Topic > Aspect of Globalization - 1010

Trade is reducing poverty and income inequality in developing countries. It provides employment to the natives and benefits the country's economy. In the article “Does trade liberalization reduce poverty and inequality? The authors stated: “Economic globalization is bringing rapid changes in trade relations, financial and technological flows, and labor mobility around the world and has consequently led to a reduction in the incidence of poverty” (Sharif Chaudhry, 2013 ). It is true that trade has become very beneficial for the economic growth of a country. If a country exports goods to another country, this will be beneficial to the populations of the exporting countries. For example, Bangladesh will benefit from exports of garment products to the United States because many unemployed people will find work in a garment factory in Bangladesh. These types of trade agreements will help reduce poverty rates in developing countries. Therefore, trade is essential for the economic growth of a country, as well as for eradicating poverty from the world