It was just a century ago when the United States of America’s share of the global economy has started shrinking, leading to an equilibrium which has favored many of the newly industrialized countries such as Brazil, South Africa, China, India, Malaysia, Thailand, Turkey and the Philippines. This, of course, is largely because of the emergence of various trade agreements which has made it easier for merchants to sell their products overseas. After the 2nd World War, free trade was largely promoted. Tariffs have been either reduced; or eliminated, transportation costs were reduced; capital controls were also reduced; and more importantly, intellectual property was better protected through harmonization of laws and supranational recognition. Because of economic globalization, businesses are now able to market products and services all over the globe. It has also allowed them to develop partnerships and alliances throughout the world. These business practices allow the companies to save money, leading to larger returns and more affordable products.
Asia’s growth over the last half of the century has been dramatic and with this comes new challenges for us. The task of ending poverty is far from complete. Adequate energy supplies are also another concern. Energy efficient methods should be practiced. Also, there are still may developed countries that have protectionist laws that inhibit developing countries from exporting their goods. Although, because of the emergence of the Internet and e-trade, many merchants have found a way to work around those protectionist laws. Economic globalization is a regional effort and by working hand in hand with our ASEAN brothers we can bring more Filipino products into the global market.