Globalisation

Question 1

what is globalisation?

Answer 1

the idea that the world is becoming a more interconnected and interdependent place, where events and ideas from one part of the world have an impact far beyond their borders

for example, conflict in Syria has increased the number of asylum seekers and migrants across Europe

the emergence of a complex web of interconnectedness, meaning that a variety of nonstate actors, global trends and events challenge territorial borders and state sovereignty

globalisation has ‘shrunk’ the world, making time and geographical location almost irrelevant

interconnectedness = the mutual reliance of two or more groups, refers to the way in which states become more linked

one of the most contentious issues in global politics

Question 2

what does globalisation have an effect on?

Answer 2

globalisation has a profound effect on the state and people’s lives — including state sovereignty, democracy, people’s identities, jobs and communities

some people feel left behind in an increasingly globalised world which has caused major changes to their lives and their understanding of the world

globalisation has led to….
• the closing of traditional industries
• a loss of jobs
• the lowering of wages and living standards
• an increase in immigration
• a loss of national identity
• the lowering of prices of goods and services
• the ease and cost of international travel
• the improvement of communication technology such as the internet

Question 3

how is the state and globalisation linked?

Answer 3

states and their sovereignty are hugely affected by globalisation

globalisation has lessened the importance of the territorial borders of the nation state as cultural, political and economic activity is now organised across the global stage

in many ways, the two concepts work against eachother as states are meant to be in control as sovereign entities but globalisation can make states seem redundant or even impotent

arguably, the more the world becomes globalised, the less sovereignty a state can have and the less significant it becomes

the more a state is affected by actions and events in another part of the world, the less it can realistically claim to have absolute and ultimate authority

this challenges a state’s authority and means that states no longer exist in a box, able to insulate themselves from developments elsewhere in the world

globalisation has seen the rise of non state actors, such as TNCs and NGOs, as well as international institutions, such as the World Bank and World Trade Organisation, which challenge the state centric approach

Question 4

key debates surrounding globalisation

Answer 4

is it a phenomenon, a process or a policy?

is it simply a form of Westernisation and cultural imperialism? is it Americanisation?

is it a new thing? or has it been around for a while?

can it be stopped or reversed? can it be controlled?

Question 5

what are non state actors?

Answer 5

participants in international relations with significant power and influence, but that are not states

Question 6

three types of globalisation

Answer 6

globalisation includes three main processes….

• economic globalisation
• cultural globalisation
• political globalisation

the common factor is that all forms of globalisation limit state sovereignty in some way

Question 7

what is economic globalisation?

Answer 7

the increasing integration of national economies to create a single global economy of cross-border movement and trade in goods, services, capital and technology

there has always been international trade but economic globalisation is unique due to the degree of interconnectedness and interdependence that it fosters

so much so, that the global economy can be seen as a single entity

the development of global markets in goods and services, with TNCs like Apple having global supply chains — e.g. Apple products are designed in the US, their parts are sourced from across Asia and Europe, assembly takes place in China and they are sold globally

the emergence of a single global economy limits the economic sovereignty of the nationstate

Question 8

driving forces/causes behind economic globalisation

Answer 8

the Bretton Woods system

the 1973 oil crisis

developments in technology

policies and ideologies of states

all of these factors have arguably led to the development of a global economic system with interlocking and interconnected markets

the spread of pro-market values, consumerism and materialism — links to cultural globalisation and Americanisation, which has led to turbo-consumerism worldwide, made easier by technological innovation

Question 9

driving force behind economic globalisation: the Bretton Woods system

Answer 9

the starting point of economic globalisation can be seen with the establishment of the Breton Woods economic system towards the end of WW2

this was a system of fixed exchange rates and regulations to encourage trade and stability in the international system

this was an attempt to prevent the circumstances that led to the prewar economic catastrophe and to WW2 itself

politicians and economists at the Bretton Woods conference were aiming to learn the lessons of economic nationalism

a greater global commitment to free trade and free markets has encouraged connectivity, this is closely associated with the principles of the Washington Consensus advanced by the Breton Woods institutions

Question 10

driving force behind economic globalisation: the 1973 oil crisis

Answer 10

the 1973 oil crisis and the collapse of the fixed exchange rates introduced by the Bretton Woods system lead to the next stage in the process of economic globalisation

floating exchange rates led to greater competition for national economies and the growth in TNCs investing globally

the collapse of communism opened up new markets and opportunities for investment and the opening up of the Chinese economy was a further dimension in economic globalisation

Question 11

driving force behind economic globalisation: advancements in technology

Answer 11

economic globalisation has also been furthered by the huge advancements that have taken place in technology during the last 100 years

it has taken a little more than a century to move from the first powered flight to the transportation of mass produced goods by international air freight at an incredibly low cost

a major contribution to economic globalisation is the speed of information and communications technology development

telephones, the wireless, the television, personal computers, mobile phones and the internet have all played a part in making the world smaller and changing world economics along the way

technological advances, including greater capacity for transportation and instantaneous communication via the internet, have furthered economic globalisation by linking most countries in the world into a global supply chain

led to the international transfer of money, making it far easier to trade and easier to access information — this has created a globalised financial system, where financial transactions are instant and oblivious to national borders

Question 12

driving force behind economic globalisation: ideologies and policies of states

Answer 12

the ideologies and policies of states have played a role in economic globalisation

the political role of states and international institutions in promoting neoliberal policies of free trade, deregulation, privatisation, low tax and cuts to public spending — linked to the Bretton Woods Conference (1944) which led to the establishment of the Bretton Woods institutions (IMF, WTO + World Bank)

the decision by states to follow the path of cooperation and free trade in the post war era have been deliberate attempts to prevent war, increased stability and prosperity and perhaps spread democracy — the liberal world order

the focus on the benefits of free trade partly come from neoliberal thinking, which views the laissez faire approach as bringing the most economic gains

the underlying economic logic of capitalism (the need to generate as much profit as possible, which has led companies to seek to expand and become international, thus fostering globalisation)

Question 13

evidence for economic globalisation

Answer 13

a huge transnational flow of capital and money — over $5 trillion is traded each day on global foreign-exchange markets

the growth in international trade, especially within TNCs across borders (Apple, Nike, McDonald’s, etc)

the growth of transnational production, where design, manufacturing and assembly is globalised — e.g. Apple produces, designs and sells in different countries

the global division of labour by country, creating economic efficiency

a globalised financial system where financial transactions are instant and oblivious to national borders

Question 14

impact of economic globalisation

Answer 14

economic globalisation and the spread of consumerism and capitalism has brought about the spread of Western ideals such as democracy, human rights and individualism and thus cultural homogenisation (monoculture)

the global system created by the Bretton Woods system, along with the postwar reconstruction of Europe through the Marshall plan and Keynesian economic policies, lead to a growth in production, trade and prosperity in the developed world until the early 1970s

this long boom lead to high economic growth and full employment throughout the Western world, which led to significant social, cultural and political change

the new global division of labour, driven by TNCs, has created patterns of economic specialism — high technology is increasingly manufactured in wealthier nations while agricultural, raw material is produced in poorer states

economic globalisation has led to economic activity taking place in a ‘borderless world’ (Ohmae), reducing the power of the state to develop economic policy in isolation

Question 15

economic globalisation challenging state sovereignty: the Washington Consensus

Answer 15

since the 1990s and the end of the Cold War, the Washington Consensus (economic liberalism) has prevailed — free market principles have come to dominate global trade due to economic globalisation

states have therefore needed to establish the conditions that will be attractive to global investors, such as low corporate taxation and low workplace regulation

consequently, governments have become limited and clearly do not exert absolute control over their economic decision making as they have to cater their economic policies in order to attract investment

any state seeking to act in defiance of this will risk loss of investment and capital flight

the worldwide average corporate tax rate has declined since 2003 from 30% to 22.5% — for example, Vietnam has a corporate income tax level of just 20% in order to attract foreign business

Question 16

the globalisation of markets

Answer 16

the globalisation of financial markets, facilitated by the instantaneous communication of the internet, means that global events can affect a state’s economic well-being

for example, the 2007/08 sub-prime mortgage crisis in the USA, precipitated by the bankruptcy of the US bank Lehman Brothers, provoked a global banking crisis

this led to stock markets throughout the world plummeting and a global recession, with the value of global trade declining by 9%

in 1997, global capital flight from Thailand gravely threatened Southeast Asian prosperity as it led to the contagion spreading throughout the region when investors withdrew capital from its neighbours

Question 17

what is cultural globalisation?

Answer 17

the increasing transmission of ideas, meanings and values across the world, creating a global culture

the ‘flattening out’ of the cultural differences between countries, meaning that cultural diversity is replaced by cultural homogeneity

the world is becoming an increasingly uniform place, where the same cultural commodities are consumed regardless of national borders — people listen to the same music, watch the same films, but the same products, use the same technology and all on the same devices

homogenisation = the coming together of global cultures and the development of a single homogenous culture without diversity or dissension, often referred to as a monoculture

cultures have been homogenised by global brands, global media, NGOs and migration to create a monoculture which is based around the ideals of liberal democracy, neoliberal economics and human rights

Question 18

examples of cultural globalisation

Answer 18

1 in 7 people on the planet are thought to have watched some of the 2014 FIFA World Cup final — it was a truly global event

the same brands are recognised and can be bought all over the world — McDonald’s, Coca-Cola, Apple, Nike and so on

these companies have trademarks that are instantly recognisable to a huge portion of the world’s population

Question 19

driving forces/causes behind cultural globalisation

Answer 19

growth of TNCs

technological innovation (also a driving force behind economic globalisation)

improvements in transportation and the reduction of its cost have made the movement of goods and people vastly quicker and cheaper

growth in migration and international travel and tourism

increasing roles of NGOs, like Human Rights Watch, leading to the spread of liberal values worldwide

states and institutions, especially the USA, that promote lifestyles, ideas and needs that allow for the spread of global capitalism

Question 19

evidence of cultural globalisation: homogenisation and monoculture

Answer 19

increasing uniformity of culture, described by political theorist Ben Barber in his concept of ‘McWorld’

an increasingly Westernised global culture based around individualism, materialism and consumerism

the emergence of a human rights culture — the spread and protection of human rights is supported by the public and politicians

liberal democracy and neoliberal economic policies are the only options — political scientist Fukuyama’s idea in The End of History and the Last Man (1992), this is the idea that there is no alternative other than liberal democracy

global culture works across boundaries, weakening the state

Question 21

driving forces behind cultural globalisation: TNCs

Answer 21

TNCs may be the driving force behind the process of cultural globalisation and homogeneity

growth of TNCs, especially the growth of global media empires who may control the flow of news to propagandise — e.g. Rupert Murdoch and Ted Turner

they have developed global goods and global brands, like Nike and Apple — the Americanisation of the world

they use their global economic power to further their reach and sell more products to the world by exploiting the benefits of economic development

Question 22

driving forces behind cultural globalisation: technological innovation

Answer 22

technological innovation, especially in ICT and social media

the transformation and development of technology is also breaching barriers of time and space, acting as another huge driving force behind cultural globalisation

advances in information technology have revolutionised the speed and ability to transfer information around the world

allows other countries to access each other’s cultures (watch their films, TV programmes, listen to the songs and so on), thus creating a global, uniform culture

Question 23

criticisms of cultural globalisation

Answer 23

cultural globalisation has been criticised by some as….

• Americanisation — due to the dominance of US TNCs
• Westernisation — due to the role of Western companies and culture in the process of globalisation
• imperialism — due to the supposed exploitative and coercive nature of cultural globalisation

critics of globalisation believe that the only winners of globalisation are the USA, the West and the TNCs that dominate cultural, economic and political globalisation

Question 24

debates about cultural globalisation being positive or negative

Answer 24

the transmission of values, ideas and meanings
has an immense impact on global politics

some see a certain inevitability about the spread of liberalism and its associated ideas throughout the world

some believe that the spread of ideas is a good thing that emphasises freedom

but others believe that cultural globalisation, along with consumerism and individualism, is bad for the environment, for local communities and traditions as well as for individuals who are manipulated by the lure of consumer products

Question 25

what is political globalisation?

Answer 25

the growing importance of international organisations through which states are making more and more decisions together rather than as independent units

this is a form of global governance, which involves a broad and complex process of decision-making at a global level, involving numerous states and non-state actors

states are turning to organisations like the UN, NATO, the EU, the IMF, the G20 and the WTO in order to address the common challenges and dilemmas that they face together, such as climate change and international terrorism

the participation of non-state actors in decisions affecting the nation state means that the state is no longer autonomous in decision-making — its centrality is challenged by a variety of other stakeholders, such as IGOs and regional organisations

the end of the Cold War has led to the spreading on neoliberal economic ideas, democratic ideals and the culture of individualism, consumerism and materialism

Question 26

what can political institutions be based on?

Answer 26

intergovernmentalism — common institutions facilitate decisions by member states, but states remain in control of the process as decisions have to be unanimous

supranationalism — common institutions are created that have independent decision-making ability and can impose decisions and rules on member states

Question 27

why has political globalisation not penetrated as deeply as economic globalisation?

Answer 27

since states still value domestic political hegemony, political globalisation has not penetrated as deeply as economic globalisation

political globalisation is not as advanced as either economic or cultural globalisation as most international institutions are based on intergovernmentalism

while there might be emerging levels of global governance, there is little progress towards or desire for world government due to the importance of state sovereignty — this was a reason behind the Brexit referendum result

Question 28

driving forces behind political globalisation: global issues

Answer 28

the emergence of transnational political problems like terrorism, ecological destruction and migration that require a cooperative, collective approach to solve them

states must cooperate and cannot work alone to fix these problems

global and regional challenges are the main drivers behind political globalisation as they cause states to turn to international organisations like the UN and NATO to address the common challenges and dilemmas they face together

global issues have forced states to cooperate and become more politically integrated as they need to work together to tackle these widespread issues, including climate change, migration crises and terrorism

states react to such challenges by working together to solve them — for example, there are numerous climate change agreements to tackle the issue of global warming

Question 29

driving forces behind political globalisation: emergence of a human rights culture

Answer 29

the emergence of a human rights-based culture, following the post WW2 liberal world order, that places the rights of individuals above the power of states

led to the creation of organisations concerned with human rights

furthered by the growing role of NGOs, who watch and share information about human rights abuses by states (e.g. Human Rights Watch and Amnesty International)

Question 30

driving forces behind political globalisation: end of the Cold War

Answer 30

the end of the Cold War and the emergence of the liberal world order

the global spread of liberal democracy — democratic states are more likely to tend towards cooperation, thus enhancing global governance and political globalisation

led to international institutions such as NATO, the UN, the EU, the WTO and the IMF

Question 31

evidence of political globalisation

Answer 31

the growth in regional trading blocs, such as the EU, NAFTA and MERCOSUR

the increasing emergence of global governance (IGOs, etc) which includes a wide range of corporative problem solving arrangements to tackle global issues — e.g. the UN, WTO, IMF and the ICC

the massive growth in the number of institutions since the middle of the 20th century — there are estimated to be about 6400 such organisations or networks

the global spread of liberal democracy — democratic states are more likely to tend towards cooperation, thus enhancing global governance and political globalisation

Question 32

factors driving globalisation and the widening and deepening of interconnectedness and interdependence

Answer 32

people

countries

institutions

technology — the 24 hour global media and the emergence of a global financial market

economics

politics

growth in migration, international trade, NGOs, TNCs and intergovernmental institutions

Question 33

how do PEOPLE drive globalisation?

Answer 33

people appreciate and make use of the benefits of improved communication, the ease of conducting business and shopping transactions….

• thinking nothing of going online and purchasing an item that is produced and dispatched from China — consumerism
• they travel more easily, freely and cheaply than ever before — they are able to travel to exotic destinations, experience new things and meet new people, which would’ve only been available to the very wealthy in previous ages

as people travel and meet others they form relationships which are easy to maintain due to developments in technology and social media — thus making the world more interconnected and enhancing globalisation

the growth of migration and the movement of people across the borders of countries — many people emigrate to other countries, couples from different countries often choose one country to live in and children born of these relationships often have dual nationalities

the International Organisation for Migration calculated that there has been a 41% increase in migration in the last 15 years and in 2017, 3.3% of the global population were migrants

people are a major driving force behind cultural globalisation — culture spreads as people migrate to and from countries and share their culture, thus leading cultures to become more interconnected and similar

Question 34

how do COUNTRIES drive globalisation?

Answer 34

state sovereignty implies ultimate and absolute authority within a territory and independence from interference from other states

however, the reality is that states are and always have been affected by the decisions of the neighbours

whether they share rivers, coastlines, oceans or the air above them, countries are intricately linked meaning that one state’s decision could have an impact on another

the impact of the movement of people, commodities, cultures and ideas is more intense and significant than ever before if states and countries willingly agree to and enhance the globalisation process

countries have to work together to solve global issues, such as climate change and international terrorism, which leads to the need for IGOs, NGOs and so on

the greater commitment to free trade and free markets by states has encouraged economic globalisation

Question 35

how do INSTITUTIONS drive globalisation?

Answer 35

as the world becomes a more interconnected and interdependent place with global and regional problems, such as climate change and international terrorism, states and nonstate actors will cooperate and create institutions to solve these shared problems

states become more interconnected and linked through their shared membership of intergovernmental and regional organisations

non state actors like IGOs and NGOs have both grown considerably — they have emerged in an attempt to address global problems, encouraging cooperation

states have grouped together to form institutions to deal with shared issues — for example, the Organisation of American States, the European Union, the North Atlantic Treaty Organisation and the Arab league

growing role of international organisations like the WTO, which forces countries to operate within its free market rules, or the EU where decisions are made by European institutions rather than member states

these are all forums where states can engage with each other to try to solve shared problems at a regional and global level

Question 36

IGOs

Answer 36

the scale of IGOs has increased hugely in the last 150 years, but particularly since the end of WW2 in which numerous international institutions were created to foster and maintain peace and stability

there are regional and global IGOs that serve many different functions

for example, there is the United Nations and its associated agencies, including the World Meteorological Organisation, the World Health Organisation and the World Trade Organisation

Question 37

NGOs

Answer 37

the number of NGOs is estimated to have risen from around 130 at the start of the 20th century to more than 6000 at the start of the 21st-century and this number is still growing

NGOs are extremely wide ranging, campaigning and advocating many things such as debt relief, an end to poverty, human rights, against the destruction of rainforests, against the death-penalty and against the hunting of whales, elephants and rhinos

examples of NGOs...
• the International Committee of the Red Cross
• Amnesty International
• Save the Children
• Worldwide Fund for Nature
• Oxfam
• Greenpeace
• Human Rights Watch

Question 38

examples of IGOs related to economics

Answer 38

the Bretton Woods Institutions (World Bank, IMF and WTO), all of which affect state sovereignty by advancing the principles and practices of economic liberalism

for example, SAPs (Structural Adjustment Programmes) implemented by the World Bank and IMF encourage free market reforms and free trade in developing countries, which is based on the idea that growth is maximised through free trade

thus encouraging policymakers to adopt economic policies that will attract foreign investment

WTO — persuades nations to reduce import tariffs, provides a forum for the resolution of trade wars, underpinned by the neoliberal consensus that free trade nurtures greater wealth and prosperity for all

Question 39

examples of IGOs related to the environment

Answer 39

IPCC (Intergovernmental Panel on Climate Change) — set up in 1988 by the UN, a panel of experts that provides policymakers with regular advice on the causes, impact and possible solutions to climate change

Atomic Energy Agency — designed to ensure states abide by the terms of the Non Proliferation Treaty

Question 40

examples of IGOs relating to politics

Answer 40

the most significant IGO is the United Nations and its agencies, which were established in 1945

based on the liberal principle that the international community needs to work together to solve collective dilemmas

UN agencies include….

• the World Health Organisation — responsible for the eradication of smallpox, coordinates global responses to epidemics such as Ebola and Zika
• the United Nations High Commissioner for Refugees — the world’s most important tool in addressing the plight of refugees, in 2017 the number of refugees stood at 65 million (the highest number since the end of WW2)
• UNICEF (United Nations International Children’s Emergency Fund) — promotes rights for children and spearheads childhood immunisation programmes
• World Food Programme — provided food relief to 76.7 million people across 81 countries in 2015

Question 41

examples of NGOs

Answer 41

NGOs can have considerable soft power influence on states by enriching the political debate

in 1997, the International Campaign to Ban Landmines was awarded the Nobel Peace Prize for the successful ways it had worked with governments

global celebrities, such as Emma Watson in her ‘He for She’ speech at the UN, have also played an increasingly important role in focusing global attention on issues such as gender equality

Bob Geldof and Bono performed a key role at the 2005 Gleneagles Summit in persuading G8 members to commit 0.7% of their GDP to overseas development and to support debt relief

illustrates how decision-making within the global community has been dispersed to new stakeholders, whose influence may ultimately count for more than that of governments

Question 42

examples of regional organisations

Answer 42

regional organisations function as mini free trade areas, encouraging trade and specialisation within the regions

able to exercise greater influence in international trade — member states accept limits on what their governments can do in order to reap the benefits of measures such as regional customs unions

the European Economic Community was established in 1957, later became the EU in 1992

Mercosur — a South American regional economic organisation created in 1991, comprises of Argentina, Brazil, Paraguay, Uruguay, and Venezuela

NAFTA (North American Free Trade Agreement) — agreement signed by Canada, Mexico, and the United States in 1994, creating a trilateral trade bloc in North America

Question 43

how has TECHNOLOGY driven globalisation?

Answer 43

the process of globalisation has been underway for many years but has quickened in pace recently due to advances in technology

geographer David Harvey argues that technological innovations, like the internet, have led to a time-space compression, meaning that human interaction takes place outside the restrictions of time and space

this has intensified globalisation and led to the creation of global financial markets and the global administration of TNCs, which have created an increasingly uniform popular culture

the speed, ease and low cost of conveying information, goods and people around the globe has massively changed the world

what used to take days or weeks can now be done almost instantaneously

technology has led to the instantaneous trading of shares and movement of capital, creating a global marketplace for business and commerce

has also created a global marketplace of ideas, in which people anywhere in the world are able to access a limitless supply of information — made it easier to share culture and ideas

these technological advances have created the potential for a more global culture in which the same goods, fashions and ideas are shaped by universal influences, thus flattening out our cultural differences

Question 44

examples of impact of technology

Answer 44

there are now more mobile phones on the planet than people and it is estimated that 40% of the global population use the internet

news and information from around the world can be relayed virtually instantaneously to every smart phone or tablet computer

the Internet has made it more difficult for states to control the information its citizens receive — for example, social media like Facebook and Al Jazeera played a major role in provoking the Arab Uprisings as atrocities committed were videotaped and shared globally

Daesh (ISIS) uses the internet and social media to transmit its brutal propaganda and radicalise people into joining

the Internet has provided a global platform for Islamic fundamentalism to radicalise Muslims and non-Muslims across the world, thus making it more difficult for national government to defeat both external and internal terrorist threats

in July 2016, President Erdogan of Turkey was able to mobilise opposition to a military coup through the use of a smartphone broadcast

Question 45

how has ECONOMICS driven technology?

Answer 45

a greater global commitment to free trade and free markets has encouraged economic globalisation

this is closely associated with the principles of the Washington Consensus, advanced by the Bretton Woods institutions (the World Bank, IMF and WTO)

linked with liberalism, which regards free trade as a moral good since it encourages cooperation between states, which reduces the risk of war

lead to the development of economic institutions

Question 46

how has POLITICS driven globalisation?

Answer 46

the liberal world order following the end of the Cold War — acceptance of liberalism, which values cooperation between states

this has led to the development of international organisations and institutions to solve global problems and foster cooperation

Question 47

debates about whether IGOs increase or decrease state sovereignty

Answer 47

states encourage globalisation by giving away or pooling their sovereignty with other states through IGOs

this challenges state sovereignty as states have become hollowed out and less able to exert their own sovereignty in the face of global challenges

however, some argue that globalisation does not challenge state sovereignty, it actually reaffirms it

states can pool their sovereignty in response to threats and come out more powerful and better able to control events

it can even be argued that without political globalisation, states would not be able to fight back against TNCs or fight against issues such as climate change — but when states make decisions as part of an organisation, they have more power

in this way, states can control their own destiny more effectively as part of a group than they can as individual states as they are better equipped to tackle global issues that they would not be able to tackle alone

Question 48

example of states gaining sovereignty from IGOs

Answer 48

it seems counterintuitive to give sovereignty away in order to have more but this is how the EU works

TNCs look for ways to incur the lowest cost for doing business, pay the least taxes and face the most lax regulations and so will invest where they can make the biggest profits

but if states work together, as they do in the EU, to maintain minimum standards of workers’ rights, environmental standards and corporation tax, then TNCs cannot ‘shop around’ these countries for the best deal as they will receive the same treatment everywhere

this is what the EU hopes to achieve in the single market, the WTO strives for through state subsidy rules and the G20 targets through cooperation on tax avoidance and evasion