Social Impact

The issue of social impact of globalization continues to invite mixed responses from
business leaders and policy agents across the world. While emerging economies
have witnessed rise in per capital income, GDP and other metrics of economic
growth, data on rising economic inequality cannot be ignored. With regard to
rural and informal economies, unskilled, illiterate and asset-less labour
remain, on the margins, resulting in persistent poverty.

•  It is difficult to assess the impact of globalization on poverty. Relative poverty
  has increased in majority of the countries as an effect of globalization. Due
  to this, migration has increased across the globe. Migrants from all regions of
  destination leaving them vulnerable to exploitation and trafficking. There has
  been an increase in illicit cross border activities.
•  Though the increased influence of private institutions has led to better financial
  resource allocation, it has also led to corporate scandals, manipulations and
  over extension of credits to unstable local banks and firms resulting in
  financial crises of increasing frequency and severity. Private financial
  institutions are exerting power over emerging markets in designing their
  economic policies.