These early waves of globalization provided some useful lessons. First, among the countries participating in globalization there was "convergence", with poorer economies growing especially fast and catching up with the richer ones. Second, "the review of history reminds us that globalization can be stopped and reversed, with very unpleasant consequences. Hence the importance of international cooperation to maintain and extend an open system for trade and investment" (Dollar. 2001, p2).
What is distinctive about the third wave of globalization that began in the late 1970s is that for the fist time large developing countries chose to open up to foreign trade and investment. "Growth rates in a wide range of countries have accelerated as they have integrated with the global economy - China, India, Mexico, Uganda and Vietnam are all examples" (Dollar 2001, p2). The post-1980 globalizers have not merely liberalized trade and investment, they have more generally put in place sound institutions and policies for productive investment and growth. While a group of developing countries, with a total of 3 billion people, have increased their integration with the world economy, the rest of the developing world actually trades less today than 20 years ago. .
"Societies and economies around the world are becoming more integrated. Integration is the result of reduced costs of transport, lower trade barriers, faster communication of ideas, rising capital flows, and intensifying pressure for migration" (Dollar, Collier. 2002, p1). Integration, or globalization, has generated anxieties about rising inequality, shifting power, and cultural uniformity. For example, "10 percent of the worlds population produces 70 percent of its goods and services and receives 70 percent of world income. At the other extreme half of the worlds population lives on less than $2 a day" (Dollar, Collier. 2000, p1). Some, but not all of these anxieties are well founded.
