Respuesta :
Developed nations are helped because they can move their companies to the developing nations for cheaper labor
Answer:
Globalization or linkages between various countries by international trade has caused interdependence among them .
At the beginning of the financial crisis in late 2007 and early 2008, when it seemed the emerging markets and Asia in particular would grow rapidly regardless of what happened in the United States and Europe. Then came the panic of late 2008, after the collapse of the investment banking firm Lehman Brothers. The marked worldwide slowdown, even in China, sparked concern that the crisis that started on Wall Street could lead to a collapse of growth in the emerging and developing world.
This is clear economic example of degree of interdependence among developed and developing world .
Economic interdependence has also come to include other aspects of economic life and , the beginnings of the age of computerization, telecommunications and low-cost travel and shipping -- has taken new forms including the worldwide structural integration of production and marketing . At present interdependence on developing countries like India , Bangladesh for cheap labour , outsourcing of work from developed countries can also be seen . Mechandise trading with Bangladesh is much in vogue .
The benefits are creation of jobs in poor or developing countries while the risks are alignment of economies , if one economy crashes the others are affected . The procurement of cloth at cheap rates from Bangladesh by developed countries like USA has lead to over exploitation of labourers there . This is a problem of interdependence in social font . Minimum wages , competitive prices , unions , fair trade aggrements are some ways to curb this problem .
If Bangladeshis form a cartel and increase price too much then that would be detrimental for developed economies since that would destroy their cheaper source of imports .
Explanation:
