Globalization

Globalisation is the new buzzword that has come to dominate the world since the nineties of the last century with the end of the cold war and the break-up of the former Soviet Union and the global trend towards the rolling ball. The frontiers of the state with increased reliance on the market economy and renewed faith in the private capital and resources, a process of structural adjustment spurred by the studies and influences of the World Bank and other International organisations have started in many of the developing countries. Also Globalisation has brought in new opportunities to developing countries. Greater access to developed country markets and technology transfer hold out promise improved productivity and higher living standard. But globalisation has also thrown up new challenges like growing inequality across and within nations, volatility in financial market and environmental deteriorations. Another negative aspect of globalisation is that a great majority of developing countries remain removed from the process. Till the nineties the process of globalisation of the Indian economy was constrained by the barriers to trade and investment liberalisation of trade, investment and financial flows initiated in the nineties has progressively lowered the barriers to competition and hastened the pace of globalisation

India is not a global power and our interests remain essentially regional. The country does have a higher profile than it did a few decades ago but to say that India is a global power or has risen is stretching the truth. India remains a country with a high rate of growth with an enormously large population that lives on the edge of poverty with all the socio-economic problems this poverty and increasing disequilibrium brings. Today, globalisation is the mantra that is supposed to be the panacea for all our problems and the new road to global salvation and prosperity.

Globalisation is supposed to mean the international flow of ideas and...