global systems and governance Flashcards
Globalisation
a process by which national economies, societies and cultures have become increasingly integrated through the global network of trade, communication, transport and immigration
impact of globalisation on- environment
-increased transport to abroad causes more greenhouse gases to be produced, and therefore damages the environment
+ the world may come together to reduce the impacts of climate change
impact of globalisation on- Technology
- increased amount of electricity being used, CO2 might be produced in increased electricity production
+ increase in communication between countries
impact of globalisation on- free trade
- increased pollution as more goods are transported
+ more jobs, countries come together and trade
economy of scale
cost advantage of large scale output of a product as savings are made by spreading the cost over more units
what’s made the global marketing of coca cola so successful over the last 125 years
same logo- instantly recognisable and bright red
big marketing campaigns (eg at Christmas)
bottles have stayed a similar shape
named bottles- personalised
Global core
core countries are defined as wealthy industrialised countries that other less developed countries depend on
peripheries
less developed countries with fewer connections, some are wealthy but isolated (geographically)
global shift
the movement of manufacturing to lower wage economies. This movement of labour is part of wider division in labour
protectionism
putting in place barriers to prevent and reduce trade in order to maintain internal markets and own manufacturing industries
trade and financial liberalisation
groups such as WTO encouraging governments to remove tariffs and barriers to trade. Idea is to encourage free movements of goods and services
trade bloc
a type of intergovernmental agreement
EU
28 countries. started in 1950, 1993 names EU, 2009 EU powers increased.
reduction of business costs, elimination of anti competitive practices removal of trade barriers
single common currency- euro
employment and environmental standards
EFTA
4 members- Iceland, Lichtenstein, Norway, Switzerland
promote closer economic cooperation
no tariffs with EU and EFTA and 50% of EFTA’s trade is with the EU.
no political integration and no custom union
NAFTA
3 members; USA, Canada and Mexico established in 1994 444 million customers for businesses more jobs put an official document behind what was already happening
SAARC
eg countries in it: Bangladesh, Nepal, India etc.
established in 1985 to be a competitor to china
promotes peace and stability
but, no free movement of people and it the least integrated region
OPEC
eg of countries in it: Nigeria, Qatar, Algeria
formed in 1960
controls 78% of the worlds oil export
strong relationship with the EU
world bank
organisation of 188 countries who work to promote financial cooperation between countries to reduce poverty. this is normally in through the promotion of trade and high employment
UN
known as the ‘guardian of international peace, security and human right’. it promotes the development of poorer nations through work with the IMF and world bank
WTO
deals in the rules of trade between countries ensuring trade flows freely
IMF
it is an important source of financial and technical assistance to developing countries, its main aim is to reduce poverty
TNC
a global company which operates in more than one country. headquarters are often in MEDCs with factories in LEDCs where workers are cheaper
where does the WTO get its money from
from members within it
positives of the WTO
reduce tariffs and quotas with members
each member treated equally
safe way to trade as there are rules, if the rules are broken there are consequences
negatives of the WTO
promotes free trade, not fair trade
poverty gap worsens
smaller countries are powerless
positives of the IMF
provide loans to countries who need it
help fill BofP gaps
advise governments on economic policy
negatives of the IMF
too slow or to eager to assist falling national policies in many incidents, causing major problems in that country
only care about GDP and growth and not social problems in the country
where do the UN get their money from
mandatory payments and voluntary contributions
positives of UN involvement
promote development- living standards and human skills
helped end conflicts and peacekeeping in countries such as Cambodia
help alleviate extreme poverty
negatives of the UN
lack of democratic mechanisms and accountability
larger countries hold more power than other members
UN case study: Lebanon
since 2012, it has provided Lebanon with food assistance (food parcels). over 650 000 refugees from Syria receive $27 per month on an e-card, which can be spent in local shops across the country to buy food. increase profit for those shops
world bank- benefits to the countries
provides low income countries with money
support educational, health etc.
attempts to end gender disputes
negatives of world bank involvement
poor considerations for the environment and ecological impacts
often not very successful
people can be displaced from an area
how is the world bank different from the IMF
the IMF oversees the worlds monetary systems stability, while the world banks goal is to reduce poverty by offering assistance to middle and low income countries.
advantages of labour flows
cheaper labour in country the people move to- benefit businesses- keep costs low
leaving countries like Syria to ensure safety
more people able to work in certain countries
disadvantages of labour flows
low wage jobs, meaning there’s less job security and lower incomes
waves of illegal migrants and refugees from zones of conflict are prepared to risk their lives in attempt to reach the perceived safety and opportunities in the developing world
