Globalization and Free Trade - 9780816068081

Globalization is a popular buzzword these days, yet it means very different things to different people. In earlier and simpler times, global trade meant that an artisan's or even a small factory's products clothing, for example were made wholly by him or entirely locally and then transported to and sold in a distant country. In today's globalized economy, the same article of clothing is likely made in several different countries. For example, the raw material, such as cotton or wool, is produced in one country. Then the raw material may be shipped to a second country where it is woven into cloth. The woven fabric may then be sent to a third country where it is cut to a clothing pattern. The cut pieces are often shipped to yet a fourth country to be sewn together and assembled into an article of clothing. Only then is the final product put on the market for sale. Today, the corporate penchant for this piecemeal production method has led some economists to define modern globalization as the enormous expansion of multinational corporations (MNC's) and their investments in foreign lands.

Globalization and Free Trade outlines the history of the expansion and globalization of national economies and explains how globalization evolved to its present state. This informative volume reviews current issues surrounding globalization, and presents case studies on several countries-including the United States, East Asia, Bolivia, Russia, and China to illustrate both the promise and the problems inherent in today's globalized markets.