Effects of changes in globalisation on migration

International Trade and Globalisation – Globalisation and Trade Restrictions

What is Globalisation? 🌍

Imagine the world as one giant supermarket. Every country is a shop that sells its own products – like Italy’s pasta, Japan’s electronics, or Brazil’s coffee. Globalisation is the process that lets shoppers (countries) buy and sell freely across all these shops, sharing goods, services, and ideas. It’s like having a universal shopping card that works everywhere, making it easier to get what you need, no matter where it’s made.

Trade Restrictions – The “Shop Rules” 🛂

Sometimes a country decides to set rules that make it harder for other shops to sell there. These rules are called trade restrictions. They come in three main types:

• Tariffs – a tax added to imported goods. Think of it as a toll you pay when you bring a toy from another country. Formula: $T = \frac{P_{\text{domestic}} - P_{\text{import}}}{P_{\text{import}}} \times 100\%$
• Quotas – limits on how many items can be imported. It’s like a “maximum of 5 toys per week” rule.
• Embargoes – a complete ban on trade with a country. Imagine a country that refuses to let any of its products enter the supermarket.

How Globalisation Affects Migration 🚶‍♂️🚶‍♀️

When trade barriers fall, businesses grow and create jobs. This can attract people from other countries who want to work, study, or start a business. The relationship between globalisation and migration can be seen as a simple equation:

$M = f(G, P, L)$

where M = migration flow, G = level of globalisation, P = political stability, and L = labour demand. When G rises, M tends to rise too, especially if P and L are favourable.

Key Points to Remember 📌

1. Globalisation increases trade and creates jobs.
2. Trade restrictions can protect local industries but may also limit job opportunities abroad.
3. Higher globalisation usually leads to more migration, but political and labour factors also matter.
4. Migration can bring new skills and ideas, boosting the economy further.

Case Study: The European Union 🌐

The EU removed many trade barriers between member countries, turning the region into a single market. As a result, people could move freely for work. For example, a software engineer from Spain can easily find a job in Germany, and a farmer from France can sell produce in Italy without extra taxes.

Data Snapshot – Migration vs. Trade Openness 📊

Quick Quiz 🎓

1. What is a tariff?
2. Name one way globalisation can increase migration.
3. How does a quota differ from a tariff?

Answers: 1) A tax on imported goods. 2) By creating more jobs abroad. 3) A quota limits quantity; a tariff imposes a tax.