GSG Flashcards
Global village
Globalisation predecessor proposed in the 1960s by Marshall McLuhan. Shift from individualism to retribalisation post-war due to media.
Globalisation
Deepening, lengthening, and acceleration of global flows. Coined in 1990s due to increased trade, communist bloc opening, and IT revolution changing exclusivity of flows (digital divide still).
Dimensions of globalisation
Flows of capital, labour, products, services and info. Global marketing. Patterns of production, distribution and consumption.
Factors in globalisation
Development of tech, systems and relationships including financial, transport, security, comms, management and info systems and trade agreements
Core periphery/ world systems model
Wallerstein, 1974, inevitable inequality as mutually reliant.
Dependency model
Frank, 1971, richer promote inequality for own gain.
Modernisation model
Rostow, 1960, all have equal opportunity to develop.
KOF globalisation index
Swiss Economic Institute, annual, 24 variables. 2018: Belgium and Netherlands 90%, Eritrea 30%.
Foreign direct investment
US $2t annually, 6x higher 2007-8, robust Asian flow only dropped 8%
AID
0.7% target, 0.5% post-covid agreed by OECD, still only spent 0.33%
Remittances
US $500b at 3x international aid, more constant growth, lost through time lag and third parties
Largest amount remittances received
India and China 1/4 2019’s total, mainly Asian NEEs near outflow nations
Largest GDP% received in remittances
Tonga $190m over 1/3 GDP, mainly fragile economies reliant on diaspora
Largest amount remittances outflows
US over 2x elsewhere, China 6th, HICs or well developed NEEs
Trade enablers
Lower decentralisation costs, easier data flows, containerisation
Trade blocks
Regulatory barriers, protectionism, tariffs
Trade agreements and blocs
Aim to stimulate regional trade flows instead of risky autarkic development
Trade agreements and blocs benefits
Economic specialisation, frictionless goods and services movements, common external tariff protects from imports, greater market access e.g. 75m Lidl potential customers when 10 countries joined EU in 2004
Trade agreements and blocs downsides
Foreign goods flood home markets, lessened domestic capability, trade disruption (can help e.g. Greece)
Trans-global partnership MERCOSUR
4 S American countries formed common market and free residence area to improve relations, 5th world economy, recent disagreement
Trans-global partnership Comprehensive and Progressive Agreement for Trans-Pacific Partnership
US withdrew from TPP between pacific rim countries, alternative with similar policies (less trade barriers, investor-state dispute settlement), UK joined in 2023
21st century politics
Potential nationalism resurgence (Trump, Putin, Bolsanaro) but also no sign of lowered outward investment or less global partnerships
Factors in globalisation flows
Financial systems and economic strategies, legislation around people movement, technology, security systems, trade agreements, government ideology
Injustices from globalisation
Changing perspectives, financialisation of development, divisions of labour, people movement, over tourism, environmental actions, housings, climate change
