The main effects of globalisation on the economic, social and political developments in Latin America

Essay from the year 2015 in the subject Business economics - General, grade: 2:1, De Montfort University Leicester, course: International Business and Globalisation, language: English, abstract: In regards to Latin America globalisation has a number of reasons to affect the development of the economic, social and political aspect of the landscape. Key economic effects that need to be expanded on includes the impact of trade in terms of Gross Domestic Product and the Balance of Payments through imports and exports and also the potential benefit of investment opportunities in South America through globalisation. Social impacts that need to be expanded upon include poverty and crime and the politics behind working conditions and regulations. Politically, governments have been able to communicate more effectively allowing for support between nations, trade pacts and negotiations, while also discussing the neo-liberalist push for Latin America to adopt the Washington Consensus. These key areas need to be discussed more closely, in particularly the negative effects that these can cause and in terms of South America, the exploitation that has been quite common since the growth of globalisation. Economically, globalisation has had a major impact on Latin America for better and for worse. The spread of neoliberalism in the 1990s has allowed the influx of transnational corporations (TNCs) in Latin America. This US led programme pushed for privatisation of industries and the growth of enterprise and free-market values allowing for TNCs to take advantage of low national wages and new markets in areas such as Latin America.