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A Level Human Geography > Globalisation 3.1-3.3 > Flashcards

Globalisation 3.1-3.3 Flashcards

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1
Q

Globalisation

A

The widening and depending of global connections, interdependence and flows of commodities, capital, information, migrants and tourists.

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2
Q

5 dimensions of globalisation

A 
Cultural - McDonaldisation
Economic - growth of TNCs
Political - the G8, big democracies
Environment - climate change
Social - global improvements
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3
Q

Lengthening of global connections

A

The connections are lengthening because new links are growing between places that are far apart

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4
Q

Deepening of global connections

A

The world is becoming more deeply interconnected - connecting with every person
It is no longer just the rich that are able to live globally

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5
Q

5 examples of global connections

A 
Commodities
Capital
Information
Migrants
Tourists
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6
Q

Shrinking world

A

This idea has come about due to developments in technology, communication and travel. It allows places around the world to seem more accessible than ever before

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7
Q

3 improvements in transport

A

Steam power in the 1800s helped move goods and armies
Containerisation - ships transport over 90% of our goods
Aircraft - by value, 15% of our goods are flown and jet engines are becoming more efficient

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8
Q

4 technological advances in the last 100 years

A

Telephones
Internet
Air travel
GIS and GPS

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9
Q

Telephone development advantages

A

Instantaneous communication
This has allowed TNCs to set up in more than one country
It has allowed developing nations to leap frog in advancement

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10
Q

Telephone development example

A

BT Call centres can be located worldwide

This allows the company to find cheaper labour overseas

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11
Q

Internet development advantages

A

It has allowed the quick transfer of information

It has allowed employees to work remotely and to transfer information quickly via email

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12
Q

Internet development example

A

Disney are able to produce films all around the world simultaneously
Music companies etc. Can email recordings internationally

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13
Q

Air travel development advantages

A

Aerospace technology has made planes much faster and more quickly built
Bigger planes = more passengers = more tourists

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14
Q

Air travel development example

A

EasyJet have pioneered low cost mass air travel

Their Airbus A380 can carry 550 people

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15
Q

GIS/GPS development advantage

A

24 hour global positioning systems collect data at all times

This allows broadcasting of location also

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16
Q

GIS/GPS development example

A

GPS has generated $1.4 trillion in economic benefits for the United States since the 1980s
This is because its precise technology supports finance, communications and electricity systems
Many people rely on it day to day

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17
Q

BRICs

A

Brazil
Russia
India
China

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18
Q

Consumer societies

A

A society in which the buying and selling of goods and servies is the most important social and economic activity

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19
Q

Cultural erosion

A

The process of a culture losing many of its core elements

This is often due to the arrival of a new culture replacing it

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20
Q

Cultural imperialism

A

The practice of promoting one culture/language of one nation over another
It’s usually a large, powerful nation enforcing it on a smaller, less affluent one

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21
Q

Deindustrialisation

A

The decline of regionally important manufacturing industries

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22
Q

Diaspora

A

The dispersion or spread of a group of oriole from their original homeland

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23
Q

Ecological footprint

A

The measurement of the area of land and water required to provide a person/society with the energy food and resources they need to live

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24
Q

Elite international migration

A

Highly skilled or socially influential individuals that move to a new location
They are often welcomed by governments as they are highly skilled and wealthy
Eg Russian oligarchs in London

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25
Enclave
A group of people surrounded by other groups of entirely different people
26
Ethical purchasing
A financial exchange where the consumer has considered the social, environmental costs of production for food, goods or services purchased
27
Food miles
The distance a food travels from a farm to the consumer.
28
FDI
Foreign Direct Investment A financial injection made by a TNC into a nation’s economy, either to build new facilities (factories or shops) or to acquire/merge with an existing firm
29
G7
A group of 7 that are an inter-governmental political forum | Canada, France, Germany, Italy, Japan, the UK and the US
30
Global hub
A settlement or region that has become a focal point for activities with a global influence such as trade, business, education or research. Unlike a megacity, a global hub is recognised for its influence rather than population size
31
Global production network
A chain of connected suppliers of parts and materials that contribute to the manufacturing/assembly of goods Serves the needs of TNCs
32
Global shift
The relocating of the global economic centre of gravity FROM Europe and North America TO Asia over the last 30 years
33
Glocalisation
Changing the design of products to meet the local tastes/needs/laws Strategy by TNCs to conquer new markets
34
GDP
Gross Domestic Product A measure of the financial value of goods and services in an area - including foreign firms located there Divided by population size for per capita to make good comparisons
35
IMF
International Monetary Fund
36
Interdependency and example
Places that are over reliant on financial and/or political connections with another Eg. An economic recession in a host country for migrant workers makes the economy of the source country shrink due to falling remittances
37
Local sourcing
Buying consumer goods from the local area rather than importing goods from overseas
38
Low wage international migration
Buying consumer goods from the local area rather than importing products from overseas
39
Megacity and top 3
A city with 10 million or more inhabitants | Tokyo, Delhi, Shanghai
40
NAFTA
North American Free Trade Agreement Implemented in 1994 between US, Mexico, Canada It reduced or eliminated tariffs on imports or exports between them
41
OECD
Organisation for Economic Cooperation and Development Intergovernmental economic organisation with 38 member countries Founded in 1961 to stimulate world trade
42
Offshoring
TNCs move parts of their own production process (factories or offices) to other countries to reduce labour or other costs
43
Outsourcing
TNCs contract another company to produce the goods and serves they need rather than do it themselves. Causes complex supply chains
44
Remittances
Money sent back home from migrants via formal or informal channels
45
Rural-urban migration
The movement of migrants from rural areas to urban areas
46
Shrinking world
Due to technology, distant places start to feel closer and take less time to reach
47
Soft power and example
The global influence a country gets from its culture, political values and diplomacy Eg. Hollywood and Microsoft in America
48
SEZs
Special Economic Zones An industrial area, often near a coastline, Where favourable conditions are created to attract foreign TNCs These include low tax rates/exemptions from tariffs and export duties
49
Switched off
Countries that are connected from social, economic, cultural or political networks
50
Tariffs
The taxes that are paid when importing or exporting goods and services between countries
51
Trade blocs
Voluntary international organisations that exist for trading purposes They bring greater economic strength and security to the nation that join
52
Transition town
A settlement where individuals and businesses have adopted ‘bottom up’ initiatives with the aim of making their community more sustainable and less reliant on global trade
53
Transnational corporations
Businesses whose operations are spread across the world, operating in many nations as both makers and sellers of goods services ‘Global brands’ that bring cultural change to consumer Countries
54
Trickle down
The theory that there are positive impacts on peripheral regions and poorer people caused by the creation of wealth in core regions and amongst rich people
55
World Bank
An international financial institution that provides loans and grants to the governments of low and middle income countries for capital projects
56
WTO
World Trade Organisation | An intergovernmental organisation that regulates and facilitates international trade
57
Banana wars explained
A six year trade quarrel between the US and EU The US complained that the way the Caribbean had a quota of bananas to sell to the EU broke free trade rules US based multinationals (eg Chiquita donated $500,000 to the Democrats) were annoyed because they want no protectionism because they sell Latin American bananas The US has now put import duty on lots of European products in retaliation
58
Banana wars impact
Scottish cashmere may have to cut 700 Jobs if it loses its £1.25m US exports Half the population of the Caribbean rely on the banana industry so if the access to EU markets is suddenly taken away their economy could collapse
59
NICs and example
A country that has just passed the point of being a developing country but still not highly developed Brazil, Mexico, Turkey
60
International political and economic organisations
WTO, IMF, WB
61
National governments and Trade Blocs
EU and ASEAN
62
Protectionism
High use of tariffs that means foreign trade is put off and your own country’s economy improves (due to tax and increased industry)
63
Breton woods agreement
After WW2 the western allies wanted successful international trade for rebuilding economies Came into force in 1946 A system of rules, institutions and procedures Aimed to stabilise and regulate international financial transactions
64
Quota
A limit placed on the number of goods that are imported from other countries
65
Embargo
A ban placed on certain goods imported from other countries
66
Subsidies
A sum of money granted by the government to help an industry or business keep the price of goods low It helps protect domestic industries and create more profitable local businesses
67
Why would a government use tariffs
To protect domestic jobs To help a young industry to develop To protect customers
68
2 organisations formed from the Breton woods agreement
International Monetary Fund To monitor exchange rates and lend currency and the World Bank Group To provide financial assistance Facilitates globalisation by international trade
69
SAPs
Structural Adjustment Programs A way to help make debt repayments on old debts They can result in deep cuts to health and social services and the removal of important subsidies And the privatisation of govt asserts to increase private sector and increase wealth
70
Evaluation of IMF
Use of SAPs hurts the poor the most Selling govt assets may force LICs to sell to foreign TNCs Privatising businesses is done at the expense of workers’ rights It makes it necessary to open up to foreign firms
71
How does the IMF operate
Member nations pay a quota to be part Those making higher contributions have greater voting rights It loans money on a deal that countries sign up to a SAP
72
How does the World Bank operate
It uses bank deposits placed by the world’s wealthiest countries to provide loans for developing countries Includes low interest loans, grants, tech assistance to LICs
73
Evaluation of WB
It connects countries which helps them find assistance - dependence and interdependence It can force developing nations to open their markets to foreign investors - increasing risk of financial crises
74
how does the WTO operate
It aims for trade liberalisation Seeks for all countries to be free of tariffs and quotas Settles free trade agreements and disputes Believes in FREE TRADE
75
WTO and Pakistan
Pakistan joined WTO in 1995 It was forced to open up its (previously excluded) fishing zone around its coast Then, deep sea trawlers owned by TNCs were allowed to fish in these waters - huge trawlers from India take most of the catch ‘Taking the fish’ by action aid found that their fish stocks were dangerously low and their fishing communities were left in poverty
76
WTO Evaluation
``` Led to poverty in Pakistan It hasn’t stopped the USA and UK from subsidising their own food products so hypocritical It’s too powerful Run by the rich for the rich Lacks democratic accountability ```
77
Ghana and WTO
Ghana joined the WTO in 1995 Its govt had subsidised Ghanaian farmers until then But the WTO made a joining condition that Ghanaian farmers should not be subsidied (even though the EU and USA freely subsidise their own farmers) So now Ghanaian farmers can’t compete with imported subsidised foods so have given up
78
The IMF and Greece
The IMF helped the Greek debt crisis in the years after the 2008 financial crash This meant Greece was forced to cut back on its govt expenditure and into austerity Lots of protest in Greece
79
How does free trade increase globalisation
No barriers to trade = TNCs invest in different nations Increases outsourcing, forms global supply chain Global spread of ideas, culture etc. Investment economically develops a Country which increases their demand for foreign products and leads to a reliance on global trade More TNCs invest = interconnected
80
Offshoring example
US owned Fender opening a plant in Mexico
81
Foreign mergers
Two firms in different countries join forces to become one entity
82
Foreign mergers example
Royal Dutch Shell has a HQ in UK and Netherlands
83
Foreign acquisitions
A TNC launches a take over of a company in another country
84
Foreign acquisition example
UK’s Cadbury taken over by US Kraft
85
Transfer pricing
Some TNCs channel profits through a subsidiary company in a low tac country
86
Transfer pricing example
Starbucks and Amazon in Ireland, a low tax country
87
3 ways national governments influence globalisation
Free market liberalism Privatisation Encouraging business start ups
88
Free market liberalism idea
Government interventions in markets hinders economic growth so we should have as few rules about trading as possible As overall wealth increases, trickle down will take place from the richest to the poorest
89
Deregulation
The process of removing or reducing state regulations | Removal of governmental regulation of the economy
90
Neo liberalism in the UK
Deregulation of the City of London in 1986 made London become the world’s leading hub for financial services However we have not had genuine trickle down of wealth because now the richest 10% earn 9.5x more than the poorest 10%. In 1980, this was 7x
91
Privatisation
Foreign investors gain a stake in privatised national services and infrastructure
92
UK Privatisation
Until the 1980s important assets like rail and energy supplies were owned by the state To reduce govt spending, increase competition (so reduce costs, increase quality) and as part of austerity the UK govt sold British telecom Energy Railways There are concerns about services getting worse, rising costs and no accountability
93
Encouraging business start ups methods
``` Love corporation tax Free or subsidised land Visas for staff Subsidies for spending, training etc Change in local laws Increasing profitability of a company (subsidies) ```
94
UK Encouraging business start ups
Subsidised land for Nissan in Sunderland Change in Sunday trading laws attracted Disney and Burger Kind Common Agricultural Policy increased the profitability of farming in the UK
95
National governments and trade blocs
National governments have promoted the growth of trade blocs to trade freely with neighbours without additional tariffs
96
3 Disadvantages of trade blocs
Loss of sovereignty eg. The EU also dealing with matters that are not about trade Interdependence - if there is disruption of trade within a bloc this will have consequences for all Compromise and concession - they must allow foreign firms to gain domestic market share at the expense of local companies
97
3 Advantages of trade blocs
Bigger markets but no extra taxes National firms can merge to form transnational companies and increase profit Protection from foreign competitors and political stability - limits the import of cheap goods to protect domestic manufacturers = political stability?

A Level Human Geography (8 decks)

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