1. There are five major characteristics of Globalization, as described by the text. The first deals with World trade and output. As Globalization takes hold, many countries across the globe are seeing a marketable increase in trade with other countries, countries that are not necessarily their neighbors. Individual nations are exporting more globally and becoming more active in global markets. Foreign direct investment is also a key factor in Globalization. As the world markets become more and more accessible, many investors are looking outside of their homeland portfolios and investing in foreign markets and business ventures. This leads to another characteristic, the rise of the multinational enterprise. Not only are these investors putting up capital in other countries, they are actively buying and building productive extensions of their homeland enterprises. The 4th element is that of a changing world order, specifically the rise of democracy and free market reform. The decline of communism and closed markets has dramatically affected how the world does business. The last characteristic is the fact that world trade is growing from individual national economies into a closely integrated global economic system. In addition to these characteristics, the text describes two main drivers of globalization. Declining trade and investment barriers, such as reduced tariffs and taxes, and relaxed national investment regulations have substantially opened up worldwide flow of goods and services and investment capital. The other driver deals with technological change. Changes in telecommunications, microprocessors, the World Wide Web, transportation and globalization of production technology have greatly aided the charge of globalization and opened the world markets.

2. Joseph Stiglitz noted a number of expectations about Globalization in his video, “Making