Globalization: Exploitation of the Undeveloped World
The American dollar is the world currency; it is accepted everywhere and anywhere. This currency has a major flaw to it though; it is not backed by anything other than world wide confidence in the American economy. This same confidence in the American economy allows them to accumulate vast amounts of debt, which will never be paid off. Unfortunately the rest off the world does not enjoy a limitless supply of money. This is especially apparent when the World Bank, and developed countries, authorizes loans to undeveloped countries, with interest rates that will keep the country forever tied to the developed world. This allows developed countries (DCs) to exploit the debt they have forced the undeveloped countries (UDCs) into doing whatever it can to pay off the debt. Thus the money made in the UDCs economy does to the DCs economy, restricting their economic expansion.
The modern developed world has almost dehumanized the lived of those living in UDCs. The populous of DCs is constantly told that hard work leads to success, and economic expansion is best for all, while in reality, it is best for the upper class, but horrific for the lower class. The lower working class works the hardest for their money, yet in UDCs their inefficient, reliant, in debt, economy puts a lot of the money made from their work into debt reduction. Government services take a second seat to debt reduction, therefore the people suffer. Of course if DCs governments were to show the people suffering because of the UDCs debt, then the general populous would demand the government to forgive the debt.
The money lent to UDCs is poorly spent, and rarely benefits the UDC. This is because the money is put into infrastructure projects, which in theory is a good idea, but in reality, it just gives money to international construction firms. Also they design projects that hurt the lower class and indigenous people. These projects only help the rich in the country, while harming everyone else, severely. Many homes and agricultural land is unusable because of these projects.
Though exploiting UDCs is great for our economy, and our style of life, it hurts the poor people in the world. In the past few years the gap between the rich and poor has more that quadrupled.