Globalism Amartya Sen and Muhammad

Globalism Amartya Sen and Muhammad Yunus both point to globalization as both the cause of and solution to endemic poverty around the world. As a cause, globalization has created vast divides between rich and poor nations and between rich and poor communities. Moreover, globalization has emboldened corporations to the point that they influence national and local governments. Globalization has also enhanced the ability for large, multinational corporations to gain access to the majority of the world's natural and financial resources.

Small businesses that might better serve their communities do not have a chance to thrive, leading to a situation akin to feudalism. When entire communities are indebted to a large multinational corporation, local economies suffer. If the corporation shuts down operations in a given locale, all the employees are left suddenly without livelihood. What Amartya Sen and Muhammad Yunus are attempting to do is remedy the negative repercussions of globalization by applying free-market economics to a new model of business growth and development.

Yunus and his micro-lending model assists poor people by helping them start their own businesses. Furthermore, the majority of Yunus' clients are women, who have been neglected contributors to society. Elevating the status of women in society is also a concern of Sen's. Both theorists realize the potential for women to transform the world through their entrepreneurial spirit. When women are forced to remain in restrictive social roles, they are unable to participate in the free market. Yunus' micro-lending model thus addresses gender-based income disparity.

As more and more women invest in local businesses they also help prevent multinational corporations from being the sole employer in any given area. Therefore, many of the problems globalization has caused can be solved via the free market. Inspiring poor communities to regain or preserve their self-sufficiency is one of the only ways to mitigate the problems associated with globalization. Globalization can be a liberating force, opening small markets up to the world.

If Yunus were to lend money to poor women in a closed market system, their businesses would not thrive or grow and the potential to create vast amounts of wealth for the community would dwindle. Therefore, the global market economy has the potential to foster wealth in the poorest regions of the world. Large multinational corporations may end up in symbiotic relationships with small, local companies. Small local companies can deliver goods and services, serving as ancillary support systems with intimate knowledge of the local culture and community.

Small businesses are a potentially invaluable asset, not only by diversifying local economies but also by adding sources of supply, distribution, and retail outlets for products and services. In turn, large corporations may help.