Economic globalization in the 21st century: A case study of India

 Sonia Mukherjee 1

1Assistant Professor, Christ (Deemed to be) University, NCR, India

 Article History

Received: 30 November 2020            Revised: 14 February 2021        Accepted: 22 February 2021      Available Online: 17 March 2021

Keywords: Economic Globalization, India, FDI flows, Trade volume, Integration, challenges

JEL classification: F60, F63, F68

 Citation: Mukherjee, S. (2021). Economic globalization in the 21st Century: A case study of India, Review of Socio-Economic Perspectives, Vol 6(1), 23-33.

 Abstract

Globalization has integrated the economies of the world, especially the developing countries. With that, there has been considerable progress in economic globalization. Economic globalization, is defined as increased interconnectedness through higher trade volumes and enhanced capital flows. Factors such as better transport and communication facilities, relaxation in government policies, and advancement in technology (digitally and physically) have led to rapid economic globalization. In case of India, Multinational Corporations (MNCs) have contributed a lot towards the globalization process. The MNCs have attracted non-debt creating flows and imported technology for the benefit of the country. The liberalized government foreign trade policies have helped in increasing trade openness. In spite of the progress, numerous challenges in various forms such as lack of strong and efficient institutions, favorable redistributive and regulatory policies, domestic companies unable to compete with foreign MNCs, increase in the volume of foreign portfolio flows and MNCs adopting oligopolistic practices. Suitable policies and corrective measures can help the economy in matters of further progress in globalization.

E-mail: sonia.citd@gmail.com & ORCID: https://orcid.org/0000-0002-1293-1342

DOI: https://doi.org/10.19275/RSEP105

Article Type: Review Paper

References

Goyal K.A. (2006). Impact of Globalization on Developing Countries (with special reference to India); International Research Journal of Finance and Economics. ISSN 1450-2887.5.

Held, D, Mc Graw, A, Goldblatt D. and Perraton, J. (1999). “Global Transformations –politics, economics, and culture, Cambridge: Polity Press.

International Monetary Fund (1996), International Capital Markets: Developments, Prospects, and key Policy Issues, World Economic and Financial Surveys (Washington, D.C.: IMF)

Kose, M A, E Prasad, K Rogoff and S Wei. (2006). “Financial Globalization: A Reappraisal”, Working Paper No. 12484, National Bureau of Economic Research.

Kilic, C. (2015). Effects of Globalization on Economic Growth: Panel Data Analysis for Developing Countries. Economic Insights – Trends and Challenges, [online] Vol.IV(LXVII)(1), pp.1-11. Available at: http://www.upg-bulletin-se.ro/archive/2015-1/1.Kilic.pdf [Accessed 21 Jan. 2017].

Lascurain, M. and Villafuerte L.F. (2016), “Primera globalización económica y las raíces de la inequidad social en México”, Ensayos de Economía, Vol. 26, Núm. 48, p. 67-90

Ministry of Commerce and Industry (GOI), DIPP (2018), http://dipp.nic.in/sites/default/files/pn1_2018.pdf

Osterhammel. J and Niels P. Petersson (2005), “Globalization: A Short History. Translated by Dona Geyer. Princeton, N.J. and Oxford: Princeton University Press. 2005. ISBN-0-691-12165-6. Vol. 30, Issue 1, March 2006, pp: 103-104.

Prasad, E. S., Rajan, R. G., & Subramanian, A. (2007), “Foreign Capital and Economic Growth”, Brookings Paper Activity. 1, 153-230.

Pillania, R.K. (2008). “An Exploratory study of Indian Foreign Trade”, Journal of Applied Economic Sciences III, 3(5).

RBI Bulletin, April (2018).  https://www.rbi.org.in/scripts/BS_ViewBulletin.aspx

RBI Handbook of Statistics on Indian Economy https://rbi.org.in/Scripts/AnnualPublications.aspx?head=Handbook%20of%20Statistics%20on%20Indian%20Economy

Reeshan, A. and Z. Hussain (2017). “Impact of Globalization on Economic Growth Among Developing Countries”. International Journal of Accounting & Business Management. Vol.5 (No.1), April, 2017. ISSN: 2289-4519.  DOI:24924/ijabm/2017.04/v5.iss1/164.179

Reza F. M. and M. Hassan (2017).  “The Impact of Economic Globalization on the Shadow economy in Egypt”, MACIE PAPER SERIES. Nr. 2017/06. ISSN 1867-3678.

Robert J. Holton (2005), “Making Globalization”, Palgrave Macmillan; 2005 edition (September, 17; 2005).

Singh, S. (2012). “Globalization and It’s Impact on Indian Economy”. Arth Prabhand: A Journal of Economics and Management, Pinnacle Research Journals, 1(1), 37-47

Sharma, D.S. (2009). “China and India in the age of Globalization”; Cambridge University Press. www.fao.org/esp.

Samimi P, Jenatabadi HS (2014), “ Globalization and Economic Growth: Empirical Evidence on the Role of Complementarities”. PLoS ONE 9(4): e87824. doi:10.1371/journal.pone.0087824

Suci, S., Asmara, A. and Mulatsih, S. (2015). “The Impact of Globalization on Economic Growth in ASEAN”. Bisnis&Birokrasi Journal, [online] 22(2), pp.79-87. Available at: http://journal.ui.ac.id/index.php/jbb/article/viewFile/5696/3627

V.K. Puri and S.K. Mishra “Indian Economy” 31st Edition, Himalaya Publishing House. http://www.himpub.com/documents/Chapter487.pdf

Ying, Y., Lee, C. and CH-hang, K. (2014). “The Impact Of Globalization On Economic Growth”. Romanian Journal of Economic Forecasting, [online] XVII(2), 25-34. Available at: http://www.ipe.ro/rjef/rjef2_14/rjef2_2014p25-34.pdf

World Development Indicators, (2016).  https://data.worldbank.org/products/wdi

W.F. Waters (2001), “Globalization, socioeconomic restructuring and community health”. Journal of Community Health, Vol. 26, No.2, 2001.

UNCTAD, World Investment Report, (2018).  http://unctad.org/en/PublicationsLibrary/wir2018_en.pdf