Journal of Econometrics, 142(1), 5093. Or, Z. 2009: 10). Fixed effects estimation results reveal a significant negative relationship between public health expenditure and women's premature death. Gelleny, R. D., & McCoy, M. (2001). (2015). By minimizing the BIC, we obtain \(\widehat{k}\). Our work supports the idea that in order to achieve SDG3, global partnership and democracy are required. Hu, F. B. At this point, the literature is divided into two parts. (2019b). Please select which sections you would like to print: Fairbank Professor of Chinese Society and Professor of Anthropology, Harvard University. w10669). The determinants of mortality. Our results show that a higher level of per capita income is positively associated with higher levels of life expectancy. Welander, A., Lyttkens, C. H., & Nilsson, T. (2015). Those countries are Benin, Burkina Faso, Burundi, Central African Republic, Chad, Democratic Republic of Congo, The Gambia, Haiti, Madagascar, Malawi, Mali, Nepal, Niger, Rwanda, Sierra Leone, and Togo. In this study, the effects of globalization and democracy on life expectancy are empirically investigated in low-income countries. Political Research Quarterly, 54(3), 509529. In some cases, this may contribute to improved health by enabling a more varied and healthier diet; in others, it is blamed for increases in unhealthy food consumption and diabetes.DownsidesNot everything about globalization is beneficial. Department of Economics, Faculty of Economics and Administrative Sciences, Hatay Mustafa Kemal University, Hatay, Turkey, Arif Eser Guzel,Unal Arslan&Ali Acaravci, You can also search for this author in https://doi.org/10.1007/s10668-021-01225-2, DOI: https://doi.org/10.1007/s10668-021-01225-2. New England journal of medicine, 365(6), 493505. In democracies, governments have an obligation to account to citizens for what purposes the resources were used. Therefore, Westerlund (2007) suggested a bias-adjusted estimator (BA-OLS) following the methodology of Bai and Kao (2006) except in the context of determining the number of common factors. Globalization and growth in the low income African countries with the extreme bounds analysis. In economics, globalization can be defined as the process in which businesses, organizations, and countries begin operating on an international scale. This is because globalization has led to reduced costs of goods and increased trade. One of the most critical negative effects of globalization deals with the gap between social layers ("Globalization," 2015). They are said to follow a recognizable lifestyle, are instantly identifiable anywhere in the world, and feel more comfortable in each others presence than they do among their less-sophisticated compatriots. Text on this page is printable and can be used according to our Terms of Service. 4, \({\stackrel{\sim }{\beta }}_{i}\) and \({\overbrace{\beta }}_{WFE},\) respectively, indicate the parameters obtained from pooled OLS and weighted fixed effects estimation, while \({M}_{T}\) is the identity matrix. The Cross-sectionally Augmented DickeyFuller (CADF) unit root test developed by Pesaran (2007) is based on that factor modelling approach. Another negative effect of globalization is trade. Therefore, governments' tendency to violate human rights in order to maintain their power becomes lesser. The 17 Sustainable Development Goals announced by the United Nations are important guides for the development processes of developing countries. One should also notice that wider markets and higher returns are important factors that motivate entrepreneurs. Bai, J., & Kao, C. (2006). 2012). (2008). Free trade opportunities between countries help avoid business complications. These results are contradictory to positive views on the role of globalization in public health. Article The world leaders with the support of international funding organizations announced the Millennium Declaration in September 2000 at the United Nations Headquarters in New York. These days we experience the coronavirus epidemic and we see once again the importance of globalization. The case study of Port Elizabeth is used to chart some of these changes. If you have questions about licensing content on this page, please contact ngimagecollection@natgeo.com for more information and to obtain a license. https://unstats.un.org/sdgs/indicators/Global%20Indicator%20Framework%20after%202019%20refinement_Eng.pdf (Access Date: 25.12.2019). While cooperation between different countries requires globalization in the economic, social, and political fields, democracy is the way to ensure cooperation between governments and societies. Barlow and Vissandjee (1999) examined the determinants of life expectancy with cross-sectional data available in 1990 for 77 developed and developing countries. Receiving an opportunity to extend their businesses and cooperate with foreign partners, people with high incomes obtain an opportunity to increase it even more. (2004). The effects of globalization on growth were mostly driven by free trade, international specialization, technology transfers, knowledge spillovers, and competitive markets. Globalization of diabetes: the role of diet, lifestyle, and genes. Labont, R., Schrecker, T., Packer, C., & Runnels, V. Globalization, government ideology, and income inequality in developing countries. Following this study, Or (2000) analyzed the determinants of health outcomes in 21 industrialized OECD countries covering the period 19701992. Their analysis includes annual data from 168 countries covering the period 19602010. While the differences between the levels of development of countries determine the health conditions, at the same time, improvement of public health paves the way for economic development. 2014). The democracy variable (dem) is provided from the Polity IV project dataset (Marshall and Jaggers 2002). After determining the cointegration relationship, we estimated long-run coefficients utilizing CUP-FM and BA-OLS estimators proposed by Bai and Kao (2006) and Westerlund (2007), respectively. In addition, democracy is an important tool in achieving the goal of a healthy society, as it fosters accountability, transparency, and partnership between governments and the societies they rule. After the deadline of MDGs, the United Nations has announced 17 SDGs, and Good Health and Well-Being takes its place as the third goal. List of Electoral Democracies in 2019. https://freedomhouse.org/report-types/freedom-world (Access Date: 11.13.2019). There are also methodological weaknesses in previous empirical studies. Expanding on the concept of Davos culture, sociologist Peter L. Berger observed that the globalization of Euro-American academic agendas and lifestyles has created a worldwide faculty cluban international network of people who share similar values, attitudes, and research goals. World Health Organization. Article Democracy also increases life expectancy in those countries. Individuals living in countries with high per capita income are expected to have higher welfare and have a longer life expectancy (Judge, 1995). Please refer to the appropriate style manual or other sources if you have any questions. Dreher, A., Gassebner, M., & Siemers, L. H. (2012). Increased Transport of Goods One of the primary results of globalization is that it opens businesses up to new markets in which they can sell goods and source labor, raw materials, and components. In this context, the determination of the variables that will enable the achievement of the goal of a healthier society is especially important in explaining the economic differences between developing countries and developed countries. The relative instability of many African nations is cited by experts as one of the reasons why Africa has not benefited from globalization as much as countries in Asia and Latin America.Benefits of GlobalizationGlobalization provides businesses with a competitive advantage by allowing them to source raw materials where they are inexpensive. National Geographic Society is a 501 (c)(3) organization. Social globalization also provides cultural integration among the worlds people, and it changes lifestyles and consumption patterns worldwide. In Eq. To improve the health conditions of a country, the welfare of the poor should be improved as well. If no button appears, you cannot download or save the media. Franco et al. Finally, GDP per capita growth improves health status of countries. Westerlund and Edgerton (2007) suggested following LM test in order to test the null of cointegration. After the preliminary analysis of cross-sectional dependence, the CADF unit root test developed by Pesaran (2007) is found to be appropriate for our model because of its robustness under cross-sectional dependence. (2008) as follows: where \(\stackrel{\sim }{S}\) is the Swamy test statistic and k is a number of explanatory variables. In addition, ignoring the cross-sectional dependence results in inconsistent estimations. 2019a). Social Science and Medicine, 136, 5263. In our study, while globalization is used as a proxy indicator of global cooperation, democracy is an indicator of cooperation between societies and governments. The results we found contradict Tausch (2015)s evidences in 80 of 99 countries. While the authors found no significant impact of social and political globalization on life expectancy, our results show that life expectancy is positively associated with both social and political globalization. According to Freedom Houses list of electoral democracies, the countries without electoral democracy are mostly the low-income countries in the Middle East, North Africa, Sub-Saharan Africa, and Southeast Asia (Freedom House 2019). This appears, however, to be an overstatement of the phenomenon. The author suggested the estimation of k using an information criterion as. The results of homogeneity tests developed by Pesaran and Yamagata (2008) are given in Table 2. In contrast, the pessimists show that globalization is quite uneven in its impact and gives rise to negative counter-effects on the previously protected sectors, the marginalisation of entire regions of the world economy and possible increases in within-country income inequality (WCII). The first one blames globalization and argues that poverty and as a result of this, low life expectancy derives from the inequality created by globalization itself (Buss 2002). CESifo Working Paper (No. However, according to Kabir (2008), people living in an urban area can benefit from improved medical care, easy access to pharmacy, and to the hospitals that use higher technology. Environmental science and pollution research, 26(13), 1324613262. Individuals living in developed countries live a healthier life compared to those living in less developed countries. Sustainable development from millennium 2015 to Sustainable Development Goals 2030. This means that unskilled workers may be affected by declining wages, which are under constant pressure from globalization.Into the FutureRegardless of the downsides, globalization is here to stay. In this sense, it can be said that the evidence we found for low-income countries is in line with the author's evidence. Another example is Vietnam, where globalization has contributed to an increase in the prices for rice, lifting many poor rice farmers out of poverty. Moreover, as social dimensions of globalization expand and communication opportunities among people in different countries increase, the possibility of human rights violations being discovered by other people increases (Dreher et al. Effectively, this means that workers in the developed world must compete with lower-cost markets for jobs; unions and workers may be unable to defend against the threat of corporations that offer the alternative between lower pay or losing jobs to a supplier in a less expensive labor market.The situation is more complex in the developing world, where economies are undergoing rapid change. In electoral democracies, people living in poverty and suffering from health problems can easily attract the attention of policymakers compared to autocracies. w12347). In their recent study, Shahbaz et al. This method is an augmented form of Augmented DickeyFuller (ADF) regression with lagged cross-sectional average and its first difference to deal with cross-sectional dependence (Baltagi, 2008: 249). As stated in the introduction section, low-income countries show low performance in terms of health-related sustainable development goals, and their connections with global markets are weak compared to other countries. The journal of Developing areas, 41, 185204. Editor of. Determinants of health outcomes in industrialized countries: A pooled, cross-country, time-series analysis. Although homogenizing influences do indeed exist, they are far from creating anything akin to a single world culture. (1999). Any interactives on this page can only be played while you are visiting our website. Econometrica: Journal of the Econometric Society, 38, 311323. The Millennium Development Goals (MDGs) consist of 8 goals, 21 targets, and 60 related indicators covering a wide spectrum of development areas such as End Poverty and Hunger (MDG 1), Universal Education (MDG 2), Gender Equality (MDG 3), Child Health (MDG 4), Maternal Health (MDG 5), Combat HIV/AIDS (MDG 6), Environmental Sustainability (MDG 7), and Global Partnership (MDG 8). As we see, three of the goals are directly associated with the health status of the people. Although different cultures from around the world are able to interact, they begin to meld, and the contours and individuality of each begin to fade. It increases the number of international organizations in which a country is a member. Has globalization increased inequality? The main question of our study is to determine whether the problem of low life expectancy in low-income countries is due to the low levels of globalization and weak political institutions in these countries. (2009). The role of electricity consumption, globalization and economic growth in carbon dioxide emissions and its implications for environmental sustainability targets. CAS Health outcome measures of this study are infant mortality and life expectancy. While globalization and democracy indexes are used as proxy indicators of Partnerships for the Goals (SDG 17), life expectancy used a proxy of Good Health and Well-Being (SDG 3). With this, it is aimed to examine the existence of contradiction between those SDGs. alleviation). According to results, per capita income, literacy rate, per capita health expenditure, and urbanization have no significant impact on life expectancy. (2000). This leads to the reallocation of resources to solve the primary problems of the society. Low-income countries are mostly African countries where there is a rising trend in terms of integration to global markets and institutions (Beck et al. Social Indicators Research, 129(3), 11551170. cultural globalization, phenomenon by which the experience of everyday life, as influenced by the diffusion of commodities and ideas, reflects a standardization of cultural expressions around the world. The impact of economic, social, and political globalization and democracy on life expectancy in low-income countries: are sustainable development goals contradictory? Pesaran, M. H. (2006). The Review of International Organizations, 14, 543574. Financial development, trade openness and economic growth in African countries: New insights from a panel causality approach. Dreher, A. Another finding in this study shows that health expenditures in those countries failed to increase life expectancy.
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