Chapter 20, Problem 5AA

To determine

To Fill: The correct term in the given blank

Answer to Problem 5AA

Ethnic

Explanation of Solution

As globalization adopts different culture, ethnic and religious backgrounds, thus it also helps in developing the level of economic growth as by starting the export and import system globally, it creates the employment opportunity in the country, thus as the employment increases, thus the production increases in every sector of the economy and thus it helps in creating more and increasing the gross domestic product.

As the employment increases, therefore it increases their wages, and salaries of the people, thus therefore as income increases, it results in their standard of living and thus people will spend more and the circular flow will get increases.