Globalization, Neoliberalism, and the Nation-State Flashcards
Globalization
The intensification of worldwide social relations that link distant localities in such a way that local happenings are shaped by events occurring many miles away, and vice versa (Robbins et al., 2017)
Globalism
the idea that events in one country cannot be separated from those in another and that economic and foreign policy should be planned in an international way
Nationalism
Loyalty and devotion to a nation; especially a sense of national consciousness exalting one nation above all others and placing primary emphasis on promotion of its culture and interests as opposed to those of other nations or supranational groups
Nationalism vs Globalism
Generally opposed to each other
Nationalism
- Loyalty to fellow citizens over other people
-Focus on keeping jobs from being outsourced
-Concerned with safety and prosperity of own citizens
Globalism
- Attempting to support well-being of entire global population
- Not concerned with multinational production of goods and services
- Often supporting open or soft borders
Economic Systems
The rules, mechanisms, institutions, and systems of relations through which goods and services are distributed and people get what they want
Solidified the rise of capitalism
Industrial revolution was linked to the spread of colonialism
Industrial Revolution
A period of European history marked by a shift in production from agriculture to industrial goods, urbanization, and the factory system (Robbins et al., 2017)
Standardization of production
Mass-produced goods
Accumulation of wealth becomes a measure of success and morality
Capitalism
an economic system in which investment in and ownership of the means of production, distribution, and exchange of wealth is made and maintained chiefly by private individuals or corporations, especially as contrasted to cooperatively or state-owned means of wealth
Free trade
removal o barriers to the free flow of goods and capital between nations by eliminating import and export taxes…may also mean reducing environmental or social laws
Neoliberalism
Economic philosophy that argues for minimal government involvement in the economy (Robbins et al., 2017)
Deregulation of economic systems
Contemporary capitalism under globalization
Neo = new Liberal = freedom Liberal vs conservative Neoliberalism is an economic ideology Neoliberalism is usually tied to conservative political ideology
Laissez-faire
a doctrine opposing governmental interference in economic affairs beyond the minimum necessary for the maintenance of peace and property rights
Adam Smith
market as an ideal system where “wealth is perpetually created for the benefit of all”
Consequences of Deregulation
Poor working conditions
Environmental degradation
Economic fluctuations
Wealth inequality
Keynesian Economics
Regulations on tax, interest rates, labor unions, environmental impact, etc
Heavy state involvement in economy
Led to rapid economic growth in North America in the 1960s
Rise of Neoliberalism
Became popular in North America as a response to slowed growth of 1970s
Ideology influenced by fear of totalitarian societies in the aftermath of WWII
Believed well-being of economy and people is tied to complete freedom of individual entrepreneurs
Results of Neoliberalism
Reduction of federal funding for education, welfare, health, etc
Dissolution of unions
Privatization
Capital flow from poorer to wealthier countries
Externalization of costs
Theoretically supposed to allow business to make more money so they can create more jobs
In reality, the extra money goes into the pockets of the rich and continues to exploit workers
In a global economy, only core countries amass wealth while peripheral countries are exploited