Beyond fluctuations of the economy, the global economy is doing well: global GDP grew by 5 per annum from the beginning of the 2000s, whereas, in the 1970s and 1980s, it not progressed still only at an annual rate close to 3. This renewed prosperity is perhaps not unrelated to the rise of globalization, which was particularly clear in recent years.
The mobility of goods, capital and labour is source of growth. It facilitates the international division of labour and to maximize economies of scale. It is diversifying the supply of products. It finally leads to greater competition among producers, a reduction in the indulging and greater productivity. In the end, globalization is a source of jobs and purchasing power.
More open trade affects, for example, standards of living of quite dramatically. In a given country, up 10 points in the opening rate increases GDP per capita of 4 on average.
Globalization creates also a second type of benefits, more difficult to quantify, but not less important: it facilitates the free movement of ideas, innovation and technical progress.
Globalization is an engine of growth that however requires a reallocation of declining activities to other most promising. And if the overall welfare increases, the situation of those affected by job losses deteriorates, at least in the short term. These job losses are clearly an anxiety-producing factor in a number of OECD countries.
The doubts expressed about the benefits of globalization also reflect the sense that wage inequality deepens, in a context where the standard of living of the middle class stagnates. In the United States, the purchasing power of the less skilled stopped over the past decades and that of the median worker has hardly progressed. These developments contribute to weaken the support of public opinion at the opening of borders, fueling protectionist reflexes.
However to qualify the statement. Between household income inequality remained stable in most of the OECD countries during the recent period, job creation and the rise of women's employment. Furthermore, and with all the precautions of use, existing studies suggest that the source of the current wage inequality, is first new technologies of information and communication, and to a lesser extent globalization itself.
In a process of globalization sometimes brutal national policies have an important role to play to increase the capacity of adjustment of the economy, including promoting professional and geographical mobility.
People affected by unemployment must be everything both well compensated and encouraged a rapid recovery. Some European countries thus managed to reconcile a proper level of compensation and job search services personalized and effective. In return, of course, research active new employment and sanctions graded for inadequate efforts. It must, moreover, to ensure not to penalize the less skilled employees through a labour costs too high, likely to harm their rapid reclassification and their future employability.
The ill-conceived regulation of certain service sectors also hinders the creation of new jobs, particularly in the retail trade, transport or certain business services. And a too strict protection of indeterminate jobs may also discourage hiring, thus decreasing the chances of reclassification of employees affected by economic changes, they are not generated by globalization. This necessary flexibility of open-ended contracts may have better protection of employees under a contract term, to better combat the development of the precarious work also for consideration.
Beyond the redistributive role that already play of taxation systems, it is essential to an effective and accessible to the greatest number, educational system both to contain inequality than to ensure the progress of standards of living. This is true for the school, the University and training throughout working life, so that skills following new skills requirements. To restore a greater security of employment, it should be, it seems to me, avoid the conservatism and opt for the movement. By continuing to create jobs and continuing reforms. Well accompanied, globalization must benefit all.