International Affairs Midterm Flashcards
Definition of Globalization
A process of increasing interactions, interconnectedness and unity in the world
What are Steger’s 4 dimensions of globalization?
Economic, political, ecological and cultural
Political
supranational institutions, global governance
Economic
economic interdependence, cross-movement of resources, goods, services and capital
Cultural
transmission of ideas, values, and ways of making meaning
Ecological
global response to environmental issues
Global citizenship
the rights and responsibilities conferred on all who are part of humanity
Sernau’s 3 forces of globalization in the modern era
Capitalism, Imperialism, Industrialism
Capitalism
profit-driven system, capital dominated
- private accumulation and reinvestment drives world economy
Imperialism
military dominance, political control, and extraction of resources
Industrialism
science, energy, labor for economic production, consumption
- harnessing non-animal energy sources to drive productive machinery
Schools of thought on globalization (4 perspectives)
Globalizers, Rejectionists, Skeptics, Modifiers
Globalizers
significant transformative processes that move us into new phase of human history
Rejectionists
does not believe in the significant of the processes of globalization
Skeptics
significant but more limited economic phenomenon
Modifiers
historical process, not recent
Peace of Westphalia (1648)
Creation of our modern nation state system and the framework for modern international relations
- state sovereignty as main principle of international system
- anarchy: no global government
Main actors
states, INOs, INGOs, TNCs/MNCs, municipal and provincial governments, individuals and networks of individuals
Global governance
- international cooperation without world government
- supra-national and supra-territoral
- INOs/IGOs
Examples of International Organizations (INOs)
United Nations, World Health Organization, World Bank, International Court of Justice, International Criminal Court, NATO, EU
Political globalization
political interconnections and interdependencies
- interaction of states, non-state actors and individuals
- among IGOs, governments, NGOs, TNCs, and INGOs
Complex Interdependence
1) multiple channels of interaction
2) absence of hierarchy in interstate issues
3) reduced relevance and effectiveness of military options
Interstate
informal ties between governmental elites
Transgovernmental
informal ties among non-governmental elites
Transnational
multinational banks or corporations
Adam Smith
Father of modern economics and capitalism
“Wealth of Nations”
- believed laissez faire and free market
- invisible hand: if everyone is after their own self-interest, an “invisible hand” will benefit everyone in the economy
- division of labor: division of production allows focusing on specific task, greater efficiency
- rational self-interest –> competition –> growth –> wealth
Karl Marx
Father of Marxism/ communism
“Communist Manifesto”
- bourgeoisie vs proletariat
- historical materialism: history is a series conflicts with material interests at their core
- Feudalism –> capitalism –> socialism (–> communism)
- call for international labor to unite and oppose bourgeoisie
Wallerstein’s world systems theory
1) core countries (industrialized free)
2) semi-periphery countries (serve core, developing)
3) periphery countries (underdeveloped, dominated by core + semi-periphery)
Examples of MNCs/TNCs
Apple, McDonalds, Citibank, Coco-Cola, Nestle, Nike
What are MNCs/TNCS
Major role in global economy
- influence significantly the decisions of governments and international organizations
- profit maximizing goal
The work of MNCs
transnational production and distribution chain and division of labor
- core, non-core, global distribution network
Positive Impacts of MNCs
job opportunities, paying taxes to host country, building infrastructure, technology transfer
Negative Impacts of MNCs
often poor and exploitative working conditions, tax avoidance through loopholes, extraction of resources, environmental degradation
Sweatshops
difficult or inhumane working conditions for laborers, often children
- anti-sweatshops movement: against child labor, higher minimum wage, improvement of working conditions
pro-sweatshop: worse alternatives, path to long-term development
Global Supply Chain
the different stages of manufacturing that involve raw materials and labor for several locations
- can be very complex for products that require several different materials
- there is a marketplace for finished goods and component parts
Free Trade
promoted by international financial institutions
- largest exporter: China, largest importer: US
- increased productivity for some nations
- increased inequality with and between countries
- uneven and unfair profit distribution
Bretton Woods system (1944)
- reversed protectionism
- expanded international trade
- created international financial institutions and a stable monetary enhance system
- “controlled capitalism” balance between government control and social expenditures
What was the outcome of the Bretton Woods system?
state control over global financial market, increases of wages and social services, economic stability
- collapsed in 1970, US abandoned it –> global economic instability
Neoliberalism
favored a limited role for government in the economy, primarily shaped by economic elites
Washington consensus
the neoclassical view that trade was good and tariffs limiting trade was bad
- minimalist role for government and rapid privatization and liberalization
- decreased public expenditures
- free market, free trade
- deregulation
What is the role of the IMF?
stabilize economy, get out of crisis and debt, and achieve economy growth
- international fund to support economies in crisis
- Washinton-based, neoclassical
- rich countries are primary donors –> influence
- supported by loans, technical know-how, monitoring
What are the policy conditions of the IMF?
structural adjustment program: austerity measures
- cutting expenditures (social needs: education, health, infrastructure, social safety)
- increasing taxes
-privatizing and liberalizing
- increase in foreign investment
What are the impacts of IMF?
positive: able to stabilize economies, help them pay off their debts
negative: austerity measures has human cost, impedes development, creates neocolonial framework
What is the role of WTO?
promotes free trade and monitors trade practices around the world; opposes protectionist measures
What are the criticisms of WTO?
- developing countries forced to compete with subsidized US and EU products –> fail –> impoverished
- open markets in developing countries to goods from developing countries but not the opposite
- unethical practice of western parents on traditional goods of developing countries
- countries are forced into trade agreements that are neither fair not mutually beneficial
Roderick’s main argument in Capitalism 3.0
Redesign the global capitals system:
- avoid hyperglobaization
- prefer moderation globalization
offer freedom to national government to adjust their interaction with the global economy to fit their objectives
Rodrick’s trilemma
democracy, national security and global economic integration are mutually incompatible
Winners and losers of globalization
winners: countries that have managed globalization on their own ensure they reap huge benefit
losers: countries on which the terms of globalization were imposed by international actors
Krugman’s critique of globalization
globalization generally positive but
- hyperglobalization was problematic
- led to inequality and disruptions that affected mainly the workers
- world’s regions are divided into high-tech urbanized core and low-tech, less developed periphery
What is the role of the World Bank?
international fund that offers support for development in forms of loans, credit, grants, policy advice, and technical assistance
- promote economy development
- Washington-based
- a set of five financial institutions
- rich countries are big donors
What is the impact of the World Bank?
- some success in promoting development and lifting people out of poverty
- emphasis remains on economic development vs human development
- concern that some funds have been lost due to corruption, inappropriate or mismanaged projects
- rushed imposition of free market to developing countries has led to several failures in developing around the world
What is the Modernization theory?
linear path, traditional to modern
- development limited to its economic dimension, often equated with economic growth
- nations need modern technology to prosper, developing nations need modern ideas and institutions, modern technology exported to MNC
What are critical alternative theories of development?
diverse paths, locally driven, associated with human rights, material and non-material well-being
How has colonial impeded development?
- Replacement of traditional agricultural economy with one subservient to needs of the home country
- Barter system replaced by cash economy
- Extractive economies (natural resources)
- Colony supplies goods (mass production of primary products) only to imperial country
- Colonies = captive markets for imperial goods (no free trade)
What is the Dependency Theory?
1) state = subordinate to bourgeoisie
2) economic control by capitalist states over developing states
3) willing elites exploit their own people
4) developing states entirely dependent on developed states
The western world brought more negative and destructive things to the poor nations
Liberalization model of development
- mainstream assumption that there will be a “trickle down” effect
- success measured by economic indicators (growth, GDP)
- means: top-down (investments, technical know-how, private sector)
Alternative model of development
emphasis should be placed on nature, community, self-sufficient and self-government
- success measured in economic, social, political, cultural and enviomrental terms
- means: bottom-up (local traditntal practices, protection of common resources, small projects)
Amartya Sen’s argument on development
development as a form of freedom (starting with economic freedom)
- increasing citizens’ capabilities access and opportunities
- emphasis on human agency
What are Collier’s 4 development traps?
conflict, natural resources, landlocked with bad neighbors, bad governance
Human development
improving lives of people, expanding people’s abilities, opportunities, choices, and freedoms, Human Development Index
Mainstream definition of poverty
unfulfilled material needs
Critical alternative theories for poverty
unfulfilled material and non-material needs
- access to community-regulated common resources, community ties and spiritual values
UNDP’s definition of poverty
income poverty, human poverty
Cause of global poverty
poverty trap (cannot invest in themselves), geography, fiscal trap, governmental failures, cultural barriers, trade barriers, lack of innovation, demographic trap
Solutions for global poverty
investment through foreign aid and other policies:
- Invest in modernization of agriculture
- Invest in health, water access, sanitation, education and social services
- Invest in infrastructure and the environment
- Good governance and no corruption
- Effective taxation system
- Debt cancellation (in case of debt overhang)
- Expanded trade (under terms that benefit producers and consumers in developing countries)
Banerjee and Duflo’s main arguments
- Practical and moral dilemma of foreign aid
- Aid can be helpful but it is important which types of programs you fund. Choose the ones that will be more impactful
- We need to observe local conditions, and listen to what the poor have to tell us
- We need evidence-driven policies, locally implemented that will make incremental changes
- There is no one-size-fits-all policy
Concerns about impact of inequality on political stability and democracy (Piketty, Milanovic)
- Inequality is a feature of capitalism
- Needs state intervention
- Inequality level similar to the extreme inequalities of 19th century, which led to political instability
- Global tax on wealth → prevent inequality from threatening democracy and leading to bigger political crises
Suggested solutions to inequality (Piketty, Steger)
Piketty: global middle class but global plutocracy, dangerous for democracy
Steger’s: democratic and egalitarian globalization, universal human rights and cultural diversity
What is social entrepreneurship?
Use of entrepreneurial principles in order to address a social problem by creating and managing an innovative venture that contributes to its solution
Models of social enterprise
non-profit, for-profit, hybrid
Framework for evaluation of social enterprises
- impact > profit
- innovation
- sustainability
- commitment to evolution
- capacity to replicate and scale up
What is the impact of social enterprises?
positive impact and potential, more effective than aid (empowerment, long term solutions)
What is the criticism of social enterprises?
moral issues associated with creating profits that will benefit investors
Examples of social enterprises
Arvin Eye Hospital, KickStart, Lifestraw, Plumpy Nut
What is microcredit?
system of small loans (less than $1000) to help the poor who cannot access regular bank notes to start small businesses
Positive effects of microcredit
makes poor people into entrepreneurs, lifts people out of extreme poverty, empowers women, allows them to borrow with social collateral
Negative effects of microcredit
peer pressure due to social collateral has led to suicides, puts poor people into debt, has not had a significant impact on poverty reduction, ethical issues
Global Civil Society
transnational communal organizations of citizens to either oppose overbearing state or unjust state of affairs to make up for limited or invisible state services and actions
Examples of NGOs
Greenpeace, International Rescue Committee, Amnesty International, Care, Doctors Without Borders, Oxfam, Action Aid
Work of NGOs
- delivery of services
- advocacy for policies
- research on issues
- raising awareness/public education
Criticism of NGOs
legitimacy, accountability, transparency, single issue, trustworthiness, cooperation
Examples of Global Health Indicators
- life expectancy at birth
- maternal mortality
- infinity mortality rate
- hunger and malnutrition
- diseases
- accidents and environmental threats
- abuse and violence
- sexual and reproductive health
Factors in prevalence and transmission of infectious diseases
- global interactions
- underdevelopment (poverty, lack of education, poor infrastructure, lack of sanitation, lack of adequate health care)
- climate change
- natural disasters
- wars and displacement
Examples of infectious diseases
HIV/AIDs, Malaria, Tuberculosis, Cholera, Flu, Coronavirus
Factors in chronic diseases
- Lack of adequate preventive care and treatment
- Working conditions
- Environmental conditions
- Lifestyle
- Double burden of disease in developing countries
diseases of poor nations plus diseases of rich nations
Black Death (1346-1353)
- Bubonic plague, caused by bacterium Yersinia pestis
- Mostly likely started in Asia, traveled to Europe and the northern coast of Africa through trade routes/trade ships
- 75-200 million died
- Economic impact (labor shortage led to higher wages, reduction of cultivated land)
HIV/AIDS Prevalence
- 38.4 million infected
- 650,000 died in 2021
- 1.9 million children under 15 infected
- 14.9 million orphans due to AIDS
HIV/AIDS Prevention
protected sex, travels from mother-to-child
HIV/AIDS Treatment
antiretroviral drugs
Major global health INOs/IGOs
World Health Organization (WHO)
UNICEF
UNDP
World Bank
The International Committee of the Red Cross (ICRC)
Examples of NGOs working on global health
Partners in Health
Project Hope
Oxfam
Doctors without Borders
Doctors of the World
Gates Foundation
The Partners in Health model
Treat health care as basic human right
- Access to primary healthcare
- Free healthcare and education for the poor
- Community partnerships
- Addressing basic social and economic needs
- Serving the poor through the public sector
Universal healthcare
- Reflects the view of health care as a human right
- Opposed by US political culture that wants limited government
- One of WHO’s areas of monitoring and action
