Globaisation EQ2 Flashcards
Global Shift
The relocation of industries from OECD (organisation for economic cooperation and developmental) countries to NICs (newly industrialised countries).
Predominantly from North America to Latin America & South and South east Asia.
Why does global shift occur
- Spatial division of labour
- Product life cycles
- De-industrialisation
- Environmental concerns
Why do industries move to certain LICs
- more relaxed environmental regulations
- cheaper land
- cheaper labour
- English speaking
- more space
Benefits to host countries of global shift
- increased and improved infrastructure (easier transport of goods therefore higher productivity)
- waged work
- poverty reduction (therefore less illness, etc)
- education and training (improved workforce employability and productivity)
- technology transfer
Costs to host countries
- loss of productive land
- unplanned settlements (low quality slum housing gives rise to shanty towns)
- environmental and resource pressure (pollution damages environment, resources consumed leads to decline of finite resources)
Environmental damage CASE STUDY: China
The Chinese government have quite strict environmental regulations but local governments rarely enforce them because they’re more interested in economic growth.
As a result: 60% groundwater is poor quality, 36% forests are facing pressure from urban expansion, 67km squared land is lost to desertification annually.
World bank estimates 5 of the most polluted cities are in China.
Deindustrialisation CASE STUDY: Detroit
During the 1920s it had a thriving car industry.
But due to global shift such as car manufacturing moved to Japan which resulted in dereliction, depopulation, crime and high unemployment.
What are pull factors
What draw people more towards living in a mega city.
Examples:
- more and better paying jobs
- better standard of living
- better educational & healthcare facilities
- more vibrant social & cultural life experience
- conditions more appropriate to entrepreneurial activities
- less distance to commute to work
What are push factors
What keep people away from living in a mega city.
Examples:
- lowered income, due to increasingly poor quality farmlands
- decreasing availability of raw materials used for living (e.g. Lack of wood from deforestation)
Mega city example
Mumbai
India’s largest city that’s doing well in different industries and lots of work is readily available to people, therefore lots of people migrate to here. It’s the financial capital of the country, being home to the Mumbai Stock Exchange (a market in which securities are bought and sold). Mumbai is also home to most of India’s specialised technical industries, having a modern industrial infrastructure and vast, skilled human resources.
Mega cities pros & cons
Pros:
They can help to end poverty and create wealth and can provide many opportunities for those migrating from rural areas.
Cons:
However they can cause poverty and despair on a grander scale and cause mass pollution.
Population increase in rural areas leads to…
Unemployment, loss of farmland and pastureland due to development, pollution or conflict.
*cities therefore have better chances and better services which are easier to fund densely populated areas.
Migrations costs and benefits for both host and source locations
Migration has social, economic, environmental and political costs and benefits for both host and source locations.
Migration can be forced (e.g. Syrian refugees being forced to leave their homes due to uncertainty of their safeguard), or it can be voluntary (mainly due to economic reasons such as better job opportunities).
In host countries, migration is good as the migrants fill gaps in their labour markets. In source locations, they’re losing because young and skilled workers are leaving, consequently impacting their economy. Host countries can fully sustain a growing leisure sector as many migrants work in hotels and bars. Whilst also being able to sustain lives of its middle class by gaining workers to fulfil essential gaps in childcare, cleaning and elderly care. However source locations suffer due to an increase in population as well as an unbalanced population as many young people migrate. But the source locations may get remittance payments which are sent home by oversea migrants and can be used to build homes or invest in local businesses, giving them potential to increase employment and expand their economy.
Host and source locations
Host locations are places migrants move to & Source locations are places migrants have come from.
Cultural Diffusion
The spread of cultural ideas and way of life between individuals and cultures. It involves a spread of western culture throughout the world.
It causes cultural erosion which leads to oppositions to globalisation.