Part I: Get the definition of the following terminologies below:

1. Economic Globalization

- In economics, globalization can be defined as the process in which businesses, organizations,

and countries begin operating on an international scale.

2. Protectionism and Trade Liberalization or Free Trade

- Means by which trade between countries is restricted in some way – normally through
measures to reduce the number of imports coming into a country. Main means are Tariffs, Quotas, Non-
Tariff Barriers. Trade liberalization is the removal or reduction of restrictions or barriers on the free
exchange of goods between nations. These barriers include tariffs, such as duties and surcharges, and
nontariff barriers, such as licensing rules and quotas.

3. Fair Trade

- Fair trade means that producers receive a guaranteed and fair price for their products,
regardless of the price on the world market.

Part II: Answer the following questions

1. Do you think that the Philippines is harmed as other countries transfer their activities to us through
outsourcing?

- Since outsourcing maybe simply refers to transferring of jobs from a country to another, I could
say that this could be beneficial for the Philippines for it would bring lots of opportunities to our local
businesses and people. Given the fact that provider is a foreign country, this will give Filipinos a higher
compensation and even let them choose the career that is suitable for them. However, there are some
disadvantages in this process like the occurrence of security threats if another side have access to a
confidential information.

2. In what ways do international organizations help our country's economy?

- To name some of the international organizations for economic development, we have the
OECD, WTO, IMF, World Bank, and UNCTAD. We can not deny that our country can not stand alone
without the help of other countries that’s why these international organizations is really important for
they provide monetary support to our country and persuade foreign nation to invest and build up
business in our country. With these, many of our people will be benefited because a lot of opportunities
will be open.

3. Does the position of rich countries as giants in the economy chain threaten the status of less
developed countries in the global market?

- For me it’s a no. Those rich countries refer as a giants will become a great help for the poor
countries cause they will be the one who’ll buy the products and also will be their investors. It’s just a
matter of great action, management and strategy of the poor countries as well as the cooperation of the
people in the nation building for them to step up their status in the world.