1. Hyper globalists vs Sceptical Internationalists Flashcards
Give an empirical definition of Globalization!
= actual structural changes that are occurring in the way the global economy is organized and integrated
Give an ideological definition of Globalization!
= neo-liberal, free market ideology of the ‘globalization project’
What in the world is going on:
- Simultaneity and complexity
- Embeddedness of global production/consumption networks
- geopolitical tension
- environmental crisis
…
They argue that we live in a borderless world where the national is irrelevant
-> Globalisation is the new order
-> Everywhere is becoming the same
-> Standardization of goods/services
Who’s is arguing like this?
Hyper-Globalist
Hyper Globalist
What faction are there? (2)
Neo-liberal faction
Anti-globalization faction
What ideology is behind the neo-liberal faction?
the ideology of free and efficient markets regardless of national boundaries
What ideology is behind the anti-globalization faction?
The ideology that globalization of markets increases the scale and extent of inequalities
Who argues that there is nothing new about globalization?
Sceptical internationalists
The sceptical internationalists say that the world was more open and transnational in the past than in the present.
True/False?
True
Sceptical internationalists
‘we do not have a fully globalized economy’. Hirst and Thompson, 1992:394
…
International investment to developing countries increased of 20% in the last 10 years.
Empirical or Ideological?
Empirical
Demand and offer create the right market price.
Empirical or Ideological?
Ideological (coming from Adam Smith)
Any issues will be solved by the market.
Empirical or Ideological?
Ideological
Due to environment crisis, some firms are restructuring their operation by leaving countries geographically close to the equator.
Empirical or ideological?
Empirical
Simultaneity and complexity:
Simultaneity
MNEs are spreaded all around the globe which means that it has its food in many territories. In these territories are existing different dynamics.
Complexity: If something happens in one subsidery somewhere in the world most of the time the HQ who controls it needs to search for solutions.
–> for example a strike at a production facility could happen
CEO and Managers have to deal with these two issues.
…
Embeddedness of global production/consumption networks
global factory –> it means to reproduce the production close to your final market in order to reduce disruption…
…
Geographies of Globalization
Globalization: ‘qualitative transformation of economic relationships across geographical space’
Complex and changing geographies, rather than a single global geography
…
“globalization is a … supercomplex series of multicentric, multiscalar, multitemporal, multiform, and multicausal processes” (Jessop, 2002: 113-114)
supercomplex, because:
-> they are different levels of complexity
-> intra- und inter-organisational levels
multicentric because:
-> different centre of interest
-> cooperation, multinational, consumer
multiscalar because:
-> different level …
…
globalization is a … supercomplex series of what kind of processes?
multicentric, multiscalar, multitemporal, multiform, and multicausal processes”
(Jessop, 2002: 113-114)
Geographies of Globalization
To ascribe a single/origin for globalization is meaningless
(To ascribe a single/origin for globalization is meaningless)
True/False?
True
Geographies of Globalization
What are the four tendencies (Neigungen)?
localizing processes
internationalizing processes
globalizing processes
regionalizing processes
What are localizing processes?
= geographically concentrated economic activities with varying degrees of functional integration
What are internationalizing processes?
= simple geographical spread of economic activities across national boundaries with low levels of functional integration
= geographically concentrated economic activities with varying degrees of functional integration
Definition of what kind of processes?
localizing processes
= simple geographical spread of economic activities across national boundaries with low levels of functional integration
Definition of what kind of processes?
Internationalizing processes
= both extensive geographical spread and a high degree of functional integration
Definition of what kind of processes?
globalizing processes
= the operation of ‘globalizing’ processes at a more geographically limited (but supra-national) scale, ranging from the highly integrated and expanding EU to much smaller regional economic agreements.
Definition of what kind of processes?
Regionalizing processes
What are globalizing processes?
= both extensive geographical spread and a high degree of functional integration
What are regionalizing processes?
= the operation of ‘globalizing’ processes but at a more geographically limited (but supra-national) scale
(-> ranging from the highly integrated and expanding EU to much smaller regional economic agreements)
Global Trade 2015 - 2019
Change in volume of traded goods in major corridors from 2015 through 2019
(FOLIE 17!)
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https://www.bcg.com/publications/2023/protectionism-pandemic-war-and-future-of-trade
Interessanter Link zum Durchlesen!
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Future of Trade 2031 Outlook: Geopolitical Tensions Contribute to Reshaping Trade Flows
-> Folie 18!!
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Abbildung Folie 19 ansehen und beschriften !!!
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Global Division of Labour
Over 300 years, a global division of labour developed, with a core-periphery configuration
Manufacturing concentrated in the core, with exports and imports to/from periphery
Second World War: destruction of extant manufacturing capacity, and development of new technologies
Post-war division (Capitalist ‘West’ dominated by the USA; Communist ‘East’; ‘Thrid World’)
Post-Cold-War developments: the re-emergence of Asia as the world’s most dynamic economic region
…
A simple geographical division of labour: core and periphery in the global economy
Core: Production of manufactured goods
<–>
Periphery: Source of raw materials and foodstuffs. Market for manufactured goods
(vereinfachte Einteilung)
–> Folie 22 ansehen!!
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Global interconnectedness
Name two important features (Merkmale) of the global economy since 1950: ??
increased volatility of economic growth
growing interconnectedness
Global Interconnectedness
Name 3 current trends: ??
Variation between countries in trade integration terms
Major indicator of growing interconnectedness: the fact that the growth of trade has outpaced the growth of output
Most trade is intra-regional, within the three major regions (Europe, North America, Asia), and most exterior trade is between them
FDI stands for?
Foreign Direct Investment (Inward & Outward)
The importance of FDI to a country’s economy as a measure of what?
integration in the global market
TNCs stands for?
MNEs stands for?
TNCs: Transnational Corporations
MNEs: Multinational Enterprises
TNCs or MNEs
–> Intra-firm trade = trade within the same firm
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FDI and TNCs/MNEs
Changing patterns of trade and investment
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Trade in Goods and Services (BPM6)
–> Folie 25 ansehen!
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Exports in volume (% world total)
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China 2021 Exports and Imports
-> Folie 27
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Regional Comparisons
–> World becoming increasingly ??
multi-polar
Leading import countries worldwide in 2022
Leading export countries worldwide in 2022
Folie 29 ansehen !
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Key Words of the lecture:
-> Globalization, hyper-globalists, sceptical internationalists, neo-liberalism, complexity; Geographies of globalization, FDI, volatility of economic growth, interconnectedness
Concepts to Review:
Global networks, nationalization, geographical complexity, global-local connections, Globalization, economic geography
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