ASSIGNMENT NO.

2
1. How do economic forces facilitate the deepening of globalization?

The main source of the world’s deepening of

globalization is its rapid growing rate of international trade
and connections. According to Geoffrey Garrett’s research
article, the most important causes of globalization differ
among the three major components of international market
integration: trade, multinational production, and
international finance. By that given statement, we can
derive to a conclusion that the economic forces facilitate
majority of the deepening of globalization through ensuring
bonds all around the globe. The continuation of
globalization in provides the development of every
country’s economic status.
Through trading, the build-up of friendship and
alliance among the participating countries continue to
strengthen. Not only the countries, but also the diversity of
cultures of the different countries are somehow merged
and became interconnected, which can also be regarded
as one of the crucial effects of globalization in the life of the
people in this world.
“No man is an island, entire of itself,” wrote the
English poet John Donne in 1624. The same is true of
nations. The Economic Alliance promotes economic
development in the region through planning, research,
small business advising and development.
The multinational corporation productions also contribute to
the boost of the world economy. Multinational corporations are a
function of this interconnectedness, as they can form and utilise
the connections between national economies, to operate within
multiple countries. The operation of a multinational corporation
within these countries will require significant investments, often
called foreign direct investment, which will act as an injection into
the host economy, eventually making steps in global economic
boost.
  The production of goods as well as its sale from one
nation to another nation, also implies the increasing
interconnectedness of economies that can be achieved through
the operation of multinational corporations. Additionally,
multinational corporations may also outsource their production
processes, often to lesser developed nations to reduce costs.
This means that economies must remain highly interconnected in
order to smoothly import and export goods produced between
different stages of the production line, which often operates
across multiple countries.
International finance, or also known as Financial
Globalization is a combined concept that refers to the increase of
global linkages through cross-border financial flowing.  Financial
integration refers to an individual country's linkages to
international capital markets. One of the main benefits of financial
globalization is the development of the financial sector. Financial
markets become deeper and more sophisticated when they
integrate with world markets, increasing the financial alternatives
for borrowers and investors.
Indeed, financial globalizing offers a tremendous potential
benefits especially to the developing countries as this enables
them to interact and intergrade together with the different class of
countries using their financial ways and assets.
To sum it all up, economic factors continue to give depth
to the globalization through the top three major concepts, namely,
trade, multinational production, and international financing. There
are still other little ways that contribute to global development and
as little as you may think it is, it has even contributed to a great
difference between how the world runs before and today.
2. How is the Philippines central to the history of economic
globalization?

As mentioned in the learning material, the age of

globalization began when all populated continents started
exchanging products continuously. This was traced back to 1571
with the establishment of the so-called “galleon trade” that
connected Manila in the Philippines and Acapulco in Mexico.
It is stated in our history that along the time when Spanish
nationals rule the country, they have their hidden agendas and
movements aside from colonizing the country. One of these was to
open the concept of trading by making the Philippines a station, or
in translation to Filipino, is “himpilan” of Chinese products that are
to be imported by European nationals.
In terms of economic growth, it is not easy for the
Philippines to establish the true importance of the two-year British
Occupation, as we are not yet in the position to measure the
current state of the Philippine economy at that time. We are a
country that is not highly export-dependent which means that we
nullify the extreme effects of volatility in export earning associated
with economic shocks.
The history of trading in the Philippines can be viewed in
different perspective. According to what I remember, Governor-
general Jose Basco Y Vargas’ reign held current economic issues,
in accordance with the establishment and opening of the Suez
Canal. This has given way Filipinos to do open trades with the
people around the world, particularly to the Europeans. This
somehow explain the roots of trading and economic globalization
which imposes cruciality to the Filipinos.
The establishment of the Suez Canal gave way to the
foreign industries to explore exports from us, and we import from
them. The systematic interchange of products had eventually led
to the rise of the trading industry across the world. It enabled
cross-border transactions and connections creating affiliates that
made trade web visibly wider covering all parts of the globe.
Since Philippines really hold a part of the history of now so-
globalized world, it is crucial for us to claim that we contributed
more than enough to how the world runs today.
References:

 Garret, G. (September 1, 2000). The Causes of Globalization. Retrieved from

https://journals.sagepub.com/doi/10.1177/001041400003300610.
 Hawkley, E. ( April 2014). The Birth of Globalization: The World and the beginnings
of Philippine Sovereignty. Retrieved from https://repository.library.
northeastern.edu/files/neu:336763/.
 Jose Basco Y Vargas. (2017). CulturEd Philippines. Retrieved from
https://philippineculturaleducation.com.ph/basco-jose-y-vargas/.
 Olivia, D. (2019). How do Multinational Corporations contribute to the globalization
of the world’s economy?. MyTutor. Retrieved from https://www.mytutor.co.uk/
answers/14700/A-Level/Geography/How-do-multinational-corporations-contribute
-to-the-globalisation-of-the-world-economy/.