0% found this document useful (0 votes)
6 views5 pages

Reviewer CONTEMPORARY WORLD

The document discusses the structure and components of globalization, highlighting economic, cultural, and political aspects. It emphasizes the role of major institutions like the IMF and World Bank in economic globalization, while also addressing the impact of cultural homogenization and international sporting events. Additionally, it explores the advantages and disadvantages of political globalization, including the loss of nation-state power and the complexities of international agreements.

Uploaded by

Aron R Osias
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
0% found this document useful (0 votes)
6 views5 pages

Reviewer CONTEMPORARY WORLD

The document discusses the structure and components of globalization, highlighting economic, cultural, and political aspects. It emphasizes the role of major institutions like the IMF and World Bank in economic globalization, while also addressing the impact of cultural homogenization and international sporting events. Additionally, it explores the advantages and disadvantages of political globalization, including the loss of nation-state power and the complexities of international agreements.

Uploaded by

Aron R Osias
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 5

Reviewer CONTEMPORARY WORLD the world have diets that are unique to

them, however, the cultural globalization


04 The Structure of Globalization of food has been promoted by fast-food
giants such as McDonald's, Coca-Cola,
3 Components of Globalization and Starbucks.
Academic literature commonly 3. Sport
subdivides globalization into three All the international sporting events - most
major areas (ECP) notably the World Cup and The Olympics
● Economic Globalization which bind millions together in a shared,
● Cultural/Social Globalization truly global, 'leisure experience'.
● Political Globalization
1. Converging Global Consumption
ECONOMIC GLOBALIZATION Patterns
is one most often mentioned in the media. • Today you can go to pretty much any
It is associated with massive amounts of major city in the World and share in a
financially traded daily on the different stock similar 'consumption experience
markets around the label "NEW • More and more in Asia and South America
ECONOMY". are coming to Enjoy a high-consumption
lifestyle
Economic Globalization primarily comprises • Central to this is the growth of similar
the globalization of: (PFMTO) styles of shopping
1.Production malls, and leisure parks which provide a
2. Finance homogenous
3. Markets
cultural experience in different regions
4. Technology
across the world.
5. Organizational
2. Homogeneity
In order to monitor the economy, 3 • Comes into society in several ways -
economic institutions were created. ethnically(Japanese), religiously(many
1. The International Monetary Fund (IMF) Arabs), culturally(Indians),
— would oversee the international monetary politically(communism)
System • The study has shown that the most
prominent type of homogeneity is ethnicity,
2. The International Bank for where everybody shares similar
Reconstruction and Development physiological characteristics and cultural
(IBRD) later named WORLD BANK behavior
(WB) --- would provide loans for European 3. Financial Homogeneity
reconstruction but later expanded its • It exists in many countries. It was
activities to the developing world prevalent in many communist countries- this
type of homogenous society is in decline
3. The General Agreement on now a day
Tariffs and Trade (renamed, of • North Korea is a great example of financial
the WORLD TRADE ORGANIZATION in homogeneity, at an extreme level
1992) --- would oversee multilateral trade • Scandinavian countries, where the
agreements government makes sure that every citizen of
their country enjoys high-level living
CULTURAL GLOBALIZATION standards.
Refers to the transmission of ideas, 4. The Global Village/Global
meanings, and values (IMV) across national Consciousness
borders. • Individuals and families are now more
directly plugged into the news from the
(MFS) outside world - some of the most gripping
1.Migration events of the past decade have unfolded in
This process has been going on for several real-time in front of a global audience
centuries, with languages, religious beliefs,
and values being spread by military DETRADITIONALIZATION - In his classic
conquest, missionary work, and trade. 1999 text, Runaway World, Anthony
2. Food Giddens argues that one consequence of
Food consumption is an important aspect of globalization is de/traditionalization -
culture and most societies around
where people question their traditional
beliefs about religion, marriage, gender 1. Establishment of International Norms
roles, and so on. • When nation-states sign treaties with
GLOBAL RISK CONSCIOUSNESS - Ulrich international bodies, it’s an agreement to
Beck (1992) argues that a fundamental operate within a set of norms and standards
feature of globalization is the development that all signatories will adhere to
of a global risk consciousness, 2. Ease of Movement
which emerges due to shared global • Often, political agreements between
problems which threaten people in nations lead to the relaxing of the
multiple countries. movement of labor across boundaries. This
can lead to immigration and emigration
POLITICAL GLOBALIZATION opportunities for millions of people.
Refers to the absence of the absolute 3. Ease of Trade -
sovereignty of a state’s political borders • One of the key goals of political
over a certain area as well as (1) increased globalization is to create better trade routes
interaction between the systems of around the world (in effect, to support and
government and (2) increased external promote economic globalization)
intervention and interaction on the basis of
democracy, non-governmental Disadvantages Of Political
organizations, human rights, and freedoms Globalization:

1. Loss of Power at the Nation-State


Examples of Political Globalization: Level
1. European Union - is a political and • When nation-states make multinational
economic union of 27 European countries agreements, they often make concessions
that have chosen to cooperate closely in in order to reach a middle ground that’s
various areas, including trade, security, law, satisfactory to all parties. They also sign off
and governance. on certain norms and standards that restrict
• Established to promote economic cooperation, their abilities to unilaterally take action.
with the idea that countries that trade together 2. Levels of Bureaucracy
are less likely to go to war with each other. • Multinational political agreements can add
extra layers of bureaucracy to the everyday
2. NATO - The North American Treaty activities of businesses and citizens. For
Organization is another multi-national example, many global political agreements
political treaty established after World War put in place standards that you need to ‘tick
II. off’ before sending a product to market
• NATO’s primary goal is to contain Russian
3. Decreased Political Accountability
aggression by creating a military pact. If one
• One of the biggest critiques of bodies like
NATO nation is attacked, then the rest will
(supposedly) come to their defense. This the WTO, the EU, and United Nations are
deters potential Russian aggression. that they are full of unelected bureaucrats.
3. Belt and Road Initiative - The Belt and -----------------------------------------------------
Road Initiative is a trade initiative 05 Understanding Economic
established by China designed to spread Globalization
China’s sphere of influence across Asia and
the Middle East. Understanding Economic Globalization
4. War Games - Many allied nations engage (International Monetary Fund, 2008)
in yearly war games in a bid to strengthen Economic Globalization is a historical
military ties and protect their interests. process representing the result of human
5. NAFTA –(North American Free Trade innovation and technological progress.
Agreement) was a significant trade It is characterized by the increasing
agreement between the United States, integration of economies around the world
Canada, and Mexico, aimed at reducing through the movement of goods, services,
trade barriers and increasing economic and capital across borders. These
cooperation among the three countries. changes are the products of people,
It was one of the largest free trade zones in organizations, institutions, and technologies.
the world and had a profound impact on the
economies of North America. Economic Globalization is a historical
process representing the result of human
Advantages Of Political Globalization: innovation and technological process.
Specifically, it means that economic ● Trade barriers are government-imposed
globalization is not an isolated or suddenv restraints on the flow of international goods
phenomenon, but rather the outcome or services.
of a long sequence of innovations ○ Eliminating tariffs (taxes imposed on imported
and technological advancements goods)
made by humans. ○ Removing quotas (limits on the quantity of a
Human Innovation - this refers to new good that can be imported or exported)
ideas, methods, products, or processes that ● Deregulation involves removing or
people come up with to solve problems or reducing government regulations in certain
improve conditions. industries.
Technological advancement - this refers ● Privatization refers to the process of
to new ideas, methods, products, or transferring ownership of a government
processes that people come up with to enterprise to the private Sector.
solve problems or improve conditions.
Globalization as Universalization CELP
It is characterized by the increasing This perspective suggests that different
integration of economies around the world aspects of culture, economy, legal systems,
through the movement of goods, services, and politics are converging and becoming
and capital across borders. more similar worldwide.

When we talk about “integration” in this Globalization as Westernization


context, we're referring to the growing Globalization as Westernization is a
interconnectedness and interdependence perspective that views globalization
among different countries' economies. as the spread of Western culture,
values, and social structures around
The Different Perspectives on the world, often at the expense of
Globalization local cultures.
Let us discuss the four perspectives on —-----------------------------------------------
globalization. 06 Global Economy and Market
Integration
Globalization as Internationalization
● It emphasizes the increase What is the Global Economy?
in transactions and interdependencies The global economy comprises several
among different countries. characteristics, such as:
● This includes the exchange
of messages, ideas, goods, 1. Globalization - o Due to the global
money, investments, pollutants, and people economy and globalization, domestic
across borders. economies have become cohesive, leading
to an improvement in their performances.
Globalization as Liberalization - 2. International Trade:
Globalization as liberalization refers to o It refers to the exchange of goods and
the process of opening up national services between different countries, and it
economies to global markets, typically has also helped countries to specialize in
through policies that reduce trade products which they have a comparative
barriers, deregulate industries, and advantage. o This is an economic theory
privatize state-owned enterprises. that refers to an economy's ability to
produce goods and services at a
Globalization as Internationalization lower opportunity cost than its trade
● Apple designs its products in partners.
USA. 3. International Finance
● Semiconductors come from o Money can be transferred at a faster rate
South Korea. between countries compared to goods,
● Memory chips from Japan services, and people; making international
● Rare minerals from Africa finance one of the primary features of a
● Assembly line in China global economy.o International finance
consists of topics like currency exchange
Globalization as Liberalization rates and monetary policy.
4. Global Investment: o This refers to an Employment opportunities tend to improve
investment strategy that is not constrained because trade liberalization leads to market
by geographical boundaries. Global expansion, technology sharing, and
investment mainly takes place via foreign cross-border investment.
direct investment (FDI).

Why is the global economy important?


We can understand the importance of the
global economy by looking at it
in relation to emerging markets:

Economic Growth and

Development

Trade and Investment

Foreign Direct Investment

Economic Stability Global Interstate System


Innovation and Technology What is the Global Interstate System? It is
Job Creation and Economic the whole system of human interactions.
Opportunities The modern world-system is structured
Consumer Benefits politically as an interstate system - a system
Cultural Exchange and of competing and allying states. A political
Understanding scientist commonly calls this the
Addressing Global Challenges international system, and it is the main
focus of the field of International Relations.
Who controls the global economy?
• Although governments do hold power over International Institutions:
countries' economies, it is the big banks and
large corporations that control and United Nation United States President
essentially fund these governments. This FRANKLIN ROOSEVELT coined the name
means that the global economy is united nations that was used in the
dominated by large financial institutions declaration of United Nation on January
1st 1942. UN means allies to fight against
Axis Powers in the Second World War II.
Only 26 nation's representatives pledge
their government to: World Bank
International Monetary Fund Asian
Development Bank African Development
Bank

1. Each government pledges itself to


employ its full resources, military or
economic, against those members of the
Market Integration tripartite pact and its adherents with
which such government is at war.
• MarKet integration occurs when prices
among different locations or related goods 2. Each government pledges itself to
follow similar patterns over a long period of cooperate with the governments signatory
time. hereto and not to make a sperate armistice
• Groups of goods often move proportionally or peace with the enemies
to each other and when this relation is very
clear among different marKets it is said that World Bank
the marKets are integrated. International Monetary Fund
Asian Development Bank
What is the impact of marKet integration African Development Bank
on the global economy?
Economic integration can reduce the costs Trade Agreement
of trade, improve the availability of goods It is when two or more nations agree on the
and services, and increase consumer terms of trade between them. They
purchasing power in member nations. determine the tariffs and duties that
countries impose on imports or exports. All
trade agreements affect international trade.

Import are goods and services produced in


a foreign country and bought by domestic
residents. That includes anything shipped
into the country even if it's by the foreign
subsidiary of a domestic firm.

Exports are goods and services that are


made in a country and sold outside its
borders. That includes anything shipped
from a domestic company to its foreign
affiliate or branch.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy