global systems and global governance Flashcards
global governance
the way in which global affairs that affect the whole world are managed
norms
the shared values and customs that govern group behaviour in society
ways we regulate global systems
-international legal agreements
-institutions and agencies
-reinforcement of social norms
capital flows
the movement of money for the purpose of investment, trade or business production.
globalisation
rapid integration of the worlds economic systems
benefits of trade? (3)
-increased choice
-greater employment opportunities
-greater potential for growth
disadvantages of trade? (3)
-increased rich and poor gap
-exploitation of workers
-dominance by rich countries
TNCs
businesses with headquarters in one country but with operations in a number of others
corporate expansion characteristics
-expanding revenue
-lowering costs
-sourcing raw materials
corporate domination issues (3)
-damage to environment
-exploitation
-damage to culture
advantages of globalisation (4)
-free movement of people
-free exchange of goods
-free exchange of ideas
-higher level of life
disadvantages of globalisation (4)
-cultures eroded
-tech improvements destroy traditional agricultural practices
-harm to environment
-spread of disease
how has India profited from globalisation?
cut its poverty rate in half in the past 2 decades
5 dimensions of globalisation
-politics
-economy
-environment
-tech
-culture
-society
protectionism
an attempt by a country to impose restrictions on the open trade
factors of production (4)
-land
-labour
-capital
-enterprise
BRIC
brazil, russia, india, china
-economies advanced rapidly since the 1990s
leakages
-loss of income from an economic system
-usually TNCs profits being sent back to home country
remittance
the money that migrants send back to families in origin countries
deregulation
reduction of gov power in a particular industry
benefits of flow of labour (3)
-remittance sent home
-migrants benefit host country
-migrants get a better standard of living
containerisation
a system of large steel containers to transport goods
-cheaper, more eficent
protectionism
gov policy restricting trade with other countries to protect home-based industries from foreign competition
tariffs
tax placed on imported goods so they dont sell at a lower price than home based goods
overseas development aid
gov aid that targets the economic development of developing countries
advantage of trading entities (3)
-help develop economies
-reduce conflict
-create jobs
disadvantages of trading entities (2)
-environment suffers
-pressure to adopt central legislation
benefits of the EU (3)
-helps trade
-freedom to move around
-peace
customs union
-groups of state that charge the same import duties
-allow free trade between themselves
interdependence
each country depends on others
4 main types of interdependence
-economic
-political
-social
-environmental
economic interdependence- trade
-more countries participate in international trade
-countries rely on each other to supply their needs and buy their products
economic interdependence- tech
cooperating with foreign businesses ma bring new innovations
economic interdependence- employment
-jobs created in new areas
economic interdependence- supply chains
components of one product may be produced in diff countries
political interdependence- world peace
wars may be less likely to happen
social interdependence- health
WHO helps coordinate health advice e.g. vaccines
social interdependence- education
-increased participation in foreign exchange programmes
environmental interdependence- climate change
more international summit agreements
positives of interdependence (3)
-reduces unemployment
-reduces inequalities
-remittances create stability
negatives of interdependence (3)
-loss of skilled workers in LICs
-overdependence on remittance
-migrants may be segragated
unequal flows of people
mainly from LICs to HICs
unequal flows of money e.g.s
-remittance
-growth of TNCs
-foreign aid
unequal flows of tech e.g.s
-information flows
-manufacturing
privatisation pro
-benefits consumers by lowering prices
privatisation cons
profit retaines
deregulation pro
encourages enterprise
deregulation con
more relaxed laws lead to social injustices
multiculturalism pro
developing countries can integrate into the global economy
multiculturalism con
citizens may see it as a dilution of their culture
GINI index
measure used to indicate inequality of income distribution within a country
OECD
34 of the richest and most influential countries
embargo
restrictions on a specific country against the movement of goods
banana war cause
a trade deal between the EU an ex Caribbean colonies angered the USA
Globalisation- Ewaste issues
-goods go to developing countries to sell the metals eg Ghana
-pollution
-toxic materials to humans
globalisation- shipbreaking impacts
-breaking down containers
-ppl recycle the metal
-causes pollution on the beach eg India
-little worker protection
Rana Plaza
-factory collapse in Bangladesh
-for high street shops
-1100 deaths
globalisation- new shipping routes effects
-north of russia due to ice melts
reduces travel time from china
-global warming
global commons, examples
-antarctica
-high seas
-space
-atmosphere
deregulation
-1980s, freer rules of markets
-free trade encouraged
changes in the global economy
-fall of communism
-trading blocks
-deindustrialisation
-new emerging superpowers
offshoring
basing some of a companies processes overseas, so as to take advantage of lower costs
different types of flows
-capital
-labour
-products
-services
flows of capital
-money moving around the world
i.e. investment, trade
flows of services
-banking
-customer services ie. BT
IMF
-regulates global economy
-advises gov on development
-gives loans to encourage development
World Bank
-185 members
-source of financial aid
-aim to reduce poverty
WTO
-deals with the global rules of trade
-resolves disputes
social consequences to better access to markets
-high paying jobs
-more disposable income
social consequences of poor access to markets
-less inve
