The Power of Education in a Globalised World: Challenging Geoeconomic Inequalities

Abstract

The globalization process has led to significant levels of controversy, as over the past few years, researchers have highlighted its negative connotations in terms of exacerbating economic inequalities, environmental degradation, exploitation of workers, loss of cultural diversity, and negative influence on democratic systems and financial stability. The negative connotation associated with the globalization process is not surprising. The implications for the global educational system significantly dominated by the influence of Western values, culture, and economic models based on consumerism to the detriment of traditional cultural and local identities have been eroded. The world economies are facing emerging areas of significant concern as we engage with the global dialogue seeking for alternatives to support sustainable economic development. On the one hand, globalization is seen as a force that cannot be stopped and will ultimately lead to everyone’s financial security. On the other hand, globalization seems to have been identified as the main culprit for economic and political imbalances affecting contemporary society. Significant aspects of the adverse effects associated with globalization relate to our global and diverse culture and the implications of leading toward a homogenized global culture. Others see it as an opportunity to flip conventional wisdom and construct cutting-edge practices. This essay provides a critical discussion and reflection on how the classic challenges of globalization have multiplied in the new, globally integrated world.

INTRODUCTION

The effects of the globalization process can extend in numerous directions. The term globalization entails the intertwining of societies and nations on all sides of the globe that transcends borders and enables the free exchange of fundamental aspects of life (Vlados, Chatzinikolaou, and Iqbal 2022; Bhagwati 2004). There has been an increase in international alliances and competition; international collaboration and knowledge exchange; the emergence of the global village; the promotion of multi-cultural integration; the adoption of international standards and norms, and the proliferation of global networking technologies like the Internet, worldwide electronic communication, and global transportation. More unrestricted movement of capital, products, and services across countries is a common definition of globalization. The fact that this pattern has persisted for so long lends credence to this view (Momeni and Khangolzadeh Sangroodi 2022; Razin 2022). The impact that globalization has on our culture raises serious concerns. For instance, income and wealth gaps between nations and within cultures might widen as a result of globalization. Unfair resource and opportunity distribution may result from rising capital and trade flows, favoring certain areas and people while leaving others behind. Jobs have been outsourced to nations with cheaper labor costs due to globalization, which may lead to subpar working conditions, low pay, and worker exploitation. Some businesses could put their financial interests ahead of the welfare and rights of their workers (Dauvergne 2010; Kurnicki 2023).

Education is crucial to any functioning society and a necessary precondition for free and fair elections, as advocated by Pais and Costa (2020), Papanikos (2022) and Fornaciari et al. (2023). The enormous discrepancy in access to education between countries is a major contributor to global inequality, as argued by Stilwell (2019), Blanden, Doepke, and Stuhler (2022) and Blanchard and Rodrik (2023). Only when people have access to the knowledge, skills, values, talents, and rights it will be possible for them to realize their fundamental rights, as they will be able to participate in and reap the benefits of globalization (Spring 2008; Rizvi, Lingard, and Rinne 2022). This essay examines the classic challenges of globalization and how they have multiplied in the new, globally integrated world. Disparities widen despite widespread access to knowledge and education designed to mitigate the negative consequences of globalization.

GLOBALIZATION: OLD PROBLEMS AUGMENTED IN A SHIFTING GEOECONOMIC LANDSCAPE

The fact that the process of globalization has ushered in an era of unprecedented connectivity and interdependence among nations seems to be undeniable, establishing a vital link with the fourth industrial revolution and the knowledge economy, which in turn are integral engines of the globalization process, as they allow the rapid dissemination and use of information on a global scale, through technological innovations (Antalová 2021; De Bandt, Bricongne, and Fontagné 2021; Mossig and Lischka 2022). Indeed, the interconnected world facilitates the exchange of goods, ideas, knowledge, practices, and cultures worldwide. But it also brings countless opportunities and challenges associated with economic growth, technological advancement, cultural enrichment, or erosion. From a more positive view, it is important to acknowledge that the globalization process has contributed to shorten distances, promoted the exchange of information on an unprecedented scale, brought peoples and nations together and fostered a worldwide economy. However, if on the one hand, we have a whole list of benefits provided by this integration process; on the other hand, globalization also brings to light a series of old problems, such as income inequality, exploitation of labor and natural resources and the erosion of cultural diversity and the withering of regional traditions, that are now also increased on a global scale, constituting the side effects of an ever-increasing world, more and more integrated (Panfilova, Okrepilov, and Kuzmina 2018; Kyove et al. 2021; Hay 2020).

When analyzing the negative consequences of the globalization process, we notice that they extend to a wide range of aspects, which we can summarize here in three large groups: economic, social and environmental (Iwabuchi 2018; Nan et al. 2022; Zhang, Khan, et al. 2022). The three pillars of sustainability: (i) Environmental Sustainability; (ii) Social Sustainability; and (iii) Economic Sustainability, have been identified as being interconnected and mutually reinforcing as we try to find a balance that enables current and future generations to thrive (United Nations 2015, 2020). As a result, we argue that a holistic approach toward our understanding of the concept of sustainability is needed. Our global society must be equipped with the required skills, knowledge and competencies that are necessary to be able to navigate the United Nations 2030 agenda, and the 17 Sustainable Development Goals clearly resonate with a need of an educational sector that is able to bring a better understanding of how the three Sustainability Pillars must work together.

Unquestionably, globalization has brought immense societal benefits, enabling technological advances. However, several preexisting problems have been magnified in our world as a side effect of the integration process. In this sense, globalization should not be solely to blame for problems before its era. Poverty, inequality and environmental degradation have deep historical roots and complex causes that go beyond the process of global integration. It would be more sensible to argue that drivers such as colonization, geopolitical power disputes and systemic conjunctures have contributed to the emergence of these problems over time. However, although it does not have the “fatherhood” of such problems, globalization has accelerated and expanded such effects. The issues posed above are challenges that require comprehensive and collaborative solutions based on sustainable development strategies, effective and practical political actions aimed at reducing the regional imbalances caused by globalization. Mitigating such adverse effects means providing access and equity to the benefits of globalization and, consequently, helping to build a more inclusive, sustainable and harmonious society (Ernst and Haar 2019; Makarova, Makarova, and Korsakova 2019; Perraton 2019; Foley, Hines, and Wessel 2021).

GROWING INEQUALITIES IN THE AGE OF TECHNOLOGICAL EXPANSION AND MASSIVE INFORMATION

The digital disparity is the most glaring example of inequality today, yet bridging the gap will need more than just access to technology. A survey from the International Telecommunication Union indicates that in 2021, half of the world’s population still had no Internet access. In some of the most highly developed countries, digital gaps linger along boundaries of earnings, ethnicity, and gender. While certain population segments benefit immensely from technological progress, others are left increasingly adrift. There is a significant divide in both access and digital literacy. In the present-day information-rich environment, the ability to sift through mountains of data in search of reliable answers is more crucial than ever. Yet, this level of comfort with digital media is not typical. Information poverty, or a persistent knowledge shortage, can negatively impact an individual’s social and economic potential due to a lack of digital literacy.

One symptom of this problem is economic inequality. Even though digitization and technology have produced unprecedented benefits, the prosperity and the potential for development have been dispersed poorly. Large IT companies and their executives, primarily from wealthy nations, have benefited enormously, leading to a skewed distribution of wealth. However, many people, especially those in underdeveloped nations and minority groups, live on the fringes of this digital wealth (Piketty and Saez 2014; Grybauskas, Stefanini, and Ghobakhloo 2022; Tien-Dung, Majerova, and Das 2022). The split between people who have and do not have access to technology, the Internet, and digital literacy abilities is a prime illustration of this trend. In today’s linked society, having access to technology is as essential as having running water or electricity. Disparities in education, employment, and social connections are exacerbated by people’s inability to use or understand digital technologies, requiring a significant shift in how educational models are addressing the digital divide at the global level and not only focused on the world’s most privileged economies (World Bank 2016; Heeks 2022). In addition, the rising prevalence of Artificial Intelligence (AI) and automation technologies in the workplace poses a danger to low-skilled and regular occupations. Unskilled workers may be pushed out of the labor market or into lower-paying positions because of technological change, with workers from poor and less developing economies not standing a chance as they do not have access to the educational system (Frank 2019; Pal 2023).

Another major issue related to the digital divide is the growing information access gap. The capacity to obtain, evaluate, and use information is more important than ever. Unfortunately, not everyone has the skills necessary to process this information correctly, and as a result, many people end up misinformed or without access to helpful resources. This knowledge gap contributes to existing social and political disparities. To combat these widening disparities, collective action across all spheres is required. Access to technology, digital literacy education, and policies that more equally divide the advantages of technological advancement must be fostered. These unchecked discrepancies threaten to undermine the digital age’s potential benefits and lead to even greater social imbalances that can lead toward rising levels of conflict derived from economic isolation triggered by a lack of access toward adequate and appropriate education (Gupta 2023; Houston 2004). Schumpeter’s (1942) creative destruction theory explains how innovations in a capitalist society constantly destroy outdated companies and processes while giving birth to more innovative ones. This never-ending cycle of creation and destruction has its roots in the educational system. Education plays an essential role in encouraging the economic and societal transitions required for creative destruction by providing individuals with the information, skills, and inventive thinking to bring about these changes. Economic growth through reskilling and upskilling is essential when industries evolve and become obsolete due to creative destruction.

CONNECTING EDUCATION, GLOBALIZATION AND GEOECONOMICS

We have argued about the profound and significant changes brought by the globalization process and the benefits and, in parallel, the inflected damages it has brought to societies worldwide. Indeed, today’s world is an immense "global village" (Lule 2021), where people, economies and cultures are integrated, thanks to a developmental process of unprecedented magnitude in our world history, which has placed us at a notable stage of advancement. We have also highlighted that globalization has provided such benefits, but the integration process is not immune to side effects. An integrated world also presupposes problems and issues of the same scale, and the magnitude of such adverse effects is equally global, with shared consequences beyond national borders (Ergashev and Farxodjonova 2020; Hameed et al. 2021; Skare and Soriano 2021).

Among the negative aspects of globalization, the economic, social and environmental spheres can summarize the various problems engendered and magnified through integration. It is of significant interest to our society to evaluate and acknowledge the role that education and the educational system can play to enable our transition toward Economic, Social and Environmental models that align with the needs of Sustainable Development. In this regard, education can act as a powerful tool capable of alleviating or mitigating the negative consequences of globalization and the underlying problems of our socioeconomic systems. The main point of our argument begins with the observation that, by developing individuals with critical thinking and analytical skills, education provides them with the necessary skills for a perspective of intercultural understanding and environmental awareness, forming social agents capable of becoming transformers and challenging the status quo. By applying such skills linked to critical thinking, individuals educated in this process can contribute to creating a more egalitarian and sustainable world (Hassan, Bukhari, and Arshed 2020; Zameer, Shahbaz, and Vo 2020; Zhang, Khan, et al. 2022).

Education, conflict, and climate change are intricately interrelated within the context of globalization and the ongoing struggle to balance the imperatives of global integration with the pressing need to address inequalities (Monroe et al. 2019; Jones and Davison 2021). Globalization has, on the one hand, facilitated the dissemination of knowledge and technology, offering opportunities for education to transcend borders and contribute to human development (Pentang 2021). However, it has also exacerbated inequalities within and between nations, leading to social and economic disparities that often fuel conflicts (Góes and Bekkers 2022). Moreover, the globalized nature of climate change exacerbates inequalities by disproportionately impacting vulnerable communities that lack access to education and resources. These intertwined issues demand a holistic approach that recognizes the role of education in addressing inequalities, promoting conflict resolution, and mitigating the effects of climate change, thereby striving to strike a more equitable balance in the evolving landscape of globalization (Seddon et al. 2020). There is a need to balance the needs of globalization with the need to address inequalities and conflict. This can be done by investing in education, promoting peacebuilding, and addressing the root causes of climate change, as education can help to reduce conflict by promoting understanding and tolerance between different cultures. Furthermore, education can help tackle climate change by providing people with the skills and knowledge they need to adapt to environmental changes (Liu 2020; Zajda 2022; Zhao et al. 2023).

Education can act as a reducer of the negative effects associated with society’s hunger for continuous economic growth sustained by a consumerist model that exploits natural resources and that is built on the notion of wealth accumulation, lacking insights about principles that support more balanced economic models and wealth redistribution. Education has a critical and vital role as it can be understood as a potential "antidote" in the economic, social and environmental dimensions. In terms of problems linked to economic aspects, we are witnessing the exacerbation of economic inequality as one of the main side effects of globalization, leading to the marginalization of developing nations, given that the global market economy generally favors developed countries and it is built on the principles that characterize capitalist and neoliberal systems (Munck 2021; Polacko 2021; Hoeven 2023). This imbalance throws the populations of less favored nations into a situation of disadvantage, essentially reflected in an increase in poverty and inequality rates, in the face of unequal competition with those with access to the benefits of globalization. This perverse mechanism fuels the social exclusion engine (Lee, Lee, and Lien 2018; Munir and Bukhari 2020; Eichengreen et al. 2021). Education’s role in this cycle is crucial, as it helps to minimize disparities by offering individuals the opportunity to break this perverse cycle by developing the skills and knowledge needed to reach higher levels of economic and social well-being. Providing quality education to all individuals is a critical goal and should at least be a priority on the public policy agenda of nations. Our reflections and critical insights are trying to communicate how education equips individuals with desirable skills to face the challenges and fierce competition emerging from market driven economic models. Educational models are dominated by the need of curriculums that ensure the development of employability skills and competencies that are boosted as learners progress in their training. Theoretically, this is an inclusion mechanism that should work regardless of the socioeconomic origins of individuals. However, in practice, significant entry barriers to the educational process are a constant reality, as education is also an object of commercialization and consumerism and has a high economic cost (Alecu and Drange 2019; Schneider, Reilly, and Radu 2020; Butcher and Curry 2022). Ultimately, when investing in education, countries are not only promoting a reduction in the income gap and promoting social inclusion. However, what is observed is a movement in the opposite direction, in which countries have reduced their budgets for education, reflecting a tendency to align public investments with corporate activities with profit-driven objectives instead of prioritizing social investment and human capital development. Through access to education, allowing better opportunities for individuals, collective well-being is also achieved, as the local economy will benefit from increased income, creation of a business environment fostered by the entrepreneurial spirit and feedback from this now virtuous cycle (Tolchah and Mu’ammar 2019; Goodwin 2020; Torres and Bosio 2020; Abdurakhmonova et al. 2021; Tight 2021). Furthermore, we must not ignore that reducing conflicts is critical in guaranteeing economic and political stability, as it promotes a favorable environment for sustainable development and governance, essential conditions for legal security and business proliferation.

In the context of the social dimension, the globalization process has led to the rapid dissemination of information and technology, which has a side effect of a process of cultural domination by the wealthiest nations and those most involved in the integration process, overshadowing local traditions and cultures. In this sense, education can act as an agent capable of rescuing certain characteristics of regionalism, preserving cultural differences. In practical terms, it would be necessary to incorporate multicultural education into school curricula, enabling students to learn about different cultures, histories and distinguished social perspectives. Through this process, education will encourage the cultivation of altruistic social values, promoting tolerance and respect. Values that are considered essential in achieving the empathy that is so urgent in our days and necessary to reduce conflicts and enable the development of peaceful societies that act as guarantors of economic and political stable countries. Additionally, we still have the possibility of preserving languages and local arts and traditions, curbing the process of cultural domination triggered by globalization and thus ensuring that cultural diversity survives and thrives and enables enhancement of our values and promotes the preservation of our rich history (Destek 2020; Guzel, Arslan, and Acaravci 2021; Walter 2021).

Finally, we shall discuss the possible "remedy" that education provides when we analyze the effects of environmental degradation in a globalized world. Economic integration has contributed to this picture of destruction, given that unrestricted economic growth often occurs at the expense of ecological systems, without economic models recommending or even considering the need to compensate for the side effects of continuous growth. In this context, education can also be vital in changing societies toward sustainability, increasing environmental awareness and guiding our citizens toward adopting responsible practices. Disseminating such practices implies educating individuals about the consequences of environmental degradation and climate change, as well as the depletion of natural resources in the face of the predatory exploitation model we have adopted and the exacerbated consumption patterns that guide our preferences (Décamps, Allal-Chérif, and Gombault 2021; Zguir, Dubis, and Koç 2021; İnce et al. 2022). Education emphasizes the urgency of the moment by instilling in these individuals a sense of environmental preservation, awakening in themselves the importance of preserving natural resources and protecting fragile ecosystems. It will promote sustainable lifestyles and create the appropriate conditions for our current and future generations to thrive. Furthermore, on a higher scale, education can also equip individuals with the knowledge and skills to develop innovative solutions to environmental challenges, expanding the role of these individuals from an individual scale to the role of transformative social agents that is needed as we rethink our economic growth models and their fundamentals (Rahman 2020; Usman et al. 2020; Baydoun and Aga 2021; Iorember et al. 2022; Weimin et al. 2022).

CONCLUSIONS

The transformative power of education can help to minimize the problems involving rising levels of economic inequality, cultural dominance and urgencies related to environmental sustainability, which are elements that the globalization process has contributed to worsening. We argue that by investing in education, countries will empower individuals to break the cycle of poverty and contribute to economic growth. However, we need to reconsider existing economic growth definitions and the need for a paradigm change that is not only restricted to the economic dimension. Education and the educational system emerge as powerful tools in promoting cultural diversity and global harmony, extending its field of remedial action to face environmental issues, and promoting a sustainable future.

For all the outlined reasons, it is significant for governments to reconsider their approach toward investing in education and how there is a need to move away from the dynamics imposed by the neoliberal and capitalist philosophy that currently guides governments and public policymakers. We argue on the importance of prioritizing investment in educational systems, making access to quality education a right for all, regardless of the socioeconomic status of individuals or geographic location. We are aware of the economic challenges that an affordable educational system imposes on governments and the limitation of resources. However, human capital is the critical driver for sustainable economic development, and a change of approach is required. In this way, we would ensure the elimination of barriers to this powerful tool, reflecting on the empowerment of the concept of equality.

Finally, we can infer that by harnessing the power of education, societies will be able to access the opportunities presented by globalization while at the same time mitigating its negative consequences, embracing the possibilities that a more equitable, diverse and sustainable world can offer each of us. In conclusion, a fascinating contradiction exists in this era of expanding technology and vast information. It is vital to rethink and reconsider our understanding of economic growth and development and how it must be articulated within the sustainability agenda. Education has the potential to advance human progress significantly, yet it is also a major contributor to widening existing gaps between people and nations.

DISCLOSURE STATEMENT

No potential conflict of interest was reported by the author(s).

Additional information

Notes on contributors

Ozéias Rocha

Ozéias Rocha, Executive with 20 years of professional experience in large and medium-sized companies managing activities in the area of corporate finance. PhD student in Economics at Technological University Dublin, with a strong interest in research in Education for Sustainable Development. E-mail: [email protected]

Daniel Kamphambale

Daniel Kamphambale, based on a rich mix of banking and entrepreneurship for more than 15 years, Daniel is currently focused on academic activities as a researcher, pursuing a PhD in Economics at Dublin University of Technology, Ireland. Currently, research is focused on the crossroads between education and sustainable development, a topic that Daniel is passionately investigating.

Cormac MacMahon

Dr. Cormac MacMahon is the current Head of Finance at the School of Accounting, Economics and Finance, at Technological University Dublin. Formerly TU Dublin’s sustainability education manager, he has a track record of research and innovation in education for sustainable development (ESD). Cormac is a chartered engineer with over 20 years’ of experience in higher education.

Jon-Hans Coetzer

Jon-Hans Coetzer is a senior higher education leader with over 15 years of experience. He served as Academic Dean of IHTTI, Neuchâtel, and most recently Academic Dean of the European University’s Swiss Campuses. He also served as a member of the strategic management team. He designed and led academic programs in Germany, Australia, Thailand, Japan, China, Vietnam, Bosnia and Herzegovina, Croatia, South Korea, and Kazakhstan. He forged collaborative partnerships with prestigious global and regional institutions and organizations. Jon-Hans has further developed a solid experience of managing collaborative partnerships with UK partners; Bournemouth University, Derby University, and Roehampton University. These also include academic partnerships in the U.S.A; Boston University and Pace University. Strong intercultural competencies, and experience working with students, colleagues and external constituencies from 35+ countries. He also worked as Project Coordinator in Strategic Crisis Management Training for the Federal Chancellery in Bern. Jon-Hans has also worked as senior delegate of the International Committee of the Red Cross (ICRC) in more than fifteen countries and project coordinator for the United Nations Institute for Training and Research (UNITAR).

Lucía Morales

Dr. Lucía Morales is an academic innovator and active researcher in the School of Accounting, Economics and Finance at Technological University Dublin (TU Dublin) in Ireland. Before her academic career, Lucía worked in the private sector, holding different roles: Financial Manager, Assistant Financial Manager, and Foreign Department Risk Analyst (Bank). Lucía has worked at various Higher Education Institutions in Ireland, Spain, the UK, and Switzerland, among others gaining an in-depth understanding of the main challenges faced by Third Level Institutions in the fields of Economics, Finance, Data Analytics, and Education at the undergraduate and postgraduate levels. Lucía is passionate about education, its importance for economic development, and the significance of quality research to drive change and impact as she has published extensively in the fields of Economics, Finance and Education.