1.1 Flows of labour, services, products and information Flashcards
What are the 4 main flows of globalisation
Labour
Services
Products
Information
What is a flow of labour
The movement of people for work
Labour = mental and physical effort put into a product or service
Describe trends in flows of labour
Labour markets are not as free flowing as financial markets due to immigration restrictions, however the amount rises each year.
What are the key facts about labour flows
- Most migrants move short distances
- Most migrants are not poor but those with educational means
- Largest regional flow are in Asia
- North America, Europe and oil rich gulf states get most asian migration, but now so are the tiger economies
What is a tiger economy
A country which has experienced rapid economics growth mainly due to de-industrialisation
Hong Kong, Singapore
Taiwan, South Korea
Give an example of somewhere which relies on labour flows
Somalia (remittance payments)
Explain how the Somalia remittance flow payment system works
40% of people heavily rely on them
In 2012 the money was falling into the hands of terrorist groups (Al Shabaab) so banks withdrew from the service because of the countries lack of due diligence and lack of anti-money laundering laws
What is a flow of service
Traded economic actives without the production of a material good
What are the 2 types of service flows
High level - is service to business (finance, investment, in developed regions)
Low level - is service to consumers (Call centres, travel agencies, in NDC’s)
Give an example of a low level service
Indian call centres. They used to be a prestigious job in India, with people taking classes on how to speak with a natural accent and how to diffuse situations
However, numerous English people have complained so BT promised to return 1000 jobs to the UK
Why is the flow of products ever increasing
- Reduced trade costs and tariffs
- Transaction time reduced
- Transport has improved (containerisation)
What is something which stops the flow of products
Protectionist policies and tariffs (tax put on imported goods)
What is a flow of information
The transfer of cultural, linguistic, technological and business ideas
Exchange of information is the backbone of all industries, as without the exchange of ideas industries would not be able to develop, especially in terms of research
Why are flows of information improving
Digital and satellite technology such as…
- Better telephone networks
- Better internet and email
- Live media coverage
What is the general flow of products split into
Core (HIC’s)
Semi-Periphery
Periphery
Resources come from the Periphery and Semi-Periphery into the Core, and the core distribute goods. However this is changing due to tiger, BRIC and MINT economies
