Ortiz, Ma. Danealla L.

FILED 1A

GE 104

Narrative Report

BENEFITS OF GLOBAL ECONOMY

 Free trade: Free trade is an excellent method for countries to exchange goods and services. It also allows

countries to specialise in the production of those goods in which they have a comparative advantage.

- Under a free trade policy, goods and services can be bought and sold across international borders with

little or no government tariffs, quotas, subsidies, or prohibitions to inhibit their exchange.

 Movement of labour: Increased migration of the labour force is advantageous for the recipient country as well

as for the workers. If a country is going through a phase of high unemployment, workers can look for jobs in

other countries. This also helps in reducing geographical inequality.

- The labour movement is a broad term for the development of a collective organization of working

people, to campaign for better working conditions and treatment from their employers and

governments, in particular through the implementation of specific laws governing labor relations.

- Consist of 2 wings

1. Trade union Movement: also called labour union, association of workers in a particular trade, industry, or

company created for the purpose of securing improvements in pay, benefits, working conditions, or social and

political status through collective bargaining.

2. Political Labour Movement: The political labour movement in many countries includes a political party that
represents the interests of employees, often known as a "labour party" or "workers' party".

 Increased economies of scale: The specialisation of goods production in most countries has led to advantageous

economic factors such as lower average costs and lower price for customers.

 Increased investment: Due to the presence of global economy, it has become easier for countries to attract

short-term and long-term investment. Investments in developing countries go a long way in improving their

economies.

REFERENCES

Barone, A. (2020, January 29). Free Trade Allows the Free Movement of Imports and Exports. Investopedia.

https://www.investopedia.com/terms/f/free-trade.asp

‌What does Labour movement mean? (n.d.). Www.definitions.net. Retrieved March 7, 2022, from

https://www.definitions.net/definition/Labour%20movement

‌The Editors of Encyclopaedia Britannica. (2019). trade union | Definition, History, & Facts. In Encyclopædia

Britannica. https://www.britannica.com/topic/trade-union

‌Wikipedia Contributors. (2019, June 23). Labour movement. Wikipedia; Wikimedia Foundation.

https://en.wikipedia.org/wiki/Labour_movement