Race to the bottom globalization
The debate about the 'race to the bottom' hypothesis focuses mainly on globalization and the entry of developing countries into the global. The race to the bottom is a socio-economic phrase to describe government deregulation of the business environment, or reduction in tax rates, in order to attract or retain economic activity in their jurisdictions. An outcome of globalization and free trade, it may occur when competition. The race to the bottom refers to a firm's attempts to undercut competitor While globalization has created a fertile market for exchange of ideas. Globalization and the Race to the Bottom in Developing Countries: Who Really Gets Hurt? [Nita Rudra] on yeusex.info *FREE* shipping on qualifying offers. The advance of economic globalization has led many academics, policy-makers, and activists to warn that it leads to a 'race to the bottom'. In a world increasingly free of restrictions on trade and capital flowsCited by: Furthermore, a race to the bottom has perverse effects: by lowering their optimal wage level, many countries are also depressing their levels of consumption. That is, a policy that deliberately depresses wages to attain higher competitiveness would also lead to a lower purchasing power, dampening the potential sales levels of yeusex.info: José Caraballo-Cueto. Race to the Bottom Theory. The race to the bottom theory contends that globalization undermines the standard of living for workers, disrupts local economies and cultures, and threatens the integrity of the natural environment. The term “race to the bottom” came into common usage during the s.