Globalization defines the process of integration of different cultures, political systems, and economies as the world becomes increasingly connected. Although it can be debated that globalization first occurred during the great migrations of people such as those who crossed over to North America from Asia thousands of years ago or that it started during the age of colonization, globalization as we recognize it today was not defined until the 1970s, when the world was already in the midst of dramatic global change at a pace never seen before. This era of globalization in the 20th century saw innovations in communication and transportation, the freer flow of capital, and reduction of trade tariffs.
By the 20th century, transoceanic transportation had become affordable, allowing goods and materials to move more freely in larger quantities than ever before and laying the foundation for a global trade network. In 1947, twenty-three nations took part in creating the General Agreement on Tariffs and Trade (also known as GATT), a multi-lateral agreement aimed at encouraging international trade through the reduction of tariffs. International trade thus became increasingly liberalized as member nations opened their markets equally to one another.
Quicker, cheaper and more instantaneous communication also played an important role in 20th century globalization. In 1911, communication between London and New York was reduced to thirty seconds each way, with the cost being 0.5% of that in