Globalisation Flashcards
What is globalisation
Increasing integration of economies around the world mainly movement of goods and services
What is time space compression
Travel times decrease due to inventions and places feel closer together
Capital - global flow
Movement of money - through businesses and charities
Commodities - global flow
Movement of items - shopping
Information - global flow
Movement of information - current affairs
Tourists - global flow
Movement of people - holidays
Migrants - global flow
Movement of migrants from one country to another - jobs
How does technology create connections
Internet banking- allows trade overseas
Planes - allows people to meet others
Phone - allows communication overseas
What is a tariff
A tax imposed on imports
What is a subsidy
Financial assistance to a business by government
What is privatisation
Transferring ownership of public service to private ownership for profit
What is neoliberalism
Political philosophy of free markets, free trade and privatisation
Thought by making trade easier= more neoliberalism
World Trade Organisation (WTO)
Organisation that has made rules for international trade
World bank
Lends money in global scale
International Monetary Fund
Channels loans from rich nations to poorer nations that apply
NAFTA (North American Free Trade Agreement)
Established in January 1994 to eliminate tariffs and other restrictions on free trade between USA, Canada and Mexico
Trade bloc
International organisations bringing greater economic strength and security to nations that join
Foreign Direct Investment (FDI)
Investment from another country, injection into country
European Union
27 members - Greece, Austria, Finland
Aim - grant all members freedom of movement
ASEAN (Association of Southeast Asian Nations)
10 members - Singapore, Indonesia
Aim - free trade, free movement of labour and capital
KOF index
Index of globalisation, scores countries on 3 categories - economic, social and political out of 100% total
A.T Kearney index
Index of globalisation, based on 4 measures political, communication, technology and political 0-1 score
What is a switched off country
These are countries that don’t connect with other countries or they are underdeveloped - North Korea, Ethiopia
Why is North Korea ‘switched off’
Autocracy - one family rules
Citizens don’t have internet
No undersea cables
Government and polices causes ‘switch off’
TNCS
Transnational companies that have operations in multiple other countries
Role of TNCs in globalisation - Astra Zenneca
Biggest pharmaceutical companies, employed more that 80,000 people in over 100 countries
Has made over $4.5b
What is outsourcing
One company hires another company to be responsible for something
What is glocalisation
the practice of conducting business according to both local and global considerations
What is global shift
Shift in economic power and growth in countries
Outsourcing in India - positives
High population + English
Impacts - introduction of call centres, good wages
Outsourcing in India - negatives
Work can be repetitive
Long shifts
Outsourcing in China - positives
Maturing economy
Wages increased by 30%
Outsourcing in China - negatives
2500 metal workers lose limbs each year
What is deindustrialisation
The reduction of industrial activity in an area or country
What’s the migration theory
Lee’s push-pull theory
Factors that pull people to an area and push people away from an area
Also intervening obstacles - language
What’s an illegal immigrant
Someone who lives/works in a country without legal right
What’s a refugee
Someone who’s been forced to leave origin country due to war - legitimate
What’s a asylum seeker
Someone who is seeking refuge in another country due to fear for life - not legitimate yet
What’s a immigrant
A person who moves into a different country
What’s a megacity
A city with more than 10 million people
Megacity Mumbai - why do people migrate here
Many major industries
Many research centres
Very good infrastructure - highways, railways and airports
Lots of housing and education
Megacity Mumbai - benefited
2 major ports have over 1/3 of countries foreign trade
Have advanced in technology - extract gems to sell
Megacity Mumbai - problems
House prices have increased
Land prices increased
Greater pressure to redevelop slums
Megacity Karachi - why do people migrate here
Largest industrial base in country
Economic reasons
Megacity Karachi - benefits
Many political parties
Services used more
More spending
Megacity Karachi - problems
Pressure on infrastructure
Rising housing costs
High homeless rate
What’s is a global hub
Switched on places, have qualities that attract other places, want to connect with them
What is global culture
People from same culture share common values and beliefs
What is westernisation
Process of global culture being dominated by USA and Europe
What is McDonaldisation
Fast food dominating more and more societies
Positive of wester culture
Democracy
Education
Human rights
Gender equality
Freedom of speech
Negatives of western culture
All cultures become the same
Consumerism
Islamophobia
Companies exploit poor
What is consumerism
Belief that wealth, goods and services = happiness
