As I get ready to travel to Spain, i cant help but think about how globalization is effecting Spain. Well as i said in my last post, it can have positive and negative effects. Globalization is effecting Spain negatively because of outsourcing. Its great to outsource because it reduces expenses for businesses(labor) which decreases the cost of the finished product. It creates lower wages for labor so you can hire more people for less money and then make more products in less time with more people. However As I stated in my last blog outsourcing causes unemployment to increase in the home country. This is showing big time in Spain because there unemployment rate in 2014 was 25.1%.
Globalization is helping Spain economically though. Their GDP continues to rise which puts them towards catching up to other European countries. They also have been able to banking and large corporations sectors by interacting with other countries.
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