This report stresses that growth with inequity is a disadvantage to globalization. There are many opportunities found across borders which always tend to have a great amount of danger of a high economic growth that is surrounded with a lot of inequalities. The inequality is the fact that the wealthy people in the society are normally placed to have access to these opportunities. The economy appears tighter for most of the countries that experience exploitation of labor.
This paper makes a conclusion that it is rare for operational definitions to communicate their scope when it comes to the dealing of a topic such as political economy. The definition of globalization is seen as the growth economy of interdependent countries through the increase of volume and variety of the cross-border transactions in goods. There is also the growth of international capital flows and the widespread of technology. The political economy, however, does not sufficiently convey to globalization. However, in future, the global economy will resemble the golden straitjacket. As a result, there are two things that will be a cause of the country putting on the Golden Straitjacket. One of them is that the country’s economy will grow, and its politics will shrink. The Golden Straitjacket tightens the economic and political policy choices of the ones in power to comparatively strong and tight parameters.