Globalization as a way out of the poverty trap (Part 3)

Inflation is another problematic part, as the study’s authors admit. That is the comparability between countries is difficult. In addition, the study only goes to 2005. Since then a lot has happened. The number of hungry people has increased again. Globalization certainly has advantages. A significant disadvantage is the dependence. Virtually all industrialized countries have only protected the domestic market by tariffs and as they were strong, enough they have gone in the direction of free trade. Germany made it; the United States did so, Japan and China. Globalization is most efficient when the trading partners act as equals.