Global Systems and Governance Random (1)

Question 1

What is globalisation?

Answer 1

A process of opening up world trade and markets to TNCs

Question 2

What does globalisation involve?

Answer 2

• flows of capital
• flows of ideas
• communication
• trade
• flows of products
• flows of labour

Question 3

How are economies of scale being affected by globalisation?

Answer 3

Trade and production are getting cheaper which in turn can make products cheaper.

Question 4

Why flows of people increasing?

Answer 4

Job opportunities cause people to move around the world and holiday and leisure drive international movement.

Question 5

What are TNCs?

Answer 5

Transnational companies

Question 6

How do TNCs decide where products will be made?

Answer 6

TNCs pick counties with cheaper labour for production and normally sell in HICs

Question 7

What is globalisation influenced by?

Answer 7

• new technology
• communications and information systems (communication has become much easier)
• global financial systems (banks)
• transport systems

Question 8

Threats of globalisation:

Answer 8

• possible spread of disease globally

- security has become easier to breach as measures have been reduced

Question 9

Threats of globalisation:

Answer 9

• possible spread of disease globally
• security has become easier to breach as measures have been reduced
• lack of trading rules leads to uneven trading

Question 10

Unequal flows of people:

Answer 10

1

Question 11

What influences countries financial position?

Answer 11

• Past occupation and colonisation may alter a countries finance. Countries involved in running colonies are generally rich in the modern-day while those involved such as India and Nigeria (members of the British colony may be LICs.
• corruption
• disease

Question 12

Nigeria case study

Answer 12

• the life expectancy of 59 years
• 1/3 of the 35 million live below the poverty line
• they are landlocked but are green, fertile and have many resources however due to war, corruption and disease (aids) they are not poor
• the poorest people are farmers in the east

Question 13

Advantages of international trade?

Answer 13

• Economies of scale make production cheaper and allow more production
• Increasing trade increases competition leading to competitive pricing and lower prices for consumers
• increased competition decreases chances on monopolies forming
• transfer of technology can increase global conditions and efficiency and save money
• increased employment and job creation

Question 14

Disadvantages of international trade?

Answer 14

• Over specialisation - production may be moved to countries where it can be done more chea[ply and therefore remove jobs from the original location
• Product dumping - products may be sold so cheaply they cost more to make then sell which can lead to exploitation of goods and people
• exploiting labour-intensive areas and taking advantage of the lack of laws such as health and safety

Question 15

Name some international trade blocks:

Answer 15

• OPEC
• EU
• ASEAN
• NAFTA
• MERCOSUR

Question 16

What is OPEC?

Answer 16

OPEC is the Organization of the Petroleum Exporting Countries. The purpose of OPEC for members is to “coordinate and unify the petroleum policies of its Member Countries and ensure the stabilization of oil markets in order to secure an efficient, economic and regular supply of petroleum to consumers, a steady income to producers and a fair return on capital for those investing in the petroleum industry.”

Question 17

How have cargo ships evolved?

Answer 17

Originally cargo ships were loaded with individual boxes of cargo which would take many days and meant many goods with short dates couldn’t travel. They then adapted this method and used crates packaged with the goods prior to shipping which could easily be moved on and off ships. This has led to increased variety in transportable goods.

Question 18

Advantage of modern cargo ships?

Answer 18

• variety of goods that can be moved due to short travel times
• decreased loading times
• move space for cargo

Question 19

Disadvantages of modern cargo ships?

Answer 19

• Crates may fall of the ship and pollute the ocean
• crates cannot be checked and can be illegal eg trade of pangolins
• crates can be used for illegal immigration