Globalization has had both positive and negative effects on a local,
national, international and global level. Globalization often brings
benefits at one level which cause negative effects at another, these
results and the scale at which they manifest are often uncertain and
unpredictable. The very nature of its unpredictability causes
instability and introduces risks to all actors involved (many of these
actors unwillingly). The economics of globalization is very relevant
in understanding how processes work and how it affects other issues.
Without the notion of a truly global economy many of the other
consequences such as culture and politics would either cease to be
sustained or become less threatening. In our modern world, finance and
economics is the driving force behind globalization, and globalization
is serving capitalism well. From an economic point of view
Globalization can be seen as "a primarily economic phenomenon,
involving the increasing interaction, or integration, of national
economic systems through the growth in international trade, investment
and capital flows.