How is globalisation managed?


The UK is highly successful in attracting FDI, with the UK being the highest receiver of FDI in Europe and the second highest in the world (after the USA).

The single largest donor of FDI is the USA, 27% of all invested in the UK. This investment has raised productivity, created thousand of jobs, and encouraged innovation, new technology and new skills.

However, FDI competes directly with British firms

FDI is concentrated in London and the South East, due to the attraction of transport infrastructure and skilled labour. Of the 1773 investment projects in the UK in 2013, 656 were in London, 840 in the rest of England, but just over 200 in the rest of the UK (Wales, Scotland and N.Ireland)

Trade barriers are another method which can be used. 

British companies can sometimes have trouble operating outside the UK. This can be because of discriminatory rules and practices of other countries or misinterpretation of rules by administrative authorities.

It can also be because another country imposes an unfair increase in duty or import levy on UK business. Measures like this are known as trade barriers.

There are several different types of trade barrier. They include tariffs and non-tariff barriers.

A tariff is the amount of import duty charged on a particular type of goods. Non-tariff trade barriers are measures intended to favour local industry. They can include:
- trade regulations
- labelling rules
- unfair government subsidies

Globalisation has resulted in the freer movement of people

International migration doubled between 1975 and 2005

Today 3% of the worlds population live outside their country of birth. The UK has experienced unparalleled international immigration since 1997, before this net migrational change was virtually zero

Since this, net migration has been running at around 200,000 a year

On 18 June 2007, the Home Office released 'Managing Global Migration', a report outlining the United Kingdom's plans to manage migration to the country in the future. The plan includes strengthening borders, enforcing immigration laws, and fast tracking asylum decisions

The government also plans to boost the UK economy by attracting highly skilled migrants and making the country easy to visit legally

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