Globalisation Flashcards
Methods of transport
Railway, telegraph, steam ships, jet aircrafts, containerisation
Methods of communication
Internet, social networking, electronic banking, fibre optics, mobile phones
When was containerisation created?
1956 (by Malcolm Mclean)
How many tonnes could by moved per hour by labourers in 1965 and 1970? (containerisation)
1965 - 1.7 tonnes per hour
1970 - 30 tonnes per hour
Political and economic factors that led to the acceleration of globalisation
Privatisation, deregulation, free trade (encouraged by trade blocs)
Who supported privatisation?
Margaret Thatcher, Tony Blair, IGOs
What is privatisation?
The transfer of business/industry from public to private ownership
Examples of privatisation in the UK
- British Telecom in 1984
- Local bus services in 1985 (Transport Act)
- British Gas in 1986
- British Rail in 1993
What is a trade bloc?
A type of intergovernmental agreement where barriers to trade (e.g. tariffs) in a world region are reduced or eliminated among the participating states
Advantages of trade blocs
Easier trade, cheaper prices, access to wider market
Disadvantages of trade blocs
Some places aren’t in trade blocs (e.g. due to physical barriers, such as The Sahel), stops trade elsewhere
Measurements of globalisation
- KOF Globalisation Index (founded in 2002)
- AT Kearney Index
- IMF Annual Report
- KAOPEN Index (founded in 2005)
What does the KOF Globalisation Index measure?
Measures the extent to which countries are socially, politically and economically linked to others
What does the AT Kearney Index measure?
Uses measures of business activity, human capital, information exchange, cultural experience, and political engagement to rank cities in terms of the quantity and quality of their connections
What is global economic shift?
The shift of primary/secondary industries to tertiary/quaternary industries
What percentage of jobs in the UK are tertiary or quaternary?
70%
What’s the name of Gunnar Mydral’s theory and what does it explain?
Cumulative causation (cycle of prosperity, multiplier effect), growth from growth from growth
What happened in Detroit?
Deindustrialisation/decline of motor industries (Ford, General Motors), which led to high unemployment rates and a decreased city population
What is high waged economic migration?
When nations, regions and cities are strongly connected to similar places globally through production and consumption of goods/services, they experience flows of elite migrants
What are the names of some Russian Obligarchs and what are their net worths?
- Roman Abramovich, net worth of $8.3 billion (in 2015)
- Len Blavatnik, net worth of £17.1 billion (in 2015)
- Alexander Knaster, net worth of £2.2 billion
Example of high and low waged economic migration
- High waged = Russia
- Low waged = Poland
What is meant by culture?
Tradition, accepted norms, religion and beliefs, language, art and symbols, values
Attempts to control the spread of globalisation and the rise of localism (box headers)
- Attitudes towards migration in the UK
- Trade protectionism
- Fairtrade and ethical consumption
- Protecting cultural identity
- Rise in far right
- Rise of localism
- Resources recycling
How do Chinese governments attract FDI?
- ‘Open door’ policy
- Hukou system
- Agricultural communities dismantled (farmers can now earn a profit)
- ‘Instant cities’
- Special economic zones (Shantou, Shenzhen, Zhuhai and Xiamen)
What are special economic zones?
Areas of land set aside by governments in locations well placed for international trade
How do British governments attract FDI?
- Privatisation
- Free-market liberalism (neoliberalism)
- Sovereign wealth funds (help fund new infrastructure projects)
- Trade blocs
- Sunday trading (1994)
China - loss of productive land (fact)
16mn acres lost to urbanisation in the last 20 years
China - environmental and resource pressure (fact)
100 cities suffer with extreme water shortages and 360mn students don’t have access to safe drinking water
TNC located in China
Lenovo
China - infrastructure investment (fact)
2016 longest high-speed rail system was complete
China - waged work (fact)
Employees work an average of 40 hours a week
China - poverty reduction (fact)
Reduced by 680mn between 1981-2010
China - education and training (fact)
In 2014, 7.2mn students graduated from university
China - disadvantages to the environment - globalisation
- Air and water pollution - 70% of China’s rivers and lakes are polluted
- Land degradation - 40% of China’s farmland is suffering from degradation
- Over-exploitation of resources - Oil, coal and iron
- Loss of biodiversity - habitats lost as they are destroyed to make room for infrastructure