4.1.1 Globalisation

Question 1

What is globalisation?

Answer 1

A growing interconnectedness between the worlds economies

Question 2

What are the 4 causes of globalisation in the last 50 years?

Answer 2

• communication / technology
• reduction in trade barriers
• deregulation of markets
• containerisation

Question 3

How has technology and communication lead to globalisation?

Answer 3

Improvements have allowed firms expand globally due to cheaper infrastructure, tech and labour costs. Transnational corporations

Question 4

How have reduction in trade barriers lead to globalisation?

Answer 4

Thanks to World Trade Organisation and EEC (now EU), there are now little barriers between world trade. Firms and governments are therefore more active in trading internationally

Question 5

How have deregulation in financial markets lead to globalisation?

Answer 5

There has been the removal of restrictions of the movement of financial capital. Meaning firms can easily trade financial assets

Question 6

What are the impacts of globalisation on individual countries?

Answer 6

• trade imbalances between countries

- differences between countries access to different markets such as health and education

Question 7

Evidence of globalisation hitting individual countries?

Answer 7

• USA and China trade war
• oil price fluctuations
• financial crises

Question 8

What are the impacts of globalisation on governments?

Answer 8

• loss of sovereignty

- -EU

Question 9

What are the impacts of globalisation on workers?

Answer 9

-job opportunities globally
-structural unemployment
–coal mines 1980
-

Question 10

What are the impacts of globalisation on producers?

Answer 10

• transnational corporations

- companies can move their labour abroad as it is cheaper, make more profit

Question 11

What are the impacts of globalisation on consumers

Answer 11

• cheaper prices

- increased inequality