Chapter 2 Globalization
Chapter 2 Globalization
Globalization (North American spelling; also Oxford spelling [UK]) or globalisation (non-Oxford British
spelling; see spelling differences) is the process of interaction and integration among people, companies, and
governments worldwide. The term globalization first appeared in the early 20th century (supplanting an earlier
French term mondialisation), developed its current meaning sometime in the second half of the 20th century,
and came into popular use in the 1990s to describe the unprecedented international connectivity of the post–
Cold War world.[2] Its origins can be traced back to 18th and 19th centuries due to advances
in transportation and communications technology. This increase in global interactions has caused a growth in
international trade and the exchange of ideas, beliefs, and culture. Globalization is primarily an economic
process of interaction and integration that is associated with social and cultural aspects. However, disputes and
international diplomacy are also large parts of the history of globalization, and of modern globalization.
Economically, globalization involves goods, services, data, technology, and the economic resources
of capital. The expansion of global markets liberalizes the economic activities of the exchange of goods and
funds. Removal of cross-border trade barriers has made the formation of global markets more
feasible. Advances in transportation, like the steam locomotive, steamship, jet engine, and container ships, and
developments in telecommunication infrastructure such as the telegraph, the Internet, mobile phones,
and smartphones, have been major factors in globalization and have generated further interdependence of
economic and cultural activities around the globe.
Though many scholars place the origins of globalization in modern times, others trace its history to long before
the European Age of Discovery and voyages to the New World, and some even to the third millennium BCE.
[8]
Large-scale globalization began in the 1820s, and in the late 19th century and early 20th century drove a
rapid expansion in the connectivity of the world's economies and cultures. The term global city was
subsequently popularized by sociologist Saskia Sassen in her work The Global City: New York, London,
Tokyo (1991).
In 2000, the International Monetary Fund (IMF) identified four basic aspects of globalization: trade
and transactions, capital and investment movements, migration and movement of people, and the
dissemination of knowledge. Globalizing processes affect and are affected by business and work organization,
economics, sociocultural resources, and the natural environment. Academic literature commonly divides
globalization into three major areas: economic globalization, cultural globalization, and political globalization.
Proponents of globalization point to economic growth and broader societal development as benefits, while
opponents claim globalizing processes are detrimental to social well-being due to ethnocentrism,
environmental consequences, and other potential drawbacks.
Between 1990 and 2010, globalisation progressed rapidly, driven by the information and communication
technology revolution that lowered communication costs, along with trade liberalisation and the shift of
manufacturing operations to emerging economies (particularly China).
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Though often treated as synonyms, in French, globalization is seen as a stage following mondialisation, a stage
that implies the dissolution of national identities and the abolishment of borders inside the world network of
economic exchanges.
Since its inception, the concept of globalization has inspired competing definitions and interpretations. Its
antecedents date back to the great movements of trade and empire across Asia and the Indian Ocean from the
15th century onward.
In 1848, Karl Marx noticed the increasing level of national inter-dependence brought on by capitalism, and
predicted the universal character of the modern world society. He states:
The bourgeoisie has through its exploitation of the world market given a cosmopolitan character to production
and consumption in every country. To the great chagrin of Reactionists, it has drawn from under the feet of
industry the national ground on which it stood. All old-established national industries have been destroyed or
are daily being destroyed. . . . In place of the old local and national seclusion and self-sufficiency, we have
intercourse in every direction, universal inter-dependence of nations.
Sociologists Martin Albrow and Elizabeth King define globalization as "all those processes by which the
people of the world are incorporated into a single world society." In The Consequences of Modernity, Anthony
Giddens writes: "Globalization can thus be defined as the intensification of worldwide social relations which
link distant localities in such a way that local happenings are shaped by events occurring many miles away and
vice versa." In 1992, Roland Robertson, professor of sociology at the University of Aberdeen and an early
writer in the field, described globalization as "the compression of the world and the intensification of the
consciousness of the world as a whole."
Although in its simplistic sense globalization refers to the widening, deepening and speeding up of global
interconnection, such a definition begs further elaboration. ... Globalization can be on a continuum with the
local, national and regional. At one end of the continuum lie social and economic relations and networks which
are organized on a local and/or national basis; at the other end lie social and economic relations and networks
which crystallize on the wider scale of regional and global interactions. Globalization can refer to those spatial-
temporal processes of change which underpin a transformation in the organization of human affairs by linking
together and expanding human activity across regions and continents. Without reference to such expansive
spatial connections, there can be no clear or coherent formulation of this term. ... A satisfactory definition of
globalization must capture each of these elements: extensity (stretching), intensity, velocity and impact.
Held and his co-writers' definition of globalization in that same book as "transformation in the spatial
organization of social relations and transactions—assessed in terms of their extensity, intensity, velocity and
impact—generating transcontinental or inter-regional flows" was called "probably the most widely-cited
definition" in the 2014 DHL Global Connectiveness Index.
Swedish journalist Thomas Larsson, in his book The Race to the Top: The Real Story of Globalization, states
that globalization:
...is the process of world shrinkage, of distances getting shorter, things moving closer. It pertains to the
increasing ease with which somebody on one side of the world can interact, to mutual benefit, with somebody
on the other side of the world.
Paul James defines globalization with a more direct and historically contextualized emphasis:
Globalization is the extension of social relations across world-space, defining that world-space in terms of the
historically variable ways that it has been practiced and socially understood through changing world-time.
Manfred Steger, professor of global studies and research leader in the Global Cities Institute at RMIT
University, identifies four main empirical dimensions of globalization: economic, political, cultural,
and ecological. A fifth dimension—the ideological—cutting across the other four. The ideological dimension,
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according to Steger, is filled with a range of norms, claims, beliefs, and narratives about the phenomenon
itself.
James and Steger stated that the concept of globalization "emerged from the intersection of four interrelated
sets of 'communities of practice' (Wenger, 1998): academics, journalists, publishers/editors, and librarians." [2]:
424
They note the term was used "in education to describe the global life of the mind"; in international
relations to describe the extension of the European Common Market, and in journalism to describe how the
"American Negro and his problem are taking on a global significance". [2] They have also argued that four
forms of globalization can be distinguished that complement and cut across the solely empirical dimensions. [27]
[29]
According to James, the oldest dominant form of globalization is embodied globalization, the movement of
people. A second form is agency-extended globalization, the circulation of agents of different institutions,
organizations, and polities, including imperial agents. Object-extended globalization, a third form, is the
movement of commodities and other objects of exchange. He calls the transmission of ideas, images,
knowledge, and information across world-space disembodied globalization, maintaining that it is currently the
dominant form of globalization. James holds that this series of distinctions allows for an understanding of how,
today, the most embodied forms of globalization such as the movement of refugees and migrants are
increasingly restricted, while the most disembodied forms such as the circulation of financial instruments and
codes are the most deregulated.
The journalist Thomas L. Friedman popularized the term "flat world", arguing that globalized
trade, outsourcing, supply-chaining, and political forces had permanently changed the world, for better and
worse. He asserted that the pace of globalization was quickening and that its impact on business organization
and practice would continue to grow.
Economist Takis Fotopoulos defined "economic globalization" as the opening and deregulation
of commodity, capital, and labor markets that led toward present neoliberal globalization. He used "political
globalization" to refer to the emergence of a transnational élite and a phasing out of the nation-state.
Meanwhile, he used "cultural globalization" to reference the worldwide homogenization of culture. Other of
his usages included "ideological globalization", "technological globalization", and "social globalization".
Lechner and Boli (2012) define globalization as more people across large distances becoming connected in
more and different ways.
"Globophobia" is used to refer to the fear of globalization, though it can also mean the fear of balloons.
Archaic
Archaic globalization
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emerged the way it did. The interactions of states were not on a global scale and most often were confined to
Asia, North Africa, the Middle East, and certain parts of Europe. With early globalization, it was difficult for
states to interact with others that were not close. Eventually, technological advances allowed states to learn of
others' existence and thus another phase of globalization can occur. The third has to do with inter-dependency,
stability, and regularity. If a state is not dependent on another, then there is no way for either state to be
mutually affected by the other. This is one of the driving forces behind global connections and trade; without
either, globalization would not have emerged the way it did and states would still be dependent on their
own production and resources to work. This is one of the arguments surrounding the idea of early
globalization. It is argued that archaic globalization did not function in a similar manner to modern
globalization because states were not as interdependent on others as they are today.
Also posited is a "multi-polar" nature to archaic globalization, which involved the active participation of non-
Europeans. Because it predated the Great Divergence in the nineteenth century, where Western Europe pulled
ahead of the rest of the world in terms of industrial production and economic output, archaic globalization was
a phenomenon that was driven not only by Europe but also by other economically developed Old
World centers such as Gujarat, Bengal, coastal China, and Japan.
The Silk Road in the 1st centuryNative New World crops exchanged globally (clockwise): Maize, tomato,
potato, vanilla, rubber, cacao, tobacco
Trade on the Silk Road was a significant factor in the development of civilizations from China, the Indian
subcontinent, Persia, Europe, and Arabia, opening long-distance political and economic interactions between
them. Though silk was certainly the major trade item from China, common goods such as salt and sugar were
traded as well; and religions, syncretic philosophies, and various technologies, as well as diseases, also
traveled along the Silk Routes. In addition to economic trade, the Silk Road served as a means of carrying out
cultural trade among the civilizations along its network. The movement of people, such as refugees, artists,
craftsmen, missionaries, robbers, and envoys, resulted in the exchange of religions, art, languages, and new
technologies.
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Early modern
Proto-globalization
"Early modern" or "proto-globalization" covers a period of the history of globalization roughly spanning the
years between 1600 and 1800. The concept of "proto-globalization" was first introduced by historians A. G.
Hopkins and Christopher Bayly. The term describes the phase of increasing trade links and cultural exchange
that characterized the period immediately preceding the advent of high "modern globalization" in the late 19th
century. This phase of globalization was characterized by the rise of maritime European empires, in the 15th
and 17th centuries, first the Portuguese Empire (1415) followed by the Spanish Empire (1492), and later
the Dutch and British Empires. In the 17th century, world trade developed further when chartered
companies like the British East India Company (founded in 1600) and the Dutch East India Company (founded
in 1602, often described as the first multinational corporation in which stock was offered) were established.
Lisbon in the 1570s had many Africans due to the Atlantic slave trade.
The 1843 launch of the Great Britain, the revolutionary ship of Isambard Kingdom BrunelDuring the 19th and
early 20th centuries, the United Kingdom was a global superpower.
Modern
According to economic historians Kevin H. O'Rourke, Leandro Prados de la Escosura, and Guillaume Daudin,
several factors promoted globalization in the period 1815–1870:
The conclusion of the Napoleonic Wars brought in an era of relative peace in Europe.
Innovations in transportation technology reduced trade costs substantially.
New industrial military technologies increased the power of European states and the United States, and
allowed these powers to forcibly open up markets across the world and extend their empires.
A gradual move towards greater liberalization in European countries.
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During the 19th century, globalization approached its form as a direct result of the Industrial
Revolution. Industrialization allowed standardized production of household items using economies of
scale while rapid population growth created sustained demand for commodities. In the 19th century,
steamships reduced the cost of international transportation significantly and railroads made inland
transportation cheaper. The transportation revolution occurred some time between 1820 and 1850. [37] More
nations embraced international trade.[37] Globalization in this period was decisively shaped by nineteenth-
century imperialism such as in Africa and Asia. The invention of shipping containers in 1956 helped advance
the globalization of commerce.
After World War II, work by politicians led to the agreements of the Bretton Woods Conference, in which
major governments laid down the framework for international monetary policy, commerce, and finance, and
the founding of several international institutions intended to facilitate economic growth by lowering trade
barriers. Initially, the General Agreement on Tariffs and Trade (GATT) led to a series of agreements to remove
trade restrictions. GATT's successor was the World Trade Organization (WTO), which provided a framework
for negotiating and formalizing trade agreements and a dispute resolution process. Exports nearly doubled
from 8.5% of total gross world product in 1970 to 16.2% in 2001. [50] The approach of using global agreements
to advance trade stumbled with the failure of the Doha Development Round of trade negotiation. Many
countries then shifted to bilateral or smaller multilateral agreements, such as the 2011 United States–Korea
Free Trade Agreement.
Since the 1970s, aviation has become increasingly affordable to middle classes in developed countries. Open
skies policies and low-cost carriers have helped to bring competition to the market. In the 1990s, the growth of
low-cost communication networks cut the cost of communicating between countries. More work can be
performed using a computer without regard to location. This included accounting, software development, and
engineering design.
Student exchange programs became popular after World War II, and are intended to increase the participants'
understanding and tolerance of other cultures, as well as improving their language skills and broadening their
social horizons. Between 1963 and 2006 the number of students studying in a foreign country increased 9
times.
D.H. Comet, the world's first commercial jet airliner, entered service in
1949.
Since the 1980s, modern globalization has spread rapidly through the
expansion of capitalism and neoliberal ideologies. The implementation
of neoliberal policies has allowed for the privatization of public
industry, deregulation of laws or policies that interfered with the free
flow of the market, as well as cut-backs to governmental social
services. These neoliberal policies were introduced to many developing
countries in the form of structural adjustment programs (SAPs) that were implemented by the World Bank and
the International Monetary Fund (IMF). These programs required that the country receiving monetary aid
would open its markets to capitalism, privatize public industry, allow free trade, cut social services like
healthcare and education and allow the free movement of giant multinational corporations. These programs
allowed the World Bank and the IMF to become global financial market regulators that would promote
neoliberalism and the creation of free markets for multinational corporations on a global scale.
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In the late 19th and early 20th century, the connectedness of the world's economies and cultures grew very
quickly. This slowed down from the 1910s onward due to the World Wars and the Cold War, but picked up
again in the 1980s and 1990s. The revolutions of 1989 and subsequent liberalization in many parts of the world
resulted in a significant expansion of global interconnectedness. The migration and movement of people can
also be highlighted as a prominent feature of the globalization process. In the period between 1965 and 1990,
the proportion of the labor force migrating approximately doubled. Most migration occurred between
the developing countries and least developed countries (LDCs). As economic integration intensified workers
moved to areas with higher wages and most of the developing world oriented toward the international market
economy. The collapse of the Soviet Union not only ended the Cold War's division of the world – it also left
the United States its sole policeman and an unfettered advocate of free market. It also resulted in the growing
prominence of attention focused on the movement of diseases, the proliferation of popular culture and
consumer values, the growing prominence of international institutions like the UN, and concerted international
action on such issues as the environment and human rights. Other developments as dramatic were the Internet's
becoming influential in connecting people across the world; As of June 2012, more than 2.4 billion people—
over a third of the world's human population—have used the services of the Internet. Growth of globalization
has never been smooth. One influential event was the late 2000s recession, which was associated with lower
growth (in areas such as cross-border phone calls and Skype usage) or even temporarily negative growth (in
areas such as trade) of global interconnectedness.
The China–United States trade war, starting in 2018, negatively affected trade between the two largest national
economies. The economic impact of the COVID-19 pandemic included a massive decline in tourism and
international business travel as many countries temporarily closed borders. The 2021–2022 global supply chain
crisis resulted from temporary shutdowns of manufacturing and transportation facilities, and labor shortages.
Supply problems incentivized some switches to domestic production. [64] The economic impact of the 2022
Russian invasion of Ukraine included a blockade of Ukrainian ports and international sanctions on Russia,
resulting in some de-coupling of the Russian economy with global trade, especially with the European Union
and other Western countries.
Modern consensus for the last 15 years regards globalization as having run its course and gone into decline. A
common argument for this is that trade has dropped since its peak in 2008, and never recovered since the Great
Recession. New opposing views from some economists have argued such trends are a result of price drops and
in actuality, trade volume is increasing, especially with agricultural products, natural resources and refined
petroleum.
Economic globalization
Singapore is the top country in the Enabling Trade Index as of 2016.U.S. Trade Balance and Trade
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Policy (1895–2015) Dividends worth CZK 289 billion were paid to the foreign owners of Czech companies in
2016.
Economic globalization is the increasing economic interdependence of national economies across the world
through a rapid increase in cross-border movement of goods, services, technology, and capital. Whereas the
globalization of business is centered around the diminution of international trade regulations as well as tariffs,
taxes, and other impediments that suppresses global trade, economic globalization is the process of
increasing economic integration between countries, leading to the emergence of a global marketplace or a
single world market. Depending on the paradigm, economic globalization can be viewed as either a positive or
a negative phenomenon. Economic globalization comprises: globalization of production; which refers to the
obtainment of goods and services from a particular source from locations around the globe to benefit from
difference in cost and quality. Likewise, it also comprises globalization of markets; which is defined as the
union of different and separate markets into a massive global marketplace. Economic globalization also
includes competition, technology, and corporations and industries.
Current globalization trends can be largely accounted for by developed economies integrating with less
developed economies by means of foreign direct investment, the reduction of trade barriers as well as other
economic reforms, and, in many cases, immigration.
International standards have made trade in goods and services more efficient. An example of such standard is
the intermodal container. Containerization dramatically reduced the costs of transportation, supported the post-
war boom in international trade, and was a major element in globalization. International standards are set by
the International Organization for Standardization, which is composed of representatives from various
national standards organizations.
A multinational corporation, or worldwide enterprise, is an organization that owns or controls the production
of goods or services in one or more countries other than their home country. It can also be referred to as an
international corporation, a transnational corporation, or a stateless corporation.
A free-trade area is the region encompassing a trade bloc whose member countries have signed a free-
trade agreement (FTA). Such agreements involve cooperation between at least two countries to reduce trade
barriers – import quotas and tariffs – and to increase trade of goods and services with each other.
If people are also free to move between the countries, in addition to a free-trade agreement, it would also be
considered an open border. Arguably, the most significant free-trade area in the world is the European Union,
a politico-economic union of 27 member states that are primarily located in Europe. The EU has
developed European Single Market through a standardized system of laws that apply in all member states. EU
policies aim to ensure the free movement of people, goods, services, and capital within the internal market,
Trade facilitation looks at how procedures and controls governing the movement of goods across national
borders can be improved to reduce associated cost burdens and maximize efficiency while safeguarding
legitimate regulatory objectives.
Global trade in services is also significant. For example, in India, business process outsourcing has been
described as the "primary engine of the country's development over the next few decades, contributing broadly
to GDP growth, employment growth, and poverty alleviation".
Cultural globalization
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Shakira, a Colombian multilingual singer-songwriter, playing outside her home
country
Cultural globalization refers to the transmission of ideas, meanings, and values
around the world in such a way as to extend and intensify social relations. This
process is marked by the common consumption of cultures that have been
diffused by the Internet, popular culture media, and international travel. This
has added to processes of commodity exchange and colonization which have a
longer history of carrying cultural meaning around the globe. The circulation of
cultures enables individuals to partake in extended social relations that cross
national and regional borders. The creation and expansion of such social
relations is not merely observed on a material level. Cultural globalization
involves the formation of shared norms and knowledge with which people
associate their individual and collective cultural identities. It brings increasing
interconnectedness among different populations and cultures.
Cross-cultural communication is a field of study that looks at how people from differing cultural backgrounds
communicate, in similar and different ways among themselves, and how they endeavor to communicate across
cultures. Intercultural communication is a related field of study.
Cultural diffusion is the spread of cultural items—such as ideas, styles, religions, technologies, languages etc.
Cultural globalization has increased cross-cultural contacts, but may be accompanied by a decrease in the
uniqueness of once-isolated communities. For example, sushi is available in Germany as well as Japan,
but Euro-Disney outdraws the city of Paris, potentially reducing demand for "authentic" French
pastry. Globalization's contribution to the alienation of individuals from their traditions may be modest
compared to the impact of modernity itself, as alleged by existentialists such as Jean-Paul Sartre and Albert
Camus. Globalization has expanded recreational opportunities by spreading pop culture, particularly via the
Internet and satellite television. The cultural diffusion can create a homogenizing force, where globalization is
seen as synonymous with homogenizing force via connectedness of markets, cultures, politics and the desire
for modernizations through imperial countries sphere of influence.
Religions were among the earliest cultural elements to globalize, being spread by force, migration, evangelists,
imperialists, and traders. Christianity, Islam, Buddhism, and more recently sects such as Mormonism are
among those religions which have taken root and influenced endemic cultures in places far from their origins.
Music has an important role in economic and cultural development during globalization. Music genres such as
jazz and reggae began locally and later became international phenomena. Globalization gave support to
the world music phenomenon by allowing music from developing countries to reach broader
audiences. Though the term "World Music" was originally intended for ethnic-specific music, globalization is
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now expanding its scope such that the term often includes hybrid subgenres such as "world fusion", "global
fusion", "ethnic fusion", and worldbeat.
Use of chili pepper has spread from the Americas to cuisines around
the world, including Thailand, Korea, China, and Italy.
Bourdieu claimed that the perception of consumption can be seen as
self-identification and the formation of identity. Musically, this
translates into each individual having their own musical identity based
on likes and tastes. These likes and tastes are greatly influenced by
culture, as this is the most basic cause for a person's wants and
behavior. The concept of one's own culture is now in a period of
change due to globalization. Also, globalization has increased the
interdependency of political, personal, cultural, and economic factors.
A 2005 UNESCO report showed that cultural exchange is becoming more frequent from Eastern Asia, but that
Western countries are still the main exporters of cultural goods. In 2002, China was the third largest exporter
of cultural goods, after the UK and US. Between 1994 and 2002, both North America's and the European
Union's shares of cultural exports declined while Asia's cultural exports grew to surpass North America.
Related factors are the fact that Asia's population and area are several times that of North America .
Americanization is related to a period of high political American clout and of significant growth of America's
shops, markets and objects being brought into other countries.
Some critics of globalization argue that it harms the diversity of cultures. As a dominating country's culture is
introduced into a receiving country through globalization, it can become a threat to the diversity of local
culture. Some argue that globalization may ultimately lead to Westernization or Americanization of culture,
where the dominating cultural concepts of economically and politically powerful Western countries spread and
cause harm to local cultures.
Globalization is a diverse phenomenon that relates to a multilateral political world and to the increase of
cultural objects and markets between countries. The Indian experience particularly reveals the plurality of the
impact of cultural globalization.
Transculturalism is defined as "seeing oneself in the other". Transcultural is in turn described as "extending
through all human cultures" or "involving, encompassing, or combining elements of more than
one culture". Children brought up in transcultural backgrounds are sometimes called third-culture kids.
Political globalization
Intergovernmentalism is a term in political science with two meanings. The first refers to a theory of regional
integration originally proposed by Stanley Hoffmann; the second treats states and the national government as
the primary factors for integration. Multi-level governance is an approach in political science and public
administration theory that originated from studies on European integration. Multi-level governance gives
expression to the idea that there are many interacting authority structures at work in the emergent global
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political economy. It illuminates the intimate entanglement between the domestic and international levels of
authority.
Some people are citizens of multiple nation-states. Multiple citizenship, also called dual citizenship or multiple
nationality or dual nationality, is a person's citizenship status, in which a person is concurrently regarded as a
citizen of more than one state under the laws of those states.
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Other dimensions
Scholars also occasionally discuss other, less common dimensions of globalization, such as environmental
globalization (the internationally coordinated practices and regulations, often in the form of international
treaties, regarding environmental protection) or military globalization (growth in global extent and scope of
security relationships). Those dimensions, however, receive much less attention the three described above, as
academic literature commonly subdivides globalization into three major areas: economic globalization, cultural
globalization and political globalization.
Movement of people
Tourism is travel for pleasure. The developments in technology and transportation infrastructure, such
as jumbo jets, low-cost airlines, and more accessible airports have made many types of tourism more
affordable. At any given moment half a million people are in the air. [119] International tourist arrivals surpassed
the milestone of 1 billion tourists globally for the first time in 2012. A visa is a conditional authorization
granted by a country to a foreigner, allowing them to enter and temporarily remain within, or to leave that
country. Some countries – such as those in the Schengen Area – have agreements with other countries allowing
each other's citizens to travel between them without visas (for example, Switzerland is part of a Schengen
Agreement allowing easy travel for people from countries within the European Union). The World Tourism
Organization announced that the number of tourists who require a visa before traveling was at its lowest level
ever in 2015.
Immigration is the international movement of people into a destination country of which they are not natives or
where they do not possess citizenship in order to settle or reside there, especially as permanent
residents or naturalized citizens, or to take-up employment as a migrant worker or temporarily as a foreign
worker. According to the International Labour Organization, as of 2014 there were an estimated 232 million
international migrants in the world (defined as persons outside their country of origin for 12 months or more)
and approximately half of them were estimated to be economically active (i.e. being employed or seeking
employment). International movement of labor is often seen as important to economic development. For
example, freedom of movement for workers in the European Union means that people can move freely
between member states to live, work, study or retire in another country.
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A transnational marriage is a marriage between two people from different countries. A variety of special issues
arise in marriages between people from different countries, including those related to citizenship and culture,
which add complexity and challenges to these kinds of relationships. In an age of increasing globalization,
where a growing number of people have ties to networks of people and places across the globe, rather than to a
current geographic location, people are increasingly marrying across national boundaries. Transnational
marriage is a by-product of the movement and migration of people.
Movement of information
Internet users by region
Region 2005 2010 2017 2023
Africa 2% 10% 21.8% 37%
Americas 36% 49% 65.9% 87%
Arab States 8% 26% 43.7% 69%
Asia and Pacific 9% 23% 43.9% 66%
Commonwealth of
10% 34% 67.7% 89%
Independent States
Europe 46% 67% 79.6% 91%
The global digital divide: Computers per 100 people per 2006
Before electronic communications, long-distance
communications relied on mail. Speed of global
communications was limited by the maximum speed of
courier services (especially horses and ships) until the mid-
19th century. The electric telegraph was the first method of
instant long-distance communication. For example, before
the first transatlantic cable, communications between Europe
and the Americas took weeks because ships had to carry mail
across the ocean. The first transatlantic cable reduced
communication time considerably, allowing a message and a
response in the same day. Lasting transatlantic telegraph
connections were achieved in the 1865–1866. The first
wireless telegraphy transmitters were developed in 1895.
The Internet has been instrumental in connecting people across geographical boundaries. For
example, Facebook is a social networking service which has more than 1.65 billion monthly active users as of
31 March 2016.
Globalization can be spread by Global journalism which provides massive information and relies on the
internet to interact, "makes it into an everyday routine to investigate how people and their actions, practices,
problems, life conditions, etc. in different parts of the world are interrelated. possible to assume that global
threats such as climate change precipitate the further establishment of global journalism."
In the current era of globalization, the world is more interdependent than at any other time. Efficient and
inexpensive transportation has left few places inaccessible, and increased global trade has brought more and
more people into contact with animal diseases that have subsequently jumped species barriers (see zoonosis).
Coronavirus disease 2019, abbreviated COVID-19, first appeared in Wuhan, China in November 2019. More
than 180 countries have reported cases since then. As of April 6, 2020, the U.S. has the most confirmed active
cases in the world.[135] More than 3.4 million people from the worst-affected countries entered the U.S. in the
first three months since the inception of the COVID-19 pandemic. This has caused a detrimental impact on the
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global economy, particularly for SME's and Microbusinesses with unlimited liability/self-employed, leaving
them vulnerable to financial difficulties, increasing the market share for oligopolistic markets as well as
increasing the barriers of entry.
International cooperation
Environmental cooperation – One of the biggest successes of environmental cooperation has been the
agreement to reduce chlorofluorocarbon (CFC) emissions, as specified in the Montreal Protocol, in order to
stop ozone depletion. The most recent debate around nuclear energy and the non-alternative coal-burning
power plants constitutes one more consensus on what not to do. Thirdly, significant achievements in IC can be
observed through development studies.
Economic cooperation – One of the biggest challenges in 2019 with globalization is that many believe the
progress made in the past decades are now back tracking. The back tracking of globalization has coined the
term "Slobalization." Slobalization is a new, slower pattern of globalization.
Anti-globalization movement
In The Revolt of the Elites and the Betrayal of Democracy, Christopher Lasch analyzed the widening gap
between the top and bottom of the social composition in the United States. For him, our epoch is determined
by a social phenomenon: the revolt of the elites, in reference to The Revolt of the Masses (1929) by the Spanish
philosopher José Ortega y Gasset. According to Lasch, the new elites, i.e. those who are in the top 20% in
terms of income, through globalization which allows total mobility of capital, no longer live in the same world
as their fellow-citizens. In this, they oppose the old bourgeoisie of the nineteenth and twentieth centuries,
which was constrained by its spatial stability to a minimum of rooting and civic obligations. Globalization,
according to the sociologist, has turned elites into tourists in their own countries. The denationalization of
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business enterprise tends to produce a class who see themselves as "world citizens, but without accepting ...
any of the obligations that citizenship in a polity normally implies". Their ties to an international culture of
work, leisure, information – make many of them deeply indifferent to the prospect of national decline. Instead
of financing public services and the public treasury, new elites are investing their money in improving their
voluntary ghettos: private schools in their residential neighborhoods, private police, garbage collection
systems. They have "withdrawn from common life". Composed of those who control the international flows of
capital and information, who preside over philanthropic foundations and institutions of higher education,
manage the instruments of cultural production and thus fix the terms of public debate. So, the political debate
is limited mainly to the dominant classes and political ideologies lose all contact with the concerns of the
ordinary citizen. The result of this is that no one has a likely solution to these problems and that there are
furious ideological battles on related issues. However, they remain protected from the problems affecting the
working classes: the decline of industrial activity, the resulting loss of employment, the decline of the middle
class, increasing the number of the poor, the rising crime rate, growing drug trafficking, the urban crisis.
D.A. Snow et al. contend that the anti-globalization movement is an example of a new social movement, which
uses tactics that are unique and use different resources than previously used before in other social movements.
One of the most infamous tactics of the movement is the Battle of Seattle in 1999, where there were protests
against the World Trade Organization's Third Ministerial Meeting. All over the world, the movement has held
protests outside meetings of institutions such as the WTO, the International Monetary Fund (IMF), the World
Bank, the World Economic Forum, and the Group of Eight (G8). Within the Seattle demonstrations the
protesters that participated used both creative and violent tactics to gain the attention towards the issue of
globalization.
Corporatist ideology, which privileges the rights of corporations (artificial or juridical persons) over those
of natural persons, is an underlying factor in the recent rapid expansion of global commerce. In recent years,
there have been an increasing number of books (Naomi Klein's 2000 No Logo, for example) and films
(e.g. The Corporation & Surplus) popularizing an anti-corporate ideology to the public.
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A related contemporary ideology, consumerism, which encourages the personal acquisition of goods and
services, also drives globalization. Anti-consumerism is a social movement against equating personal
happiness with consumption and the purchase of material possessions. Concern over the treatment of
consumers by large corporations has spawned substantial activism, and the incorporation of consumer
education into school curricula. Social activists hold materialism is connected to global retail
merchandizing and supplier convergence, war, greed, anomie, crime, environmental degradation, and general
social malaise and discontent. One variation on this topic is activism by postconsumers, with the strategic
emphasis on moving beyond addictive consumerism.
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What is the three 3 types of globalization?
Globalizing processes affect and are affected by business and work organization, economics, sociocultural
resources, and the natural environment. Academic literature commonly divides globalization into three major
areas: economic globalization, cultural globalization, and political globalization.
Economic globalization refers to the increasing interdependence of world economies as a result of the
growing scale of cross-border trade of commodities and services, flow of international capital and
wide and rapid spread of technologies.
Cultural globalization refers to the diffusion of ideas, values, and ways of life, as well as the creation
of a global conscience, through technology, communication mediums, and transportation (Moghadam,
2005).
Political globalization can be seen in changes such as democratization of the world, creation of the
global civil society, and moving beyond the centrality of the nation-state, particularly as the sole actor
in the field of politics.
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Elements of economic globalization
The growth in cross-border economic activities takes five principal forms: (1) international trade; (2) foreign
direct investment; (3) capital market flows; (4) migration (movement of labor); and (5) diffusion of technology
(Stiglitz, 2003).
Blair in 1997
Premiership of Tony Blair
2 May 1997 – 27 June 2007
Monarch Elizabeth II
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Cabinet First Blair ministry
Second Blair ministry
Third Blair ministry
Party Labour
Election 1997
2001
2005
Seat 10 Downing Street
Blair's first term saw an extensive programme of changes to the constitution. The Human Rights Act was
introduced in 1998; a Scottish Parliament and a Welsh Assembly were established following referendums held
with a majority voting in favour; most hereditary peers were removed from the House of Lords in 1999;
the Greater London Authority and the position of Mayor of London were established in 2000; and the Freedom
of Information Act was passed later in the same year, with its provisions coming into effect over the following
decade. This last Act disappointed campaigners, whose hopes had been raised by a 1997 White Paper which
had promised more robust legislation.[9] Blair later described the FoIA as one of his "biggest regrets", [10] writing
in his autobiography, "I quake at the imbecility of it." Whether the House of Lords should be fully appointed,
fully elected, or be subject to a combination of the two remains a disputed question to the present day. 2003
saw a series of inconclusive votes on the subject in the House of Commons.
Significant change took place to legislation relating to rights of lesbian, gay, bisexual and transgender people
during Blair's period in office. During his first term, the age of consent for homosexuals was equalised at
sixteen years of age (see Sexual Offences (Amendment) Act 2000) and the ban on homosexuals in the armed
forces was lifted. Subsequently, in 2005, a Civil Partnership Act came into effect, allowing gay couples to
form legally recognised partnerships with the same rights as a traditional heterosexual marriage. At the end of
September 2006, more than 30,000 Britons had entered into Civil Partnerships as a result of this law.
[12]
Adoption by same-sex couples was legalised, and discrimination in the workplace ( Employment Equality
(Sexual Orientation) Regulations 2003), and in relation to the provision of goods and services (Equality Act
(Sexual Orientation) Regulations) were both made illegal. Transgender people were given the right to change
their birth certificate to reflect their new gender as a result of the Gender Recognition Act 2004.
Social policies
During his first term as prime minister, Blair raised taxes; introduced a National Minimum Wage and some
new employment rights; introduced significant constitutional reforms; promoted new rights for gay people in
the Civil Partnership Act 2004; and signed treaties integrating the UK more closely with the EU. He
introduced substantial market-based reforms in the education and health sectors; introduced student tuition
fees; sought to reduce certain categories of welfare payments, and introduced tough anti-terrorism and identity
card legislation. Under Blair's government, the amount of new legislation increased which attracted criticism.
[17]
Blair increased police powers by adding to the number of arrestable offences, compulsory DNA
recording and the use of dispersal orders.
Under the years of the Blair ministry, expenditure on social services was increased, while various anti-poverty
measures were introduced. From 2001 to 2005, public spending increased by an average of 4.8% in real terms,
while spending on transport went up by 8.5% per annum, health by 8.2% per annum, and education by 5.4%
per annum. Between 1997 and 2005, child poverty was more than halved in absolute terms as a result of
measures such as the extension of maternity pay, increases in child benefit, and by the growth in the numbers
of people in employment. During that same period, the number of pensioners living in poverty fell by over
75% in absolute terms as a result of initiatives such as the introduction of Winter Fuel Payments, the reduction
of VAT on fuel, and the introduction of a Minimum Income Guarantee. To reduce poverty traps for those
making the transition from welfare to work, a minimum wage was established, together with a Working Tax
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Credit and a Child Tax Credit. Together with various tax credit schemes to supplement low earnings, the Blair
Government's policies significantly increased the earnings of the lowest income decile. In addition, under the
Working Time Regulations of 1998, British workers gained a statutory entitlement to paid holidays.
Between 1997 and 2003, spending on early years education and childcare rose in real terms from £2.0 billion
to £3.6 billion. During Blair's first term in office, 100 "Early Excellence" centres opened, together with new
nurseries, while 500 Sure Start projects began. Although the number of children fell, the amount of state
support to families with children increased, with money paid only to them (child contingent support) going up
by 52% in real terms from 1999 to 2005. The Blair ministry also extended to three-year-olds the right to a free
nursery place for half a day Monday to Friday. Tax credits assisted some 300,000 families (at January 2004)
with childcare costs, while the 2004 budget exempted the first £50 of weekly payments to nannies and
childminders from tax and National Insurance, restricted to couples earning not more than £43,000 per annum.
The Countryside and Rights of Way Act 2000 extended a legal right to walk to about 3,200 square miles of
open countryside, mainly in the North of England.
During its first year in office, the Blair Government made the controversial decision of cutting Lone Parent
Benefit, which led to abstentions amongst many Labour MPs. In March 1998, however, Brown responded in
his Budget statement by increasing child benefit by £2.50 a week above the rate of inflation, the largest ever
increase in the benefit. Public expenditure on education, health, and social security rose more rapidly under the
Blair government than it did under previous Labour governments, the latter due to initiatives such as the
introduction of the Working Families Tax Credit and increases in pensions and child benefits. During the Blair
Government's time in office, incomes for the bottom 10% of earners increased as a result of transfers through
the social security system.
New rights for workers were introduced such as extended parental rights, a significant raising of the maximum
compensation figure for unfair dismissal, a restoration of the qualifying period for protection against unfair
dismissal to twelve months, and the right to be accompanied by a trade union official during a disciplinary or
grievance hearing, whether or not a trade union is recognised. In addition, an Employee Relation Act was
passed which introduced for the first time ever, the legal right of employees to trade union representation. In
2003, the Working Families Tax Credit was split into two benefits: a Working Tax Credit which was payable
to all those in work, and a Child Tax Credit which was payable to all families with children, whether in work
or not. During Blair's time in office, over 2,000,000 people had been lifted out of poverty.
A proportional voting system was introduced for the election of Britain's MEPs, while legislation changing
executive structures in local government was passed. Regional Development Agencies were set up in the 8
English regions outside London, and changes were made to the regulation of political parties and referendums,
with the introduction of a new Electoral Commission and stricter spending rules. In addition, voting
experiments resulted in an opening up of postal voting and reform of electoral registration, while the right of
hereditary peers to sit in the House of Lords was largely abolished after 700 years. In addition, the Water
Industries Act 1999 ended the right of water companies to disconnect supplies "as a sanction against non-
payment.
Immigration
Non-European immigration rose significantly during the period from 1997, not least because of
the government's abolition of the primary purpose rule in June 1997. This change made it easier for UK
residents to bring foreign spouses into the country. A former government advisor, Andrew Neather, stated in
the Evening Standard that the deliberate policy of ministers from late-2000 until early-2008 was to open up the
UK to mass migration.
Foreign policy
In 1999, Blair planned and presided over the declaration of the Kosovo War. While in opposition, the Labour
Party had criticised the Conservatives for their perceived weakness during the Bosnian war, and Blair was
among those urging a strong line by NATO against Slobodan Milošević. Blair was criticised both by those on
the left who opposed the war in principle and by some others who believed that the Serbs were fighting a
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legitimate war of self-defence. One month into the war, on 22 April 1999, Blair made a speech in Chicago
setting out his "Doctrine of the International Community". This later became known by the media as the "Blair
doctrine", and played a part in Blair's decision to order the British military intervention in the Sierra Leone
Civil War in May 2000.
Another significant change in 1997 was the creation of the Department for International Development, shifting
global development policy away from the Foreign and Commonwealth Office to an independent ministry with
a Cabinet-level minister.
Also in 1999, Blair was awarded the Charlemagne Prize by the German city of Aachen for his contributions to
the European ideal and to peace in Europe.
Shifting sectors: Globalisation will lead to a shift in the sectors of the economy. For example, the UK no
longer has a comparative advantage in many manufacturing industries. Developing countries now have an
advantage due to lower labour costs.
How have recent changes in UK trade policy post Brexit impacted the globalization of British businesses?
First, the impact of Brexit on aggregate UK trade has been relatively small, at least so far. The introduction of
the TCA has led to a small reduction in goods exports and it has caused many importers to switch from
sourcing goods from the EU to sourcing within the UK or from non-EU countries.
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Globalisation has led to an increase in outsourcing, where jobs that were once based in the UK have now
moved to countries with lower labour costs.
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