Global groupings Flashcards
Economic groupings
- Brandt Line
- HICs, NEEs/NICs + LICs
- HDI
Brandt line
imaginary division that has provided a rough way in dividing all the countries in the world into the rich north and poor south
* 1980s
+ Not complicated; easy to read, straight forward, simple
- No longer useful because many countries in the poor south have become more developed since 1980s
HICs, NEEs and LICs
measuring the GDP of a countryand how much money a country brings in (income)
* NIC= Newly Industrialised Country
* High GDP= good income so HICs = urban, tertiary sector
* LICs= rural + primary sector
* NEEs = secondary sector
+ Its an average so hides information about the very rich and poor
- Ignores social/political factors
-Doesnt indicate whether people in a country have a good quality of life + the well being of a group of people
HDI
considers social aspects such as: **life expectancy, literacy, education + living standards **
* Human development Index
* Calculated in a score of 0-1 (0=low 1=high HDI)
+ Data updated anually
+Links more than one factor (wealth, health and education)
+ Socio-economic measure
- Doesnt consider womens rights and equality
+ Doenst consider technology
Political groupings
- 1st, 2nd, 3rd world countries
- BRICS
- Next Eleven (N-11)
- G8 (+EU)
- G20
- Arab league
- OECD
- NATO
- OPEC
- Trade Blocs
- NAFTA
- USMCA
1st, 2nd, 3rd world countries
- 1st world- US,UK and allies
- 2nd world- Soviet Union, China + allies
- 3rd world- Neutral + non-aligned countries
+ First world countries provide prosperity, democracy and stability
- Outdated- based on colonialism
BRICS
Brazil, Russia, Inidia, China, and South Africa
* 2001, by Jim O’neil, worker for Goldman Sachs known for their significant influence on regional affairs
* a group of major emerging economies
+ Economic powerhouse- members collectively cntribute a lot to the global GDP
+ Diversification of trade- it promotes intra-group trade + reduces the dependency of western markets
+ Infrastructure and development gowth
-Inequality amongst members- larger economies (China) dominate decision making
-Geopolitical tensions- border disputes + political rivalries
Next Eleven (N-11)
High potential of becoming the worlds largest economies, in the 21st century- Bangladesh, Egypt, Iran, Mexico, Nigeria, Pakistan, Phillipines, Turkey, Vietnam, South Korea and Indonesia
+ It has a higher benchmark/growth conditions
+ Some of these economies have fundamental growth
- Economies are too diverse- difficult to generalise aims
-Some economies face greater challenges than others
G8
A group of 8 highly industrialised nations- France, Germany, Italy, UK, USA, Canada (+ Russia but suspended in 2014 due to crimean war—> G7)
+ Annual meeting to foster consensus on global issues like economic growth, global security, energy and terrorism
- Concerns surrounding representation
- Little leadership
G20
19 countries + EU that account for 85% of global GDP
* Forum for coorperation + consultation on matters concerning the internatial financial system
+ Provides a premic platform for international + cultural coorporations
+ Enhances mutal understanding and trust among members
- Failed to address pressing global challenges
- Failed to address regioonal conflicts and crisis
Arab league
Goal is to draw closer in relations between member states and co-ordinate collaboration between them, to safeguard their independence + soverignity
+ It helps its member countries to coordinate governement
+ It helps to settle inter-arab disputes
+ Its helps tp encorage Arab-Arab cooperation
- Lack of conditionality regarding commitment to common action
OECD
Organisation for economic cooperation and development
* International organisation of 34 countries founded in 1961 to stimulate economic progress and world trade e.g Sweden and Spain
+ Great variety of statistics available
+ Provides members with tools which analyse and monitor their policies
- Perceived narrowness of its membership
- Excluded major market players (China)
NATO
North Atlantic Treaty Organisation
* Military groupings
* An intergovernmental military alliance between 30 European and North American countries
* A collective defence where independent member states agree to mutal defence in response to an attack by any external party
+ Promotes democratic values
+ Enables members to consult and cooperate on defence and security related issues
-Dominated by US, reliant on its militant power
- Questionable defence motives
- Requires unamity for decisions to be made
OPEC
Organisation of Petroleum Exporting Countries
* Includes 13 states: Algeria, Angola, Congo, Iran, Iraq, UAE, Nigeria and Libya
* Aims to unify + coordinate petrol policies of countries and ensure the stabilisation of oil in order to secure an efficient economic and regular supply of petrol to consumers
+ It gives fair return on capital for those who have greater coorperation between major oil producing countries
- Not all members stick to what has been agreed
- Member states have to give a certain degree of freedom when competing with oil market
NAFTA
North American Free-trade Agreement
* Agreement signed by Mexico, Canada, + USA to create a trilateral trade bloc in North America
* January 1, 1994, it superseeded Canada-United States free trade agreement
* Formed one of the worlds’s largest trade blocs globally by GDP
+ Encourages trade between USA, Mexico, + Canada
+ Reduced/eliminated tariffs on imports/exports between members= huge trade free zone
+ Aimed to established high common in standard in work place safety, labour rights and environmental protections
- USMCA signed in Nov 30 2018, replaced NAFTA
- Controversial agreement; by some measures it improved the economy but by others (employment) it hurt it
