What are the benefits and costs of globalization?

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pohnpei397 | College Teacher | (Level 3) Distinguished Educator

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According to economists, the benefits of globalization are felt by almost everyone.  Globalization means that consumers in the various economies will get the best possible prices for the widest variety of goods.  This comes about as goods can be made in the places where they are made most efficiently.

The costs of globalization are typically felt by certain sectors of the various economies.  All economies face new competition as globalization occurs.  Some sectors of their economy (such as low-skill manufacturing in rich countries) get outcompeted by competition from other countries.  The people in those sectors suffer the costs of globalization as they lose their jobs to the foreign competition.