if by 'global variables' you mean register_globals, it has nothing to do with possibility to declare some variables as global.
REGISTER_GLOBALS on/off is about whether the variables from outside the script (e.g. sent by a form, or environment variables) are registered as variables in your script.
Ex: one request your script as myscript.php?var=1
if reg_glob are on, then you will have this value available as $var in your script.
if reg_glob is off, then it will be available as $_GET['var'] only.
reg_glob OFF is more secure than ON.
On the other side, declaring a variable as a global inside a function means that this variable is taken from outside a function.
Ex:
$hello = 1;
function foo()
{
echo $hello; //it will echo an empty string, because $hello has no initial value
}
function bar()
{
global $hello;
echo $hello; //it will echo 1, because $hello has value set in the first line of the code
}
So, you should never be afraid of a variable declared as global.