Which of the following is an impact of liberalisation of markets under globalization?

• A. Off-shoring
• B. New markets = homogeneous (less choice)
• C. Increase competition (hurts small biz)
• D. Liberalisation of markets - removal of trade barriers may remove regs to protect customers and workers

Answer: (D)

Liberalising markets under globalization means removing barriers to trade and investment and reducing regulations to attract business. A key outcome is that this deregulation can extend to protections for consumers and workers, since policymakers often loosen rules to make markets more attractive. In other words, opening up can come with weaker safeguards, so standards for product safety, labor rights, and consumer protection may be relaxed unless specifically maintained. This direct link between liberalisation and potential loss of protections is why this option best captures the impact. Off-shoring is a possible business response rather than a direct policy effect of liberalisation, increased competition is a consequence of openness but doesn’t focus on protections, and the idea that new markets become homogeneous contradicts the idea of growing choice and competition.