Globalization Flashcards
What is the biggest problem with political globalization
Complicates the ability of states to maintain sovereignty
-States must give up some sovereignty to benefit from international organizations
What is the Brettonwoods system
- created in 1944 after the end of the second world war and the Great Depression
- IMF, World Bank and general agreements on tariffs and trade GATT later called WTO
- Objectives expand & manage economic relations between countries
What does the IMF do?
- Manage exchange rates between countries
- provide loans to states in financial difficulty
What does the world bank do
Provides loans and technical assistance to advance development in less developed countries
What does the WTO do
Overseas trade agreements btw member states
-lower tariffs and remove other nontariff barriers
What is the Washington consensus
- roll back states control over the market (privatization),
- deregulate trade
- financial liberalization
What are the two important facets of economic globalization that are directly or partially related to the emergence of the Brettonwoods system in the Washington consensus
-globalization of international trade
-Financial globalization (capital in financial markets,world banking credit stocks and foreign direct investment
money is more mobile investments,
loans global)
What is foreign direct investment
The purchase of assets in a country by foreign firm
What are the two periods that globalization Rose quickly and collapsed
After World War I and after the cold war
Describe the golden straight jacket
The golden straight jacket is the defining political economic garment of globalization the tighter you wear the more gold or produces - Thomas Friedman
-means globalization about trade, capitalism and democracy
Diminished sovereignty is the point of the golden straight jacket, give up some sovereignty and you will get rich
Problems with globalization
-Globalization magnifies inquality reducing democracy
-Globalization and technological revolution
Challenge, states no longer have monopoly of information
States not required to enforce contracts
Environmental disruption
Climate change
Summarize the Florida article the world is spiky
-globalization helped cluster intellectual capital and technological innovation around the world creating spiky areas that are increasingly interlinked across the globe while the peoples physically around them are left out and left behind
Summarize Dani Rodrik article “Is global governance feasible? Is it desirable?
- globalization sovereignty and democracy incompatible
- can problems of globalization be managed by institutions of global governance that would transcend the nationstate?
- sceptical looking at the EU as an example of limits of such institutions
- desire for globalization found among elites (well educated and highly mobile citizens)
- Suggest that states and societies must remain active in managing in limiting globalization
Summarize the economist article “Leviathan stirs again”
Argues that the past few years have in fact seen precisely what Roddick suggests the reemergence of the state as a major force in economics and other areas, belying the idea of a flat earth or golden straight jacket
Summarize the article from the economist “ what’s gone wrong with democracy?”
Arguing that democracy has failed in many different parts of the world in different ways
