Issue 3: Being Part of a Globalised World Flashcards
Define developments in transportation using the ideas of globalisation.
The improvement in size and speed of the different modes of transportation, and the development of efficient and integrated transport infrastructure.
Enable more goods and people to be carried per trip at lower cost. Therefore facilitates the process through which people’s activities and ideas become interconnected
Define Globalisation.
Ideas and activities of people in different part of the word become interconnected. These interconnections can lead to interdependent relationships between developments in the world and developments in a country.
Define Multinational Corporations (MNCs).
MNCs are business with economic activities in more than one country.
List 3 examples of MNCs.
Mcdonalds. kentucky fried chicken, IKEA, Nike, Samsung, Blackberry, Nokia
State 2 examples of how companies can achieve higher profits/market share.
Setting up operations in different locations.
Moving productions and labour overseas can help cut down on cost. (Expand their operation overseas)
Singapore government offers loans, grant, tax incentives to enable companies to take advantage of the opportunities presented by globalization
How does globalisation lead to higher income? (Use globalisation language to explain)
Globalisation has facilitated mobility, making it easier for individuals to look for jobs overseas. Factors that encourage this movement are better job prospects and higher income.
Examples of incentives offered by the Singapore government to SMEs.
Provide various forms of financial assistance to help SMEs at different stages of growth
Aids in SMEs efforts to venture abroad.
Facilitates partnerships between SMEs and larger corporation.
Define lower profits/market share using the ideas of globalisation.
Increased competition from other companies
Globalization improved new market for other companies giving more advantage to them.
What are the different economic activities of a country?
Agriculture manufacturing tourism trade investments
How did Advances in technology benefit communication in the world?
Technological advancement in communication have resulted in greater access to the Internet and the increasing use of mobile communications e.g. Skype, YouTube, Gmail, Google Map and Whatsapp helps to communicate and exchange information across the world.
Define a period of economic downturn.
An economic downturn is a general slowdown of an economic activity over a period of time, in a specific region or in the world.
How has higher income impact individuals through globalization?
Globalization has facilitated mobility, making it easier for individuals to look for jobs overseas.
List 3 benefits of economic growth.
A country can improve its infrastructure.
Benefit the population.
Increase in trade and business.
Greater variety of goods and services for consumption.
Explain the 2008 Global Financial Crisis.
The 2008 global financial crisis where there was a slowdown in the US economic activity. The inability of people paying loans resulted in US banks not able to sell confiscated property as there was no demand. This lead to an impact of European banks which also impacted the Europe economy which then impacted the world.
How has loss of income impact individuals?
As globalization increases mobility of workers and jobs, some workers experience difficulty in increased competition
How does globalisation lead to loss of income? (Use globalisation language)
Globalisation increases the mobility of workers and jobs which adversely affects the workers as it increases competition. Some workers have to settle with lower income as companies get more access to lower lable cost
One example of loss of income due to globalisation.
A Japanese fashion chain, Uniqlo. Their production moved out of China to Vietnam as their labour cost increased.
State the benefits of Foreign Direct Investment(FDI) and Free Trade Agreements(FTAs)
Exchange of goods and services without tariffs or hindrances across borders
Increase trading between Singapore and its partner countries.
Name a few examples how Economic Downturn impact countries
economic downturn in the USA impacted Europe. As there were a lot of economic interconnections between the USA and Europe, European banks lost their money, and the government’s in Europe had to lend the banks money to prevent them from going bankrupt.
The economic slowdown in Europe also led to a further reduction in demand for goods and services worldwide, and people would only buy what was necessary as they had less money to spend. This reduction in demand for goods affected manufacturing countries such as China and India in their economies.
How does economic growth affect Singapore and its opportunities. State 4 benefits
Strengthens trading relationships between SG and other countries
More companies looking to set up in SG
Generate more tax revenue
Create more good job opportunities
One example of globalisation leading to higher income.
Engineer Jumadi Husani, 39, a Nanyang Technological University graduate, was headhunted to work in Dubai four years ago for triple his Singapore pay.
How did the Singapore government respond to the global financial crisis?
the Singapore government responded to the global financial crisis by providing help for Singaporeans and businesses. For Singaporeans, workers who lost their jobs were given the help to find new ones and also given new opportunities to be retrained with new skills. Lower income families were also given assistance through rental rebates. For businesses, smaller Singapore firms could keep their operations going as they obtained financing with reduced interest rates and increased subsidies for their insurance premiums. New businesses and smaller companies were granted further tax exemptions, which allowed them to pay little or no taxes at all.
