Globalisation Hinders or Further Development Economic Growth

Globalization good or bad for developing countries is one of the hotly debated topics among social scientists, economists and social elites. This essay presents some of the previous research in this context and attempts to explain the relationship between globalization and development with reference to World South. If we take a look at the growth literature we will see that there is no simple yes or no answer to the said notion. There are strong arguments that say globalization is good for developing countries and it has actually paved the way to economic growth. There is second other school of thought says that globalization actually hurts the poor. The first part of the essay summarizes some of the main arguments in favor and against the notion. Later section of the text under discusses the factors which contribute or inhibit growth and development in developing countries. The factors primarily explain the dynamics of development in context of developing countries. The prime reason to study these factors is to breakdown this complex phenomenon in more manageable segments.

One can hardly find a single definition of development in literature. It has been described by different authors in different ways. Lexically development means deployment (Musai, 2011), some consider it as "forward movement of a unified social system" (Jirvand 1991 pp-). Michael Todarou, (2000) described development as a change in cognitive processes of a nation resulting in new social construction and better quality of life. Professor Golt (year needed) described it as an instrument for gaining better life through amalgamation of social, economic and institutional processes. Development can be economic (Bahar 1979; Williamson 2000; Musai 2011) or in addition it can also be social as well.

Generally, academicians have developed a consensus over the definition of economic development. It can be described as a process through which countries generate higher levels of income by deploying or changing production processes, which ensures efficient and effective allocation of resources. (Bahar 1979; Musai 2011). "On the contrary social development has different definitions including transformation, through labour division, from the traditional society to modern or industrial society" (Musai, 2011 pp-103). We will be considering development with reference to economic development only in this writing. This essay will mainly focus on economic development.

GLOBALIZATION, a term commonly used to refer to the free flow of goods and services, capital, technology, and knowledge, is generating renewed interest in the international economics literature. "More precisely, it can be defined as a process associated with increasing economic openness, growing economic interdependence and deepening economic integration in the world economy" (Nayyar, 2006 pp-137). There is an assumption that World economy has experienced rapid globalization since