When tackling this question, make sure to discuss (i.e. include both positive and negative effects). You need to link globalisation to both economic growth (quantitative increase in output) and economic development (living standards). Use evidence, trends, and theory throughout. Below is an example simple 3-paragraph scaffold using China (you need to find strong examples to support these arguments though) - what is your chosen country? Please reach out DM for specific questions.
Paragraph 1: Trade and Growth – Global Integration and Export-Led Growth
Globalisation has been the main driver of China’s rapid economic growth by enabling greater integration into the global trading system. After joining the World Trade Organization (WTO) in 2001, China adopted an export-led growth strategy (e.g. SEZs), focusing on manufacturing goods for global markets. This aligns with the theory of comparative advantage, as China specialised in labour-intensive production due to its large, low-cost workforce. As a result, China’s GDP growth averaged around X% per year for much of the 2000s, lifting over X million people out of poverty. However, globalisation also made China more exposed to external shocks, such as the Global Financial Crisis and COVID-19, which reduced export demand. Globalisation was highly effective in promoting short-term growth and poverty reduction, but it created dependence on external markets and delayed the shift toward domestic consumption and innovation.
Paragraph 2: Environmental and Social Trade-Offs – Growth vs Sustainable Development
While globalisation accelerated China’s economic growth, it also created challenges for sustainable development. Rapid industrialisation increased pollution and carbon emissions (e.g. air quality issues, find stats on impacts on health and therefore human capital), making China the world’s largest emitter of CO₂, though its emissions per capita remain below developed countries. According to the Environmental Kuznets Curve hypothesis, early industrial growth tends to worsen environmental quality before income levels rise enough to support cleaner technologies. Indeed, China is now home to half of the worlds solar and wind energy, and has various policies driving strong investment into the energy transition. Globalisation also widened the urban–rural income gap, as cities integrated faster into global markets (was also restricted by certain policies like hukou system). China’s strategies have begun to address these imbalances through green investment and social welfare reforms, but the benefits of globalisation have been unevenly distributed, limiting the effectiveness of development outcomes.
Paragraph 3: Technology, Investment, and Structural Change – Globalisation as a Catalyst for Modernisation
Globalisation has accelerated China’s technological development and structural transformation. Increased FDI brought capital, skills, and technology from multinational firms, supporting the rise of advanced manufacturing and digital industries. This process can help developing economies achieve sustained growth by integrating with global markets and adopting foreign technology. China’s push into electric vehicles and high-tech manufacturing shows how globalisation can evolve from imitation to innovation.These strategies have improved long-term competitiveness and productivity, but continued reliance on foreign technology and trade tensions reveal vulnerabilities that limit the full benefits of globalisation.
