THE

CONTEMPORAR
Y WORLD
CHAPTER II: STRUCTURES OF
GLOBALIZATION
 LEARNING OBJECTIVES
At the end of the chapter the student should
able to:
Define economic globalization
Identify the actors that facilitate
economic globalization
Define the modern world system
Articulate a stance on global economic
integration
 ECONOMIC GLOBALIZATION

• Refers to the international mobility of individuals, capital,

technology, good, and services. It’s also about how in the
global economy integrated countries are. It refers to how
different countries and regions have become interdependent
across the globe. Economic globalization is historical process,
the result of human innovation and technological progress.
 ECONOMIC
• International mobility of individuals, capital,
GLOBALIZATION
technology, goods and services.
refers to the increasing of
integration around the world,
particularly through the movement
of goods, services and capital
across boarders. It refers to the
movement of people ( labor) and
knowledge (technology) across
international borders. (IMF,2008)
BRIEF HISTORY
• Beginning as early as 6500 BCE, people in Syria were
trading livestock, tools, and other items. In Sumer, an early
civilization in Southern Mesopotamia, a token system was
one of the first forms of commodity money. Labor markets
consist of workers, employers, wages, income, supply and
demand. Labor markets have been around as long as
commodity markets. The first labor markets provided
workers to grow crops and tend livestock for later sale in
local markets. Capital markets emerged in industries that
require resources beyond those of an individual farmer.
 Globalization of trade goods and
services
ECONOMIC Globalization of financial and capital
GLOBALIZATION’S markets
INTERCONNECTED Globalization of technology and
DIMENSIONS communication
Globalization of production
• The economic globalization distinct from internationalization is the
latter the about the extension of economic activities of nation-states
across boarders.
• The economic globalization also is qualitative transformation than
just quantitative change.
• In economic terms is a process making the world economy an organic
system by extending transnational economic processes and economic
relations to core countries and by deepening the economic
interdependence among them.
 THE
ADVANTAGES
OF ECONOMIC
GLOBALIZATION
It promotes local growth by stimulating
over all growth .
Higher levels of mutual trust would be
created.
A global community requires a global
economy..
.
It provides an opportunity for
undeveloped countries to join the
developed countries.
Innovations in some fields would
create new technologies .
 THE
DISADVANTAGES
OF ECONOMIC
GLOBALIZATION
 It gives more power to business
to influence civil government.
It removes local cultures’
emphasis.
It encouraged disease
development and spread
 In economic globalization, most of
the world is ignored.
The exploitation of the workers is
likely increasing.
It would change where there are
unemployment and poverty.
 ASPECTS OF ECONOMIC
GLOBALIZATION

AND INTERNATIONAL RELATIONS

 Globalization has played an essential role
in fostering economic relations among
nations across the world. In the era of
globalization countries have realized that
economic co-operation with other nations
is strategically crucial for the growth of the
economy, the essential aspects of
globalization and international industrial
•1111
1. Ensures a more natural movement across
nations of goods and services.
2.Globalization, which is conductive to
international industries relation, has also made it
possible to move smoother people between
countries. This also help people in one country
migrate to another for work tackling the
unemployment problem in many countries
3.Leads to nationwide free trade. Several bilateral
trade agreements have been signed between
countries since the early days of globalization.
4. The ensured information flows easier and faster
across geographic boundaries. Economic
relationship success often depends on information.
5. It has led to a reduction in cultural barriers that
have proved conducive to nationwide economic
cooperation.
8. Movement of capital between countries due to
globalization has also played an essential role in
international economic relations..
9. It has given rise to several multinational
corporations which undertake economic activity
across geographical boarders.
 The Impact of Globalization on
Developing, Transitional, and Developed
Countries
• It should be clear that globalization affects growth in
different countries. Indeed, as we have seen some of the
channels by which developing are adversely affected confer
benefits, on the United states and other developed countries.
Developing countries are nations with a weak industrial
base where people have a lower life expectancy, less
education, and less income.
Examples of developing countries are most of the
countries in Africa and certain countries in East Asia.
Transitional countries are those emerging from
a different type of economy towards a market-based
economy. Transitional economy refers to all states that
attempt to change their essential constitutional elements
towards market-style fundamentals.
The best examples of transitional countries are China and
Russia.
Developed countries are countries with a lot of industrial
activities and where people generally have high incomes.
They have post-industrial economies, meaning the service
sector provides more wealth than the industrial area.

The United States of America, Australia, and most of the

European countries are examples of developed countries.
• Globalization’s benefits are true because it yielded positive results just
open as it caused ruin. It leads to increase internal security and
stability. It leads to better human being, and it shares developed
countries .

• Economic globalization is an investment for the future.

THANK YOU
Reference
Mitelman James ,Globalization and its critics, in stubs, Richard and
Geoffrey, Underhill, Political Economy and the changing Global Order,
Oxford: oxford University Press 2006.
Levitt, Peggy The Transnational villagers, Berkeley, Calif,. 2001 .An
excellent work that shows jus how difficult it is to understand the lives of
contemporary global migrants if does not take the global into perspective.
reference
• Held David and Anthony McGrew, eds The global
Transformations Reader: An introduction to the globalization
debate, Cambridge, Uk, 2003.
• Bhatia M. 2000 “ free Trade Two –step ,The Asian Wall street
Journal, 14 November ,p7.
• Akamatsu .K 1961 “ A theory of Unbalanced Growth in the
world Economy : Weltwirstschaftliches Archive, Vol
• 86,No1