What are the economic factors that influence globalization?

Three suggested factors accelerated economic globalization: advancement of science and technology, market oriented economic reforms, and contributions by multinational corporations. The 1956 invention of containerized shipping, along with increases in ship sizes, were a major part of the reduction in shipping costs.

Why Globalization is a long term cyclical process?

In this perspective, globalization is a long-term upward trend of political and economic change that is affected by cyclical processes. The most recent technological changes, and the expansions of international trade and investment, are part of these long-run changes.

What is the cyclical economy?

A cyclical industry is a type of industry that is sensitive to the business cycle, such that revenues generally are higher in periods of economic prosperity and expansion and are lower in periods of economic downturn and contraction.

What are cyclical changes in the economy?

Structural and Cyclical Economic Factors. A structural change in the economy is one that is permanent or very long-lived, while a cyclical disturbance tends to return to its previous level over a few years.

What are the factors that have enabled globalisation explain with examples?

Factors enabling globalisation (i) Technology: Rapid improvement in technology has been one major factor that has stimulated the globalisation process. (ii) Trade barrier: Tax on imports is an example of trade barrier.

What are the factors that have enabled globalization explain with examples?

(a) Reduction of trade barriers with a view to allowing free flow of goods to and from other countries. (b) Involvement of various local producers with MNCs in various ways. (c) Some of the large Indian companies like Tata Motors, Infosys (IT), Ranbaxy, Asian Paints etc. emerged as MNCs and start working globally.

How many cycles of globalization have there been?

Modern globalization has evolved through five eras The figure below reveals five periods of modern globalization. Economic integration rebounded in the third period, the three decades after World War II.

What are the four phases of globalization?

Four phases of globalisation

• Phase 1: Humanising the globe (300,000 BCE–10,000 BCE)
• Phase 2: Localising the global economy (10,000 BCE–1820 CE)
• Phase 3: Globalising local economies (1820–1990)
• Phase 4: Globalising factories (1990–present)

Which of the following are examples of cyclical industries?

The following industries are commonly classified as cyclical:

• Auto components.
• Construction.
• Semiconductor.
• Steel.
• Airline.
• Hotels, restaurants, and leisure.
• Textile, apparel, and luxury goods.

How cyclical is the business cycle?

Business cycles are comprised of concerted cyclical upswings and downswings in the broad measures of economic activity—output, employment, income, and sales. Recessions start at the peak of the business cycle—when an expansion ends—and end at the trough of the business cycle, when the next expansion begins.

What are the cyclical factors?

These cyclical trends can be mean-reverting, so that over a long period of time they tend to converge with some average level. Examples can include asset valuations, volatility, interest rates, and currency values.