Which of the following is a key driver of globalization?

Advances in technology are a key driver of globalization because they enhance communication, transportation, and information exchange across borders. Technological improvements have made it easier for businesses to operate internationally, facilitating global trade and investment. For example, the internet has revolutionized how companies market their products and connect with customers worldwide, while advancements in logistics technologies allow for efficient distribution of goods across long distances.

In contrast, increased government regulations can often act as a barrier to globalization, as they limit the ease with which businesses can operate in different countries. Higher taxes on exports can disincentivize international trade by making exported goods more expensive and less competitive. Similarly, limited investment opportunities restrict the flow of capital across borders, slowing the pace of globalization. Therefore, advances in technology fundamentally enable and encourage the interconnectedness that characterizes globalization.