. The implications of globalization for a national economy are many. Globalization has intensified interdependence and competition between economies in the market. It is thus clear that a globalizing economy, while formulating and evaluating its domestic policy cannot afford to ignore the possible actions and reactions of policies and developments in the rest of the world. Globalization can play and very important role in solving the development problems of countries developing.

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