Essay on Economic Globalization

Essay on Economic Globalization Economic Globalization Dec 20, 2018 in Economics Economic Globalization and its Human Impacts Do larger states mean that the income inequality between the rich and poor are wider? It can be assumed that larger and affluent governments have larger and better welfare systems for their underprivileged citizens, thereby reducing the income inequality among its residents. However, in the paper written by Andreas Bergh titled Do liberalization and globalization increase income inequality?, it is revealed that the chief beneficiaries of the welfare systems of large governments are the bourgeoisie or the citizens in the class category. This suggests that the income distribution is compressed (Bergh Nilsson, 2008). Can it be expected that the higher the globalization progress rate of a country comes with higher income inequality rate? Globalization and economic freedom are associated to economic growth but its relation to income distribution remains in need of deeper research, mainly because there are many levels of economic progress and types of economic freedom (Bergh Nilsson, 2008). One dimension may have a different effect to income distribution, as compared to another type of liberalization.