Globalisation Flashcards
What is globalisation
The increasing interconnection in the world’s economic, cultural and political systems
What are two of the major players in the global economy
TNCs and nation-states
How many TNCs
1975- 7,000
Now- over 60,000
Three main forms of globalisation
Economic
Cultural
Political
Economic form of globalisation
- under the GATT and WTO, world trade has expanded rapidly
- TNCs major force in increasing economic interdependence and several NICs have emerged
Cultural form of globalisation
-western culture has diffused to all parts of the world through the media- been reflected in media, art, sport and leisure
Political form of globalisation
Influence of nation states has diminished in many areas as more and more countries organise themselves into trade blocs
Globalisation can be seen in terms of:
- urban (hierarchy of global cities act as centres for the global economy)
- demographic (growth of migration and multi cultural societies)
- linguistic (English as the working language)
- environmental (global warming)
Some commentators believe that globalisation actually began in the late nineteenth century when:
- transport and communication expanded
- world trade began to grow
- capital flows began as European countries started operations in other parts of the world
Events in the 20th century that has caused countries to fall back on their own resources
The Great Depression
Since the 1950s, a new global division of labour has emerged, reflecting:
- fragmentation of production processes across national boundaries
- international trade
- emergence of NICs
- new generations of NICs
- integration of the Soviet Union into the capitalist system
- opening of large economies of China and India to the outside world
In the late 20th century, what two major events shaped the processes of globalisation
- emergence of free market ideas
- deregulation of world financial markets
