1. What Is Globalisation And Is It Good? What is globalisation?

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1.What Is Globalisation And Is It Good?



Privatisation is about putting governments out of business. The economic theory behind privatisation is that, Business knows best. In this age of globalisation, our governments cheerfully tell us that they are too incompetent to manage our economy, so as a service to the public they will instead let the free market run it. Then our governments sell off publicly owned businesses and assets, which usually end up controlled by multinationals and financed by public shareholders. Competition within the marketplace rather than government management, we are told, will allegedly produce lower prices and better services for consumers. This is called a better standard of living, which implies that the public are better off for having a privatised economy so they should be happy about it.



Deregulation takes several forms. Within a country, the lifting of trade restrictions and easing of government regulation in business is meant to allow business to run more efficiently. The best businesses will survive the competition to give consumers a better standard of living, that is, more material goods for lower prices.

Deregulation also applies to national currencies. Currency is no longer pegged at a certain value by government decree or gold reserves, but its value is floated in the global market place, where it will find its own natural level in the ocean of other global currencies.

Deregulation does not just apply within a country though. Deregulation also involves opening a country up to foreign competition. Foreign businesses can operate in our country, on the basis that our country’s businesses can trade in other foreign countries.

What is the benefit from all this? A better standard of living through a wider range of cheap goods is what globalisation is all about. This is what the media, politicglobalians and multinationals keep telling the public.

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