3.11. Globalisation critique Flashcards
For globalisation: free trade
Free trade removes barriers to trade such as tariffs and subsidies
Helps LDES to enter the global marketplace
For globalisation: competition between countries
Competition between countries helps to drive prices down.
More goods and services made available to people, often at lower prices.
For globalisation: interconnected decision making
Interconnected decision making + greater sharing of information leads a global politics that benefits all.
NGOs operate around the world to help population in need.
For globalisation: TNCs create employment
TNCs create employment and stimulate economic growth.
TNCs help redistribute wealth around the world and have lifted millions out of subsistence living.
For globalisation: Wealth of world is more evenly shared
Wealth of world is more evenly shared with greater opportunities for all to participate and to succeed.
Increased job opportunities
Against globalisation: barriers still exist
Barriers still exist to free trade (161 countries have VATs on imports) and place LDEs at a disadvantage when exporting.
Against globalisation: countries manipulate their
Countries manipulate their currencies to obtain a price advantage.
20 countries, including China are repeatedly cited for this.
Against globalisation: governments of HDEs
Governments of HDEs retain strong positions of influence in organisations such as WTO + IMF.
TNCs are increasingly influencing political decision-making to service self-interests
Against globalisation: achieving a global concensus
Achieving a global concensus on tackling climate change has been difficult
June 2017 -> Donald Trump announced he wished to renegotiate + left agreement; Joe Biden put them back in; 2025-> Trump left again
Against globalisation: jobs transferred
Jobs are transferred from HDEs to lower cost economies
May lead to unemployment in host country
Workers in LDEs may be treated differently to counterparts elsewhere
Against globalisation richest 20%
Richest 20% of world’s population consumes 86% of world’s resources whilst poorest 80% consumes 14% - large gap
For globalisation: environmental concerns
Environmental concerns are more effectively addressed as US nations work in closer cooperation
e.g. tackling pollution of rivers that flow through multiple countries
Hyperglobalists
- Support globalisation
- View there is a single global market supported by extensive + open networks and flows of goods, information, people and finance.
- See the nation state as no longer important
Sceptics
- Hold view globalisation isn’t new and the world has always been integrated
- Sceptical of free movement of goods aspect as many countries adopt protective measures
- Believe globalisation marginalises the poor
Transformationalists
- Hold view in between two extremes
- Accepts process of increased globalisation but think role of governments is changing
- Acknowledge time and space compressions through networks and flows
Benefits of globalisation
- Increased economic growth
- Improved living standards
- Cultural integration
- Political stability and global governance
+ Increased economic growth
Global trade and FDI can create new job opportunities and stimulate a multiplier effect e.g. China became the world’s second-largest economy after opening up to globalisation
+ Improved living standards
Additional wealth enables countries to invest in infrastructure and improve education and health care, which in turn will stimulate further growth
+ Cultural integrations
Cultures and ideas can flow freely across borders, promoting cultural awareness and diversity
e.g. the popularity of k-pop
+ Political stability and global governance
As countries become more interdependent, they become more likely to work together and international cooperation can be promoted
e.g. the Paris Climate Change Agreement
Costs of globalisation
- Environmental degradation
- Inequalities
- Cultural erosion
- Injustice and conflict
– Environmental degradation
Deforestation and increased carbon emissions present a significant threat to the planet both locally and globally
e.g. China is now the largest emitter of greenhouse gases
– Inequalities
There is a growing gap between the rich and poor both within and between countries
e.g. the top 1% of the world’s population holds 44% of the world’s wealth, while the bottom 50% holds just 1% of the wealth
– Cultural erosion
The spread of western culture leads to the dilution or loss of culture elsewhere
e.g. the growing dominance of English as a dominant language contributes to the decline of indigenous languages with 1 language dying out every 2 weeks
– Injustice and conflict
Exploitation of people and the environment can lead to conflict and tensions
e.g. the collapse of the Rana Plaza factory in Bangladesh highlighted the exploitation of workers in the garment industry
Transport
- More trains, planes etc to more goods between countries
- Container ships moving large goods/ more goods
- Increase in world trade
- Increase in world trade means some infrastructure isn’t big enough for imports
