Global Systems Flashcards
What is interdependence? How have global systems become involved in this? - Global Systems
Interdependence is where links between countries and entities make the world decreasingly self-reliant. Global systems have evolved to reflect increased economic, political, social and environmental interdependence.
What does Frank’s model show? What type of interdependence does it display? - Global Systems
Frank’s model shows the economic interdependence across the globe between ‘core’, ‘semi-periphery’ and ‘periphery’ countries.
Describe the direction of flows of goods and resources between core, semi-periphery and periphery countries in Frank’s model - Global Systems
Goods - high value products exported from core to semi-periphery, low value products from semi-periphery to periphery.
Resources - primary products move from periphery to semi-periphery/core.
What type of country are core, semi-periphery and periphery countries respectively in Frank’s model? - Global Systems
Core: HICs
Semi-periphery: NEEs
Periphery: LICs
What contemporary criticisms exist of Frank’s model? - Global Systems
BRICS (Brazil, Russia, India, China, South Africa) countries mean that the concept of semi-periphery countries is becoming increasingly outdated due to their rapid industrialisation. It also overly simplifies the movement of goods and resurces.
What is a remittance? What is repatriation? - Global Systems
A remittance is a sum of money that is transferred to another person or party, usually from migrants living in core regions back to peripheral regions.
Repatriation is the sending of money back to one’s own country, usually at a large scale by TNCs of their profits.
What benefits exist from the flows of people? - Global Systems
People are able to move for job opportunites from LICs to HICs/NEEs (London, Dubai, Singapore), allow labour shortages in these countries to be filled, people are able to support families back in peripheral regions, people can move to escape war and famine (Ukraine).
What problems exist with flows of people (inequalities, conflict, justice)? - Global Systems
Inequalities: LICs suffer from the ‘brain drain’, reinforcing existing inequality between countries.
Conflict: low skilled migrants work for less money than low skilled locals, depressing wages and creating conflict between locals and migrants.
Justice: migrants may be forced to work in dangerous conditions. Seen in Qatar for WC2022.
What benefits are there from flows of capital? - Global Systems
FDI allows foreign companies to take advantage of raw materials and low labour costs, while host countries can benefit from expertise. May improve living standards or build infrastructure.
What problems (in terms of inequality, conflict and justice) are there from flows of capital? - Global Systems
Inequalities: foreign aid may create dependency on this source of money, reducing incentive for countries to finance development themselves.
Conflict: foreign aid may finance insurgents or armed conflicts if allocated incorrectly.
Justice: companies may pressure countries to weaken regulation to make investment more profitable.
What benefits are there from flows of ideas? (ideas relating to trade) - Global Systems
Disengagement of governments from trading and deregulation of economies has created free trade. Trade between countries reduces conflict due to global interdependence. Enhanced wealth creation.
What problems have been created by flows of ideas (relating to trade) in relation to inequality, conflict and justice? - Global Systems
Inequalities: neoliberalism tends to concentrate wealth in hands of few individuals and excessively favours large TNCs in HICs.
Conflict: wealth creation creates mass inequality, leading to conflict between rich and poor.
Justice: favours poor working conditions and deregulation of labour laws in order to generate wealth. Leads to lack of welfare and protection.
What benefits exist of flows of technology? - Global Systems
Technology has begun to rapidly develop and advance, creating innovation in healthcare, security, comms. These developments can develop LICs as technology flows from HICs to LICs.
What problems exist with flows of technology (in terms of inequalities and conflict)? - Global Systems
Inequalities: HICs can afford latest tech but LICs cannot, creating disparity between levels of tech in terms of comms and information.
Conflict: weapons manufactured and sold by HICs to LICs may end up possessed by oppressive governments, funding internal conflicts against a government’s own people.
How does globalisation impact power relations through unequal flows? What does this mean for who is controlling gloal systems? - Global Systems
Globalisation’s unequal flows of people, capital, technology and ideas have created unequal power relations between countries. Countries that have a surplus of capital and technology are therefore able to control global systems to their own advantage.
What is the World Bank? What is the International Monetary Fund? - Global Systems
The World Bank is a global institution which facilitates the global financial system, as well as provides loans to LICs to invest in development.
The IMF also facilitates the global financial system by monitoring the global economy and offering financial advice and support to countries with ecoomic issues.
What is the World Trade Organisation? What is the Intergovernmental Panel on Climate Change? - Global Systems
The WTO is an organisation which oversees international trade and markets, with the aim of promoting free trade.
The IPCC is a multilateral body made up of scientists from across the world which holds summits about the global environment.
Explain the role of the IMF in the global financial system (roles, remit, funding, criticisms) - Global Systems
The IMF oversees the global financial system and provides loans in order to avert global economic crises. This can involve tackling balance of payments issues. This is staffed by 2,300 people with a European President. Funded by quotas from member countries. Critics suggest that conditions are often attached to loans, while financial support may not always solve financial issues.
Explain the role of the World Bank in the global financial system (roles, remit, funding, criticisms) - Global Systems
The World Bank encourages the setting up of private enterprises in developing countries, as well as provides long term loans to reduce poverty. Runs many of its projects in Asia and Africa. It acquires its funding through borrowing and operates as a larger organisation than the IMF (7000 staff). Criticised for ignoring environmental and social impacts of its investments.
Explain the role and functions of the World Trade Organisation - Global Systems
The WTO oversees global trade and aims to liberalise it by removing barriers and limitations to trade. It governs global trade and oversees bilateral and multilateral agreements.
What arguments exist that international institutions reinforce unequal power relations between countries? - Global Systems
The World Bank and IMF are both led by the US in the US, strengthening Western influence, LICs have limited influence over the organisations despite most needing their assistance, loans are often conditional from IMF/WB, meaning powerful countries influence the governance of struggling nations.
What are the 2 scales at which inequality is measured? - Global Systems
Inequality is measured WITHIN countries and BETWEEN countries
What does the gini coefficient show? - Global Systems
The gini coefficuent measures income inequality within a country, placing this inequality at a value between 0 and 1. The higher the number, the greater the level of inequality.
