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In short, globalisation benefits everybody in the long term along with western consumers, and workers in developing countries, in the short term. The losers are the western workers who may lose their jobs or face wage competition in the short term, although they still benefit as consumers. The other people who benefit are those with capital who can take advantage of new markets and opportunities.

Globalisation is good for everybody in the world over the long term because it increases economic output and equalises and increases the material living standards of everybody throughout the world. Increasing productive capacity and specialisation of labour will increase efficiency and increase opportunities for everybody.

Globalisation is great for western consumers who benefit from cheaper products, both as a result of low cost imports and lower input costs for businesses feeding through to lower prices - offshoring call centres for example. Low inflation also keeps interest rates low and so mortgage payments low, increasing the disposable income of westerners, and making borrowing cheap for people and businesses.

Globalisation also obviously benefits workers in developing countries whos labour is in demand. The competition for labour will lead to increases in wages and domestic consumption and rising living standards. Demand for workers will also lead to better working conditions.

Globalisation does harm western workers in the short term who may lose their jobs to cheaper labour in developing countries or face wage freezes or cuts. However they will still benefit as consumers from lower prices and mortgage rates. In additon, so long as the economy is open and flexible western workers should be able to adapt to new jobs where competitive advantage protects them from offshoring.

Finally, globalisation benefits those with capital who can set up or expand businesses to take advantage of new markets and new opportunities. For example, in Britain we may be losing our manufacturing industry to China, but there is a growing opportunity to sell financial services to a market of 1 billion people! So business owners/shareholders will be large beneficiaries, especially taking advantage of low interest rates in the west.

Globalisation is a process not an end. The problems that will be experienced by workers in the west are due to the massive imbalances between the highly developed west and underdeveloped countries. As this begins to equalise the pressures should ease slightly.

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